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- W4386409871 abstract "Purpose Integrating the resource-based view (RBV) with pay dispersion research, the authors examine how the allocation of resources between hiring new employees and compensating current employees, as well as the allocation of resources among new employees, affects organizational performance. Design/methodology/approach The authors use panel data on Major League Baseball teams. The authors also use system generalized method of moments (GMM) estimations to control for the impact of past performance on current performance, unobserved individual heterogeneity and omitted variable bias. Findings The authors find that the larger the portion of the human resources (HR) budget allocated to hiring new employees, the poorer organizational performance becomes unless the focal organization has already significantly underperformed. The authors also find that pay concentration among new employees has a positive impact on organizational performance unless the focal organization has already significantly overperformed. Originality/value This study extends RBV research by examining how resource allocation patterns affect organizational performance, which has rarely been studied. Moreover, by showing the organizational context's significant effect on the outcome of financial allocation for resource acquisition, this study extends both the RBV research and the pay dispersion research." @default.
- W4386409871 created "2023-09-05" @default.
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- W4386409871 date "2023-09-05" @default.
- W4386409871 modified "2023-09-29" @default.
- W4386409871 title "Performance implications of financial resource allocation in new hiring: the case of major league baseball" @default.
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- W4386409871 doi "https://doi.org/10.1108/md-07-2022-0887" @default.
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