Does Management Matter in Schools?

Nicholas  Bloom; Renata  Lemos; Raffaella  Sadun; John  Van Reenen

Article | Economic Journal (Royal Economic Society)

Does Management Matter in Schools?

by Nicholas Bloom, Renata Lemos, Raffaella Sadun and John Van Reenen

Abstract

We collect data on operations, targets and human resources management practices in over 1,800 schools educating 15-year-olds in eight countries. Overall, we show that higher management quality is strongly associated with better educational outcomes. The UK, Sweden, Canada and the U.S. obtain the highest management scores closely followed by Germany, with a gap to Italy, Brazil and then finally India. We also show that autonomous government schools (i.e. government funded but with substantial independence like UK academies and U.S.charters) have significantly higher management scores than regular government schools and private schools. Almost half of the difference between the management scores of autonomous government schools and regular government schools is accounted for by differences in leadership of the principal and better governance.

Keywords: Management; Education; Business Strategy; Education Industry; Germany; Sweden; India; Canada; Italy; Brazil; United Kingdom; United States;

Format: Print

Find at Harvard Read Now

Citation:

Bloom, Nicholas, Renata Lemos, Raffaella Sadun, and John Van Reenen. "Does Management Matter in Schools?" Economic Journal (Royal Economic Society) 125, no. 584 (May 2015): 647–674.

The Board of Alere, Inc., a leading medical diagnostic firm, is evaluating the offer made by Ron Zwanziger, the firm’s founder and former CEO, to acquire the company and take it private. The offer arrives at the end of a tumultuous year for the company, which saw Zwanziger fighting and ultimately losing a confrontation with activist investors Coppersmith Capital. How should the board evaluate this offer? Should they reject it, on the basis that Zwanziger’s decision to expand into integrated healthcare solutions was the main reason behind the company’s poor stock performance, as Coppersmith claimed? Or should they once more place their trust in Zwanziger’s leadership and in Alere’s ability to effectively implement his vision?

Describes the founding and growth challenges facing Moleskine, an Italian-based consumer products company known for its oilcloth-covered notebooks once used by Ernest Hemingway and Vincent van Gogh. CEO Arrigo Berni and co-founder Maria Sebregondi aim to transform the company from a founder-led company to a professionally managed firm by expanding into new geographies, product categories, and distribution channels. They have also recently developed several strategic partnerships with Silicon Valley firms to expand into an array of digital products. However, after going public, stock prices continue to fluctuate below analysts' expectations, raising concerns about whether the company has grown too quickly. The leaders must now decide how to expand the firm's capabilities while continuing to preserve its organizational identity and creative culture.

Faculty & Research

Does Management Matter in Schools?

Abstract

Citation:

About the Author

More from the Author