TY - GEN
T1 - Full and Partitioned Human Capital Redeployment and Business Unit Exit
AU - Sabel, Christopher Albert
AU - Sasson, Amir
N1 - Copyright of Academy of Management Journal is the property of Academy of Management and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder’s express written permission. However, users may print, download, or email articles for individual use.
PY - 2023
Y1 - 2023
N2 - Multi-business firms redeploy resources, specifically human capital, internally to manage the establishment and termination of business units. Prior work has not investigated different human capital redeployment (HCR) strategies and their outcomes. We identify three generic HCR strategies and explore their respective impact on unit exit. We find that HCR in general decreases the likelihood of unit exit. However, full HCR - employees work full-time at the receiving unit - and partitioned HCR in which the sending parent remains the main employer drive these results. Partitioned HCR in which the receiving unit becomes the main employer does not affect exit. We attribute the differing impact on exit to strategies’ idiosyncratic capacity availability, adjustment costs specifically multiple jobholding costs, and interfirm ties.
AB - Multi-business firms redeploy resources, specifically human capital, internally to manage the establishment and termination of business units. Prior work has not investigated different human capital redeployment (HCR) strategies and their outcomes. We identify three generic HCR strategies and explore their respective impact on unit exit. We find that HCR in general decreases the likelihood of unit exit. However, full HCR - employees work full-time at the receiving unit - and partitioned HCR in which the sending parent remains the main employer drive these results. Partitioned HCR in which the receiving unit becomes the main employer does not affect exit. We attribute the differing impact on exit to strategies’ idiosyncratic capacity availability, adjustment costs specifically multiple jobholding costs, and interfirm ties.
U2 - 10.5465/amproc.2023.10505abstract
DO - 10.5465/amproc.2023.10505abstract
M3 - Conference proceeding
VL - 2023
BT - Academy of Management Proceedings
PB - Academy of Management
ER -