Labor mobility and organizational proximity: routines as supporting mechanisms for variety, skill integration and productivity
(English)Manuscript (preprint) (Other academic)
The aim of this paper is to introduce an organizational dimension to the discussion of knowledge flows and relatedness. We hypothesize that not only the degree of technological relatedness influence the extent of skill integration in a firm but also that familiarity with firm routines (intra-organizational proximity) should smoothen absorption. Longitudinal micro-data are used in Arellano-Bond dynamic GMM models to estimate the effect on plant productivity of 18,051 labor flows within, and to, four large Swedish firms between 2003 and 2006. Our findings suggest that related flows are primarily economically beneficial if also crossing firm boundaries, allowing a much richer recombination of knowledge by also including other sets of firm specific norms and routines. Also, we find a positive relationship between unrelated flows and plant performance, but only if they are internal to the firm (organizationally proximate).
Research subject Social and Economic Geography
IdentifiersURN: urn:nbn:se:umu:diva-100916OAI: oai:DiVA.org:umu-100916DiVA: diva2:794872