IE Graduate Seminar

Thursday, February 9 at 3:30 pm to 4:20 pm
Seamans Center, 4030 SC
103 South Capitol Street, Iowa City, Iowa

"Predicting Executive Selection and Turnover in Multinational Firms" Presented by Marketa Rickley, PhD Visiting Assistant Professor, Management & Organizations Department, University of Iowa. Abstract: As a production input, human capital has an unrivaled impact on firm performance. An important question for managers and scholars alike is, therefore, how firms select the right workers. However, modeling the phenomenon of worker selection is non-trivial, as selection is (i) driven by a combination of market-level, firm-level, network-related and individual-level factors – some of which are unobservable to researchers, and (ii) an outcome of joint (non-random) preferences by both the employer and employee. As a consequence, traditional regression-based methods fail to properly estimate the determinants of worker selection. The field of economics offers a potential solution to the empirical problem of modeling worker selection – the competitive assignment matching model. Unlike random utility models, which rely on random assignment and independence, matching models explicitly account for the fact that worker selection (i.e., hiring) is the outcome of a two-sided competitive market where firms select workers, but workers also select for whom they are willing to work. In the first part of my talk, I will a present a unique, context-rich international sample of hiring data on newly appointed top managers, who have been selected to lead foreign affiliates of multinational banks, and I will discuss the methodology and findings based on the competitive assignment matching model. The second goal of this talk is to incite an interdisciplinary conversation about how optimization techniques developed for industrial engineering problems can be used to analyze complex, everyday business issues (such as worker selection), and to compare and contrast these methodological techniques against those developed in the field of economics. Individuals with disabilities are encouraged to attend all University of Iowa sponsored events. If you have a disability that requires an accommodation in order to participate in this program, please call  the department in advance at 335-5939.

Contact Info: MIE Office, mie-engineering@uiowa.edu, 319.335.5939