Compensation and Span of Control in Hierarchical Organizations

Autor:	Vicente Salas-Fumás, Pedro Ortín-Ángel
Rok vydání:	2002
Předmět:	Economics and Econometrics Hierarchy Labour economics Span of control Significant part Human capital Industrial relations Econometrics Economics Hierarchical organizations Operations management Salary Compensation
Zdroj:	Dipòsit Digital de Documents de la UAB Universitat Autònoma de Barcelona
ISSN:	1537-5307 0734-306X
Popis:	This article presents evidence on the relationship between compensation ratios and spans of control within hierarchical organizations. We find that compensation ratios are lower than span of control at any position within the hierarchy, which is consistent with an elasticity of compensation to a number of subordinates lower than one. Managers' human capital endowments determine a significant part of the salary differences throughout hierarchical levels, as predicted by models of talent allocation in hierarchies. Differences in the size of firms should be attributed more to differences in their number of hierarchical levels than to variations in the span of control.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_dedup___::6756a533e267c230d64f946d00c13cbc https://doi.org/10.1086/342040 Zobrazit plný text záznamu Plný text ve formátu PDF