Working Paper: NBER ID: w28833
Authors: Nicola Bianchi; Michela Giorcelli
Abstract: This paper examines the long-term and spillover effects of management interventions on firm performance. Under the Training Within Industry (TWI) program, the U.S. government provided management training to firms involved in war production between 1940 and 1945. Using a newly collected panel dataset on all 11,575 U.S. firms that applied to the program, we find that the TWI training had positive and long-lasting effects on firm performance and the adoption of beneficial managerial practices. Moreover, it generated complementarities among different types of training and had positive spillover effects on the supply chain of trained firms.
Keywords: management interventions; firm performance; spillover effects; Training Within Industry; TWI program
JEL Codes: J24; L2; M2; M5; N34; N64; O15; O32; O33
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| TWI training (M53) | firm performance (L25) |
| TWI training (M53) | productivity (O49) |
| specific content of training modules (M53) | adoption of managerial practices (L23) |
| multiple types of training (M53) | further improvements in performance (D29) |
| TWI training (M53) | positive spillover effects on supply chain (F69) |
| supply chain of trained firms (M53) | adoption of similar practices (L33) |