Management practices and resilience to shocks: Evidence from COVID-19

Andrea Lamorgese, Andrea Linarello, Megha Patnaik and Fabiano Schivardi

No 15987, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Do organizational practices help or hinder the firm's capacity to adapt to a changing environment? We use the spread of COVID-19 in Italy, the first Western country hit by the pandemic, to investigate the role of structured management practices in responding to a large shock. We find a sizable, positive effect of structured management practices on firm performance: a one-standard deviation increase in the management score reduces the drop in year-ahead expected sales by 30 percent. Evidence points to the fact that firms with more structured practices were more likely to implement a comprehensive set of changes, such as demand, supply chain and labor management, including more intense use of remote work.

Keywords: Management; Firm performance; Covid-19 (search for similar items in EconPapers)
JEL-codes: D22 D24 L20 L25 M11 (search for similar items in EconPapers)
Date: 2022-07
References: Add references at CitEc
Citations:

Downloads: (external link)
https://cepr.org/publications/DP15987 (application/pdf)
CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at subscribers@cepr.org

Related works:
Journal Article: Management Practices and Resilience to Shocks: Evidence from COVID-19 (2024)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cpr:ceprdp:15987

Ordering information: This working paper can be ordered from
https://cepr.org/publications/DP15987

Access Statistics for this paper

More papers in CEPR Discussion Papers from C.E.P.R. Discussion Papers Centre for Economic Policy Research, 33 Great Sutton Street, London EC1V 0DX.
Bibliographic data for series maintained by ().