Evidence-based HR Management

I firmly believe that Evidence-Based Management is one of the soundest approach to management.

A study published by the National Bureau of Economic Research (NBER) shows how HR practices can be studied as empirical hypothesis (and then applied to HR management):

productivity rises by 10 percent when incentive pay and a set of complementary HR practices are introduced. Using data on workers installing windshield in cars, Lazear (2000) shows that productivity increases by 44 percent when piece-rate pay is introduced. Using data on workers picking fruit, Bandiera, Barankay, and Rasul (2005) show that productivity rises by 58 percent when piece-rate pay is introduced.