Tag
management_practices
7 findings
Firms & operationsFormal Management Practice Deficit in LMICsIdentifies systemic absence of standardized performance monitoring and formal incentive structures across LMIC manufacturing firms; experimental impact evaluation ongoing.Observational StudyFirms & operationsInformational Barriers to Management Practice AdoptionPrior to intervention, uncommon management practices had a 98.5% non-adoption rate, driven by lack of awareness (64.0%) and incorrect profitability beliefs (30.9%). Providing management information decreased uncommon practice non-adoption by 35.3 percentage points after 9 months.RCTFirms & operationsInformational Barriers to Management Practice AdoptionAt baseline, 45% of non-adoption of common operational practices stemmed from incorrect information regarding profitability, while 64% of non-adoption of uncommon practices was caused by a complete lack of awareness.RCTFirms & operationsManagement Practice ComplementaritiesControl plants adopted data collection practices increasing practice scores by 12.0 percentage points, but achieved negligible productivity improvements compared to treatment plants, which implemented full complementary review systems and increased TFP by 16.6% (p = 0.061).RCTFirms & operationsManagement Practice Deficit in Developing CountriesAdopting basic quality measurement and data tracking enabled treatment plants to correct defect root causes quickly, reducing average defects by over 50 percent in the first three months alone.RCTFirms & operationsManagement Practice ReversionRecord-keeping adoption among consulting recipients surged by 45 percentage points at 6 months (Round 3, p < 0.01) and remained 26 percentage points higher at 12 months (Round 7, p < 0.05), but declined to a statistically insignificant 12 percentage point difference (with only 28% maintaining records) by 24 months (Round 8), 11 months after consulting ceased.RCTFirms & operationsManagerial Information and Practice Awareness DeficitsPrimary empirical findings indicate that non-adoption of modern manufacturing practices stems directly from lack of awareness; similar information barriers explain the non-adoption of basic accounting in Peru and modern farming methods in Ghana.RCT