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The Agenda

NRO’s domestic-policy blog, by Reihan Salam.

The Power of Good Management



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One of my pet causes is the importance of good management. Nicholas Bloom and John Van Reenen have observed that management quality can account much of the persistent difference in productivity across firms in a given sector, and indeed for much of the productivity gap across countries. And so promoting the diffusion of good management practices is arguably one of the best things policymakers can do. I was pleased to read a short article by Ray Fisman and Tim Sullivan, authors of The Org, touting the benefits of effective management consulting. The only weird thing about Fisman and Sullivan’s article is that they didn’t name the researchers they cite: Nicholas Bloom, Benn Eifert, Aprajit Mahajan, David McKenzie, and John Roberts. Props to them. 



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