Murmann, Martin; Rietzler, Nathan; Sofka, Wolfgang (August 2023). Retaining Employees When Startups Professionalize Academy of Management Proceedings, 2023(1). 10.5465/AMPROC.2023.15565abstract
Full text not available from this repository. (Request a copy)The delegation of decision-making authority from founders to dedicated managers is an important step in the professionalization of startups. However, such delegation changes the distinct nature of startups as workplaces with frequent interaction between founders and their employees. We build on theory of relational disruption in workplaces and theorize how delegation of decision-making authority affects employee retention. We reason that through delegation, employees lose opportunities to learn from founders and influence startup decisions. As a result, relational advantages of startup employment decrease, leading to employee mobility. Moreover, employees are particularly likely to leave after decision-making has been delegated when they are early in their careers and when founder teams are small. Using a sample of 13,737 employees in 1,797 German startups, we find support for our conjectures.
Item Type: |
Conference or Workshop Item (Paper) |
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Division/Institute: |
Business School > Institute for Innovation and Strategic Entrepreneurship Business School > Institute for Innovation and Strategic Entrepreneurship > Low-end Innovation Business School > Institute for Innovation and Strategic Entrepreneurship > Strategic Entrepreneurship Business School |
Name: |
Murmann, Martin 0000-0002-0430-949X; Rietzler, Nathan and Sofka, Wolfgang |
Subjects: |
H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management |
ISSN: |
0065-0668 |
Language: |
English |
Submitter: |
Martin Murmann |
Date Deposited: |
30 Aug 2023 15:16 |
Last Modified: |
30 Aug 2023 15:16 |
Publisher DOI: |
10.5465/AMPROC.2023.15565abstract |
Related URLs: |
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URI: |
https://arbor.bfh.ch/id/eprint/19764 |
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