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Economic production --- Computer. Automation

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Management practices are potential drivers of productivity. Therefore, it is interesting to investigate the relationship between management practices and productivity. To do so, we use the World Management Survey tool to collect management practice data from 38 firms in Belgium. Our Belgian data and the publicly available World Management Survey data result in an extensive dataset. Analyzing these data of more than 5000 medium-sized manufacturing firms, ten European Union member states and a variety of industry groups, we find that the World Management Survey measures of management practices are positively and significantly associated with firm-level productivity. Within the broad research field of management, we take a closer look at the relationship between the human resource components of management and productivity. By means of our extensive set of data, we find that the World Management Survey measures of the human resource components of management are positively and significantly related to productivity. Furthermore, we demonstrate that these human resource components of management and productivity are less strongly related than non-human resource components of management and productivity. Our cross-country cross-industry group evidence complements earlier findings in the management and human resource management literature.