Horizontal Transfer and Promotion: New Evidence and an Interpretation from the Perspective of Task-Specific Human Capital

64 Pages Posted: 21 Apr 2012 Last revised: 20 Apr 2023

See all articles by Masaru Sasaki

Masaru Sasaki

Osaka University - Institute of Social and Economic Research (ISER)

Katsuya Takii

Osaka University - Osaka School of International Public Policy (OSIPP)

Junmin Wan

Osaka University - Osaka School of International Public Policy (OSIPP)

Abstract

This paper provides new evidence about horizontal transfer and promotion using the largest available personnel panel data in Japan and interprets them from the perspective of task-specific human capital. We find that firms synchronize their employees’ promotion and horizontal transfers. Then, we show theoretically that task-specific human capital can naturally generate such synchronization. We also find that the directors in an accounting department have the highest probability of being promoted to become board members, while those in a research department have the lowest. This suggests that top managers need a balanced skill set, in which allocative skill is relatively important.

Keywords: task-specific human capital, promotion, rotation

JEL Classification: J62, M51

Suggested Citation

Sasaki, Masaru and Takii, Katsuya and Wan, Junmin, Horizontal Transfer and Promotion: New Evidence and an Interpretation from the Perspective of Task-Specific Human Capital. IZA Discussion Paper No. 6486, Available at SSRN: https://ssrn.com/abstract=2043488 or http://dx.doi.org/10.2139/ssrn.2043488

Masaru Sasaki (Contact Author)

Osaka University - Institute of Social and Economic Research (ISER) ( email )

6-1 Mihogaoka
Ibaraki, Osaka 567-0047
Japan

Katsuya Takii

Osaka University - Osaka School of International Public Policy (OSIPP) ( email )

1-31, Machikaneyama
Toyonaka, Osaka 560-0043
Japan
06-6850-5631 (Phone)
06-6850-5656 (Fax)

HOME PAGE: http://www2.osipp.osaka-u.ac.jp/~takii/

Junmin Wan

Osaka University - Osaka School of International Public Policy (OSIPP) ( email )

1-31 Machikaneyama
Toyonaka, Osaka 560-0043
Japan

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