Scarce Human Capital in Managerial Labor Markets

摘要

Strategic human capital scholars are increasingly recognizing the importance of human capital scarcity for explaining individual and firm outcomes. This article focuses on scarce human capital in the top manager labor market-and in particular, patterns in which top managers and firms form employment relationships. This examination redirects strategic human capital scholarship in three important ways. First, the findings point to the importance of specifying an omission from prior human capital scholarship: the relationship between human capital and the firm's resource base (e.g., potential complementarities). Second, the article illustrates the need to simultaneously consider both human capital scarcity and complementarities, and reinforces that scarce human capital can indeed be general human capital. Finally, the theory explains how complementarities fundamentally alter value creation and appropriation dynamics. Specifically, complementarities facilitate the matching of the best managers and firms with the most productive resources, increase the size of the pie (financial proceeds) from the employment relationship, and can enhance the manager's bargaining power in the division of these proceeds.