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Training, Soft Skills and Productivity: Evidence from a Field Experiment in Retail

Author

Listed:
  • Prada, María Fernanda
  • Rucci, Graciana
  • Urzúa, Sergio
Abstract
Understanding the causal association between skills and productivity is essential for designing effective training programs. This paper evaluates an intervention aimed at boosting leadership and communication skills among store managers and sales associates from a large Latin American retailer. The empirical analysis is carried out using longitudinal information gathered by the firm and through two skills surveys. The Identification exploits the experimental design in the context of a difference-in-difference strategy. The results indicate large positive effects of the training program on store-level productivity. We further link these Findings to individual-level performance measures. In particular, we document positive effects on total sales and numbers of transactions for all workers. Regarding the mechanisms, we provide evidence suggesting that the intervention was more effective in boosting leadership skills than communication skills. Spillovers from trained managers to untrained sales representatives also contribute to the main effects. Our findings point towards the possibility of increasing productivity through training programs targeting critical skills.

Suggested Citation

  • Prada, María Fernanda & Rucci, Graciana & Urzúa, Sergio, 2019. "Training, Soft Skills and Productivity: Evidence from a Field Experiment in Retail," IDB Publications (Working Papers) 9647, Inter-American Development Bank.
    • Handle: RePEc:idb:brikps:9647
    DOI: http://dx.doi.org/10.18235/0001714
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    References listed on IDEAS

    as
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    Cited by:

    1. Dammert, Ana C. & Nansamba, Aisha, 2023. "Skills training and business outcomes: Experimental evidence from Liberia," World Development, Elsevier, vol. 162(C).
    2. Sauermann, Jan & Stenberg, Anders, 2020. "Assessing Selection Bias in Non-Experimental Estimates of the Returns to Workplace Training," IZA Discussion Papers 13789, Institute of Labor Economics (IZA).
    3. Sauermann, Jan, 2015. "Worker Reciprocity and the Returns to Training: Evidence from a Field Experiment," IZA Discussion Papers 9179, Institute of Labor Economics (IZA).

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    More about this item

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • M53 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Training

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