Ariely: Sector-specific human capital models are no better than universal models
Dan Ariely · Dan Ariely – The Human Capital Factor (Capital Allocators, EP.195) · May 17, 2021 · at 35:04
Behavioral economist Dan Ariely discusses whether human capital and motivation factors vary between tech and traditional manufacturing sectors.
0:00 / 0:40exact quote · 40.0s
720p mp4 · rendered on demand · StarZero watermark
“So we didn't do this research during COVID, but we did, of course, in the pre-COVID data, right, from 2006 and on, and we found no difference. When you do kind of statistical modeling, there's what's called nested models. So you could say, let me create a model for within each sector, manufacturing, consumer goods, IT, and let me also create a factor across everything, and let's see whether the nested model, where allowed the model to change within each sector is better in any way. And it wasn't. It wasn't better.”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Dan Ariely
Ariely: Token female leadership appointments make female employees feel worse
“We found that some companies, when they assign women to high positions, The women within these companies feel worse. Why? Because they take it as an indication that the company doesn't really care about them, that they're only doing things to appeal to PR, lik…”
Ariely: Compensation fairness drives performance much more than absolute pay levels
“We found that overall level of compensation doesn't matter so much. Fairness, perception of fairness in compensation matters a lot.”
Ariely: Disparity in appreciation between management and rank-and-file hurts stock performance
“One of the things we find is that it's not about just the overall level of, let's say, feeling appreciated. So we find that feeling appreciated is a very good signal. But it's not just the overall level of being appreciated. It's the difference between how man…”
Ariely: The SHE Index systematically underperforms the S&P 500
“Yeah, so it does much worse. Systematically, repeatedly, by big gap.”
Ariely: Low gender sentiment gap delivers 5% annual alpha over S&P
“When we look at our data, and we ask the question of, what is the gap? We said a lot of things are about relativity. So we said, for each company, let's calculate the gap between how men feel and how women feel. Like, you know, do you feel appreciated? What's …”