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Taking time to do it right: The impact of time-compressing experience accumulation on organizational quality outcomes

Stan, M; Kannan, K; (2013) Taking time to do it right: The impact of time-compressing experience accumulation on organizational quality outcomes. In: Proceedings of the 35th DRUID Celebration Conference 2013 in Barcelona. DRUID: Barcelona, Spain. Green open access

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Abstract

Organizations develop new capabilities through "learning by doing". As firms accumulate more experience with production, their productivity increases at a decreasing rate. However, prior work has not examined how speed in experience accumulation (as opposed to the volume of accumulated experience) impacts the organizations' learning curve. We analyze this question using data from fertility clinics in the UK. We show that faster experience accumulation is associated with lower birth rates. We also show that the impact of time compression is exacerbated for clinics that mainly treat complex cases and is mitigated for clinics that employ an integrator to coordinate across the different specialist functions involved in the treatment process. Our results empirically show one mechanism -- shallower learning curves -- that gives rise to time compression diseconomies.

Type: Proceedings paper
Title: Taking time to do it right: The impact of time-compressing experience accumulation on organizational quality outcomes
Event: 35th DRUID Celebration Conference 2013
Location: Barcelona, Spain
Dates: 17 June 2013 - 19 June 2013
Open access status: An open access version is available from UCL Discovery
Publisher version: http://druid8.sit.aau.dk/druid/registrant/index/pa...
Language: English
Additional information: Copyright © The Authors 2013.
UCL classification: UCL
UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL BEAMS
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science > UCL School of Management
URI: https://discovery.ucl.ac.uk/id/eprint/1451536
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