This Article Full Text (PDF) References Alert me when this article is cited Alert me if a correction is posted Services Email this article to a friend Similar articles in this journal Alert me to new issues of the journal Download to citation manager Citing Articles Citing Articles via HighWire Citing Articles via Google Scholar Google Scholar Articles by Huckman, R. S. Articles by Pisano, G. P. Search for Related Content

The Firm Specificity of Individual Performance: Evidence from Cardiac Surgery

Harvard Business School, Boston, Massachusetts 02163, and National Bureau of Economic Research, 1050 Massachusetts Avenue, Cambridge, Massachusetts 20138
Harvard Business School, Boston, Massachusetts 02163
rhuckman{at}hbs.edu
gpisano{at}hbs.edu

In many settings, firms rely on independent contractors, or freelancers, for the provision of certain services. The benefits of such relationships for both firms and workers are often understood in terms of increased flexibility. Less understood is the impact of freelancing on individual performance. While it is often presumed that the performance of freelancers is largely portable across organizations, it is also possible that a given worker’s performance may vary across organizations if he or she develops firm-specific skills and knowledge over time. We examine this issue empirically by considering the performance of cardiac surgeons, many of whom perform operations at multiple hospitals within narrow periods of time. Using patient mortality as an outcome measure, we find that the quality of a surgeon’s performance at a given hospital improves significantly with increases in his or her recent procedure volume at that hospital but does not significantly improve with increases in his or her volume at other hospitals. Our findings suggest that surgeon performance is not fully portable across hospitals (i.e., some portion of performance is firm specific). Further, we provide preliminary evidence suggesting that this result may be driven by the familiarity that a surgeon develops with the assets of a given organization.

Key Words: learning; firm-specific performance; freelance workers; productivity; health care
History: Received: April 28, 2004;

This article has been cited by other articles:

				B. Groysberg and L.-E. Lee Hiring Stars and Their Colleagues: Exploration and Exploitation in Professional Service Firms Organization Science, July 1, 2009; 20(4): 740 - 758. [Abstract] [PDF]

				G. Dokko, S. L. Wilk, and N. P. Rothbard Unpacking Prior Experience: How Career History Affects Job Performance Organization Science, January 1, 2009; 20(1): 51 - 68. [Abstract] [PDF]

				R. S. Huckman, B. R. Staats, and D. M. Upton Team Familiarity, Role Experience, and Performance: Evidence from Indian Software Services Management Science, January 1, 2009; 55(1): 85 - 100. [Abstract] [PDF]

				G. Cattani and S. Ferriani A Core/Periphery Perspective on Individual Creative Performance: Social Networks and Cinematic Achievements in the Hollywood Film Industry Organization Science, November 1, 2008; 19(6): 824 - 844. [Abstract] [PDF]

				L. Pierce and J. Snyder Ethical Spillovers in Firms: Evidence from Vehicle Emissions Testing Management Science, November 1, 2008; 54(11): 1891 - 1903. [Abstract] [PDF]

				B. Groysberg, L.-E. Lee, and A. Nanda Can They Take It With Them? The Portability of Star Knowledge Workers' Performance Management Science, July 1, 2008; 54(7): 1213 - 1230. [Abstract] [PDF]

				F. C. Wezel, G. Cattani, and J. M. Pennings Competitive Implications of Interfirm Mobility Organization Science, November 1, 2006; 17(6): 691 - 709. [Abstract] [PDF]