Friday, 27 June 2008

More on gaining social capital by losing good people

I posted last month on April's Harvard Business Review article explaining that an old employer's social capital may go up after an employer leaves.

This dealt specifically with the increase in patents a firm might experience after the departure of an inventor to another company. The point is that the old firm tends to gain knowledge from the new company (through an increase in social / relationship capital) as well as the new company gaining knowledge (in the form of human capital) from the old firm.

Well there is also some research reaching very similar conclusions in this Summer's MIT Sloan Management Review.

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