Time to Go? Head Coach Quits and Dismissals in Professional Football

36 Pages Posted: 26 Mar 2017

See all articles by Babatunde Buraimo

Babatunde Buraimo

University of Liverpool - Management School (ULMS)

Alex Bryson

UCL ; National Institute of Economic and Social Research (NIESR)

Rob W. Simmons

Lancaster University

Abstract

That football Head Coaches will be dismissed for poor performance and will quit when they have better outside options seems to be nothing more than a statement of the obvious. But owners may find it hard to distinguish poor performance from bad luck and may find it difficult to identify and attract talented managers from other clubs. Indeed, most of the literature indicates little improvement in team performance when one coach replaces another. Equally, Head Coaches may have few options to move to better clubs even when they are performing well.We identify significant differences between determinants of quits and dismissals that are largely consistent with a standard model which predicts departures occur when the value of the job match specific surplus for one or both parties falls below the value of outside options. However, dismissals and quits are more common in Italy and Spain than in Germany and France, suggesting institutions may be important. We discuss the implications of our findings in the context of principal-agent theory and the wider literature on turnover among CEOs and other corporate leaders.

Keywords: quits, dismissals, layoffs, managerial performance, team performance, football, survival analysis, competing risks

JEL Classification: J23, J24, J63, J64

Suggested Citation

Buraimo, Babatunde and Bryson, Alex and Simmons, Rob W., Time to Go? Head Coach Quits and Dismissals in Professional Football. IZA Discussion Paper No. 10600, Available at SSRN: https://ssrn.com/abstract=2940590 or http://dx.doi.org/10.2139/ssrn.2940590

Babatunde Buraimo (Contact Author)

University of Liverpool - Management School (ULMS) ( email )

Chatham Street
Liverpool, L69 7ZH
United Kingdom

Alex Bryson

UCL ( email )

20 Bedford Way
London, WC1H 0AL
United Kingdom

HOME PAGE: http://https://iris.ucl.ac.uk/iris/browse/profile?upi=ABRYS65

National Institute of Economic and Social Research (NIESR) ( email )

2 Dean Trench Street
Smith Square
London, SW1P 3HE
United Kingdom

HOME PAGE: http://www.niesr.ac.uk/staff/staffdetail.php?StaffID=307

Rob W. Simmons

Lancaster University ( email )

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