Implications of Utility Analysis Adjustments for Estimates of Human Resource Intervention Value
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Sturman, Michael C.
This paper argues that most utility analysis (UA) applications are flawed because they employ an overly simplistic formula. This piece reviews the literature on UA adjustments and demonstrates that the adjustments have a large impact on resulting estimates. These results imply that human resources programs do not invariably yield positive returns; rather, intervention success is contingent on program-specific, organizational, and environmental factors.
utility analysis; UA; adjustments; estimates; human resources
Required Publisher Statement: © SAGE. Final version published as: Sturman, M. C. (2000). Implications of utility analysis adjustments for estimates of human resource intervention value. Journal of Management, 26(2), 281-299. doi: 10.1177/014920630002600206. Reprinted with permission. All rights reserved.