Revisiting corporate universities: Strategic choices shaping performance in telecom

Area of Science:

• Business Administration
• Strategic Management
• Human Resource Development

Background:

• Empirical research on the impact of corporate universities (CUs) on corporate performance remains limited.
• CUs have evolved over the past century, necessitating an updated understanding of their strategic value.
• Existing literature often overlooks the strategic implications of CUs beyond their educational function.

Purpose of the Study:

• To empirically assess the strategic value and impact of corporate universities (CUs) on corporate performance.
• To address the gap in empirical studies examining the link between CUs and business outcomes.
• To provide a comparative analysis of CU implementation effects across diverse corporate settings.

Main Methods:

• Application of two quasi-experimental designs: Propensity Score Matching (PSM) and Synthetic Control Group (SCG).
• Analysis of data from 18 listed European telecom companies and 80 Spanish corporations (2004-2018).
• Comparative analysis of CU effects in different corporate environments and industries.

Main Results:

• CU establishment is identified as a strategic choice significantly contributing to corporate performance, identity, and strategy.
• Findings indicate CUs are more than isolated educational investments, offering strategic advantages.
• The strategic role of CUs is particularly evident in rapidly evolving sectors requiring strategic human capital development.

Conclusions:

• Corporate universities play a crucial strategic role in enhancing overall corporate success.
• The study contributes novel empirical insights and methodological approaches to understanding strategic decisions like CU implementation.
• Results foster dialogue between strategic human resource management and corporate investors on the value of CUs.