Management Development in a Developing Economy

Abstract

This article presents some results gathered as part of a longitudinal research project designed to examine the Russian President's Management Training Initiative (RPMTI), a measure introduced by the Russian government in 1997 as a strategy designed to improve the performance of the Russian economy. The research is especially concerned with the onand off-the-job training undertaken in Britain, under the auspices of the Initiative.

The effectiveness of this training is assessed within the theoretical context provided by the literature on the economics of training, in particular the work of Becker (1962). Becker's widely cited distinction between general and firm-specific training has important implications regarding the issue of payment for any training provided.

The intention was to track managers' career paths, following their acquisition of the RPMTI Diploma. Data from this source were also compared with information gathered from interviews with representatives from two Russian universities that were involved with the classroom-based teaching that these managers undertook, in the year prior to their arrival in Britain.

The main conclusion reached is that while the RPMTI may well have benefited individual managers at a microeconomic level, it remains to be seen whether it will achieve the macroeconomic objectives targeted by the Russian government, or the alleviation of poverty, set by DFID.

Key Words:

• Internal labour markets
• firm specific/general training
• microeconomic/macroeconomic gains