As the football season draws to a close, managers the world over probably wish they could introduce a star player to their team and give them the boost they need to get over the line. Research from the University of Maryland explores the best circumstances in which to introduce such talent.

The researchers gathered data from the introduction of thousands of new players in football leagues across Europe and found that very talented players who joined teams halfway through the season had the biggest impact when their new team was struggling when they were signed. The biggest impact of all, however, was when they joined more successful teams before the season started so they could gel with their new teammates.

Corporate crossover

The researchers believe that their findings have parallels with the corporate world, where companies often pay a premium to hire the highest-profile talent. This is especially so as it wasn’t simply a case of throwing money at the best talent, they had to be given the right environment too.

“When you pay a premium for high talent, there’s an expectation that the extra money pays off right off the bat,” the researchers explain. “But that’s not always the case.”

For instance, adding one new star seemed to be more effective than adding a number of them when they joined midseason, but this wasn’t the case if a number of stars joined during pre-season. Similarly, lower-performing teams seemed to see a bigger boost from the introduction of a new star than a higher-performing team.

“It’s almost like you’re bringing a saver in,” the researchers explain. “Regardless of when they joined, the effect of newcomer human capital was more positive when they joined a lower-performing team because the team really needed them.”

Investing wisely

They believe that in both business and sport, there are clear incentives for improving one’s teams, but that it’s important that you invest wisely in new talent.

“You don’t want to overpay for talent, but in contexts where the market value of a newcomer is linked to a higher level of human capital, it’s a good investment,” they explain. “And that investment is especially beneficial to lower-performing teams.”

If you’re looking to improve your team, it may be tempting to invest in a single superstar, but that might not always be the best route to take.

“There’s a lot we can learn from professional sports teams about business,” the authors conclude. “A team is a large business in itself, and it’s also an organization. There are implications for organizational-level performance with these factors of adding newcomers. These are people at the top of their game.”