INSEAD, the leading international business school, has launched a Randomised Controlled Trials (RCT) Lab at its Abu Dhabi campus to promote academic research on the drivers of productivity, growth and competitiveness of organizations using randomized field experiments. Findings from this research will be translated into management and policy recommendations grounded in data evidence. This research will aid senior decision makers in government and industry to make better decisions on resource allocations and help promoting economic development and overall prosperity in the region.
Professor Maria Guadalupe, the Academic Director of the INSEAD RCT Lab, explained the value of field experiments using RCTs: “This is the standard methodology used in medicine through clinical trials and the ‘gold standard’ for high-quality research because it allows for causal evaluation and eliminates biases through randomization.” Scholars in management science and economics are now increasingly adopting this methodology which can be used to study the effect on outcomes such as employee retention, career development, small firm growth or adoption of behavioral change.
Funded by the Abu Dhabi Education Council (ADEC), the INSEAD RCT Lab will promote research to conduct field experiments with organizations using RCTs, providing the infrastructure and support to researchers.
Dr. Jihad Mohaidat, Global Partnerships Division Manager at ADEC, emphasized ADEC’s keenness in promoting research, innovation and experimentation that support decision making: “Part of ADEC’s strategy plan is to ensure that decision makers use innovative and creative approaches to make the best possible decisions. The INSEAD RCT Lab will help support that idea, since it encourages experimentation with different policies and learning from ‘trial and error’ at a small scale to find the optimal solution before rolling it out to the whole organization, which is exactly what we want decision makers to go through. Using this methodology is part of the 21st century’s learning curve which will help decision makers to lead their organizations to excellence in challenging and competitive environments,” said Dr. Mohaidat.
ADEC’s Global Partnership Division Manager added: “We are happy to be part of this major milestone through our esteemed partnership with INSEAD and look forward for more innovative ideas.”
Commenting on the vision behind the INSEAD RCT Lab, Peter Zemsky, Deputy Dean and Dean for Strategic Initiatives and Innovation at INSEAD, said: “Our goal with the INSEAD RCT Lab is to highlight the role that academic research plays in driving the productivity, growth and competitiveness of organizations that adopt evidence-based management and policy recommendations.” Zemsky added, “We expect RCTs to become the ‘gold standard’ in management and economic research and with the INSEAD RCT Lab, we aim to position INSEAD and Abu Dhabi at the forefront of this development.”
Miguel Lobo, Associate Professor of Decision Sciences, and Director of the Abu Dhabi campus added: “UAE’s selection as the location for the RCT Lab demonstrates INSEAD’s commitment to the region’s progress and economic diversification. We see a great potential to rollout field experiments with RCTs largely due to the region’s open and dynamic business environment as well as its strategic location as a gateway to Africa; a market with unexplored possibilities and enormous growth potential.” He added: “We invite the business leaders and policy makers of this region to embrace innovation, explore and work together towards more impactful policies and strategies in organisations and sustainable knowledge based economies.”
The first INSEAD RCT Day started with an academic research workshop. At this workshop, five leading international scholars presented and discussed their research: David McKenzie (World Bank), Bruno Crépon (ENSAE, Abdul Latif Jameel Poverty Action Lab — JPAL), Imran Rasul (University College London), Lucia Del Carpio (INSEAD), and Stephen Anderson—Macdonald (London Business School). Overall, 36 participants attended the research workshop, including researchers from five universities in the UAE (INSEAD, NYU Abu Dhabi, American University of Sharjah, UAE University and Zayed University) and participants from Saudi Arabia, Jordan and Egypt.
The first INSEAD RCT Day closed with the ‘INSEAD RCT Majlis’, an exclusive event for senior decision makers from the government and industry. Florian Schloderer from the INSEAD RCT Lab explained: “At the Majlis, we engaged stakeholders in a conversation with researchers how randomized field experiments could create value to them. Such conversations are vital to design and implement projects that promote academic research and create impact.”
About Abu Dhabi Education Council:
Abu Dhabi Education Council (ADEC) was established in accordance with law No. 24 of 2005, issued by His Highness Sheikh Khalifa Bin Zayed Al-Nahyan, the UAE President, the Supreme Commander of the Armed Forces and the Ruler of Abu Dhabi. The Chairman of ADEC is H.H. Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces and the Vice-Chairman is H.H. Sheikh Mansour Bin Zayed Al-Nahyan, Minister of Presidential Affairs. The Council seeks to develop education and educational institutions in the Emirate of Abu Dhabi, implement innovative educational policies, plans and programs that aim to improve education, and support educational institutions and staff to achieve the objectives of national development in accordance with the highest international standards.
For more information about ADEC please call its headquarters at +971 (2) 6150 000 or visit our website: http://www.adec.ac.ae
