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Information Technology, Workplace Organization and the Demand for Skilled Labor: Firm-level Evidence
, 2000
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A resource-based perspective on information technology capability and firm performance: An empirical investigation
- MIS Quarterly
, 2000
"... The resource-based view of the firm attributes superior financial performance to organizational resources and capabilities. This paper develops the concept of IT as an organizational capability and empirically examines the association between IT capability and firm performance. Firm specific IT reso ..."
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Cited by 439 (1 self)
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The resource-based view of the firm attributes superior financial performance to organizational resources and capabilities. This paper develops the concept of IT as an organizational capability and empirically examines the association between IT capability and firm performance. Firm specific IT resources are classified as IT infrastructure, human IT resources, and IT-enabled intangibles. A matched-sample comparison group metho-dology and publicly available ratings are used to assess IT capability and firm performance. Results indicate that firms with high IT capability tend to outperform a control sample of firms on a variety of profit and cost-based performance measures. 1Sirkka Jarvenpaa was the accepting senior editor for this paper.
Does the “New Economy” Measure up to the Great Inventions of the Past?
- JOURNAL OF ECONOMIC PERSPECTIVES—VOLUME 14, NUMBER 4—FALL 2000—PAGES 49–74
, 2000
"... A widespread belief seems to be emerging, at least in the popular press, that the U.S. economy is in the throes of a fundamental transformation, one which is wiping out the 1972–95 productivity slowdown, along with inflation, the budget deficit, and the business cycle. A typical recent comment, in a ..."
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Cited by 376 (3 self)
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A widespread belief seems to be emerging, at least in the popular press, that the U.S. economy is in the throes of a fundamental transformation, one which is wiping out the 1972–95 productivity slowdown, along with inflation, the budget deficit, and the business cycle. A typical recent comment, in a Wall Street Journal article, claimed that “when it comes to technology, even the most bearish analysts agree the microchip and Internet are changing almost everything in the economy” (Ip, 2000). Or as an article in Fortune (June 8, 1998, pp. 86–87) magazine put it, “The [computer] chip has transformed us at least as pervasively as the internal combustion engine or electric motor.” Alan Greenspan (1999) appears to be among the technological enthusiasts. He recently stated: “A perceptible quickening in the pace at which technological innovations are applied argues for the hypothesis that the recent acceleration in labor productivity is not just a cyclical phenomenon or a statistical aberration, but reflects, at least in part, a more deep-seated, still developing, shift in our economic landscape. ” The true enthusiasts treat the New Economy as a fundamental industrial revolution as great or greater in importance than the concurrence of inventions, particularly electricity and the internal combustion engine, which transformed the world at the turn of the last century. There is no dispute that the U.S. economy is awash in computer investment, that productivity has revived, and that the late 1990s were extremely good years for the U.S. economy. Indeed, Robert M. Solow has now declared obsolete his 1987 paradox that “we can see the computer age everywhere but in the productivity statistics” (Uchitelle, 2000). However, room remains for a degree of skepticism.
Review: information technology and organizational performance: an integrative model of IT business value
, 2004
"... Despite the importance to researchers, managers, and policy makers of how information technology (IT) contributes to organizational performance, there is uncertainty and debate about what we know and don’t know. A review of the literature reveals that studies examining the association between infor ..."
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Cited by 323 (3 self)
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Despite the importance to researchers, managers, and policy makers of how information technology (IT) contributes to organizational performance, there is uncertainty and debate about what we know and don’t know. A review of the literature reveals that studies examining the association between information technology and organizational performance are divergent in how they conceptualize key constructs and their interrelationships. We develop a model of IT business value based on the resource-based view of the firm that integrates the various strands of research into a single framework. We apply the integrative model to synthesize what is known about IT business value and guide future research by developing propositions and suggesting a research agenda. A principal finding is that IT is valuable, but the extent and dimensions are dependent upon internal and external factors, including complementary organizational resources of the firm and its trading partners, as well as the competitive and macro environment. Our analysis provides a blueprint to guide future research and facilitate knowledge accumulation and creation concerning the organizational performance impacts of information technology.
Beyond computation: Information technology, organizational transformation and business performance
- Journal of Economic Perspectives
, 2000
"... To understand the economic value of computers, one must broaden the traditional definition of both the technology and its effects. Case studies and firm-level econometric evidence suggest that: 1) organizational “investments ” have a large influence on the value of IT investments; and 2) the benefit ..."
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Cited by 284 (7 self)
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To understand the economic value of computers, one must broaden the traditional definition of both the technology and its effects. Case studies and firm-level econometric evidence suggest that: 1) organizational “investments ” have a large influence on the value of IT investments; and 2) the benefits of IT investment are often intangible and disproportionately difficult to measure. Our analysis suggests that the link between IT and increased productivity emerged well before the recent surge in the aggregate productivity statistics and that the current macroeconomic productivity revival may in part reflect the contributions of intangible capital accumulated in the past.
Computing Productivity: Firm-Level Evidence
- Review of Economics and Statistics
, 2003
"... We explore the effect of computerization on productivity and output growth using data from 527 large US firms over 1987-1994. We find that computerization makes a contribution to measured productivity and output growth in the short term (using one year differences) that is consistent with normal ret ..."
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Cited by 201 (8 self)
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We explore the effect of computerization on productivity and output growth using data from 527 large US firms over 1987-1994. We find that computerization makes a contribution to measured productivity and output growth in the short term (using one year differences) that is consistent with normal returns to computer investments. However, the productivity and output contributions associated with computerization are up to five times greater over long periods (using five to seven year differences). The results suggest that the observed contribution of computerization is accompanied by relatively large and time-consuming investments in complementary inputs, such as organizational capital, that may be omitted in conventional calculations of productivity. The large long-run contribution of computers and their associated complements that we uncover may partially explain the subsequent investment surge in computers in the late 1990s.
An Exploratory Study of the Emerging Role of Electronic Intermediaries
- INTERNATIONAL JOURNAL OF ELECTRONIC COMMERCE
, 1997
"... It is often argued that as electronic markets lower the cost of market transactions, traditional roles for intermediaries will be eliminated, leading to "disintermediation." We discuss the findings of an exploratory study of intermediaries in electronic markets, which suggest that markets ..."
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Cited by 184 (4 self)
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It is often argued that as electronic markets lower the cost of market transactions, traditional roles for intermediaries will be eliminated, leading to "disintermediation." We discuss the findings of an exploratory study of intermediaries in electronic markets, which suggest that markets do not necessarily become disintermediated as they become facilitated by information technology. We explore thirteen case studies of firms participating in electronic commerce and find evidence of certain new emerging roles for electronic intermediaries, including: aggregating, matching suppliers and customers, providing trust, and providing inter-organizational market information. Two specific examples are discussed in greater detail to illustrate an unsuccessful strategy for electronic intermediation (BargainFinder) as well as a successful one (Firefly).
Executives’ perceptions of the business value of information technology: A process-oriented approach
- Journal of Management Information Systems
, 2000
"... Despite significant progress in evaluating the productivity payoffs from information technology (IT), the inability of traditional firm-level economic analysis to fully account for the intangible impacts of IT has led to calls for a more inclusive and comprehensive approach to measuring IT business ..."
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Cited by 156 (5 self)
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Despite significant progress in evaluating the productivity payoffs from information technology (IT), the inability of traditional firm-level economic analysis to fully account for the intangible impacts of IT has led to calls for a more inclusive and comprehensive approach to measuring IT business value. In response to this call, we develop a process-oriented model to assess the impacts of IT on critical business activities within the value chain. Our model incorporates corporate goals for IT and management practices as key determinants of realized IT payoffs. Using survey data from 304 business executives worldwide, we found that corporate goals for IT can be classified into one of four types: unfocused, operations-focus, market-focus and dual-focus. Our analysis confirms that these goals are a useful indicator of payoffs from IT in that executives in firms with more focused goals for IT perceive greater payoffs from IT across the value chain. In addition, we found that management practices such as strategic alignment and IT investment evaluation contribute to higher perceived levels of IT business value.- 1-
Information technology and economic performance: A critical review of the empirical evidence
- ACM Computing Survey
, 2003
"... For many years, there has been considerable debate about whether the IT revolution was paying off in higher productivity. Studies in the 1980s found no connection between IT investment and productivity in the U.S. economy, a situation referred to as the productivity paradox. Since then, a decade of ..."
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Cited by 149 (4 self)
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For many years, there has been considerable debate about whether the IT revolution was paying off in higher productivity. Studies in the 1980s found no connection between IT investment and productivity in the U.S. economy, a situation referred to as the productivity paradox. Since then, a decade of studies at the firm and country level has consistently shown that the impact of IT investment on labor productivity and economic growth is significant and positive. This article critically reviews the published research, more than 50 articles, on computers and productivity. It develops a general framework for classifying the research, which facilitates identifying what we know, how well we know it, and what we do not know. The framework enables us to systematically organize, synthesize, and evaluate the empirical evidence and to identify both limitations in existing research and data and substantive areas for future research. The review concludes that the productivity paradox as first formulated has been effectively refuted. At both the firm and the country level, greater investment in IT is associated with greater productivity growth. At the firm level, the review further concludes that the wide range of performance of IT investments among different
Effect of Information Systems Resources and Capabilities on Firm Performance
- Journal of Management Information Systems
, 2005
"... tegic implications of information technology, supply chain management and business model innovations, innovation diffusion and assimilation, and organizational renewal and growth through innovations. His research in some of these areas has been funded ..."
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Cited by 107 (2 self)
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tegic implications of information technology, supply chain management and business model innovations, innovation diffusion and assimilation, and organizational renewal and growth through innovations. His research in some of these areas has been funded
