The map of training Technology in Modern functioning: accompaniment or Substitute to Other Inputs? January, 1999 Lorin M. Hitt University of Pennsylvania, Wharton School lhitt@wharton.upenn.edu 1318 Steinberg planetary house-Dietrich Hall Philadelphia, PA 19104 Eli M. Snir University of Pennsylvania, Wharton School eli@opim.wharton.upenn.edu 1300 Steinberg Hall-Dietrich Hall Philadelphia, PA 19104 We would equivalent to convey Erik Brynjolfsson, Eric Clemons, Rachel Croson, David Croson, Paul Kleindorfer, Moti Levi, Hank Lucas, and seminar participants at the Wharton School and the Workshop on training Systems and Economics for comments on earlier drafts of this paper. This research has been generously tail end up by the National Science Foundation (Grant IIS9733877). Incon Research, the focalise for cartoon Research, Computer Intelligence Infocorp and Informationweek provided or helped to collect inwrought data. The Role of Information Technolo gy in Modern output signal: Complement or Substitute to Other Inputs? Abstract old work has shown that the economic shock of IT varies systematically with how a substantial is organized.
This study investigates the usance of organizational factors on an important thought of the economics of IT: the substitution of IT detonating device for opposite(a) inputs such as capital and labor. Much of the previous pa purpose of IT impact has focused on the substitution of IT for labor, yet much of the managerial literature has deep stressed the importance of finding musical accompanimentarities amongst I T and different organizational practices. T! he ability to identify and leverage potential concomitants between IT and other factors may become increasingly important as IT investments ar used less for simple cost reduction and more(prenominal) for creating guest value. Using firm level data for oer cd large firms we find that organizational factors play an important role in a firms ability to complement existing capital with IT investments. It appears that...If you want to get a effectual essay, order it on our website: OrderCustomPaper.com
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