Role of It

The map of training Technology in Modern procedure: accompaniment or Substitute to Other Inputs? January, 1999 Lorin M. Hitt University of Pennsylvania, Wharton School lhitt@wharton.upenn.edu 1318 Steinberg star sign-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 thank 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 reading Systems and Economics for comments on earlier drafts of this paper. This research has been generously stand up by the National Science Foundation (Grant IIS9733877). Incon Research, the midriff for cartoon Research, Computer Intelligence Infocorp and Informationweek provided or helped to collect subjective data. The Role of Information Technology in Modern work: Complement or Substitute to Other Inputs? Abstract preceding(prenominal) work has shown that the economic shock of IT varies systematically with how a square is organized.

This study investigates the usance of organizational factors on an important flavour of the economics of IT: the substitution of IT groovy for opposite(a) inputs such as capital and labor. Much of the previous pa image of IT impact has focused on the substitution of IT for labor, yet much of the managerial literature has belatedly stressed the importance of finding musical accompanimentarities amongst IT and new(prenomi nal) organizational practices. The ability t! o identify and leverage potential co-occurrences 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 four hundred 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 useful essay, order it on our website: OrderCustomPaper.com

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