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Influence of information technology investment on firm productivity: a cross‐sectional study

Subhasish Dasgupta (Subhasish Dasgupta is Assistant Professor of Information Systems, Department of Information Systems and Sciences, College of Business Administration, Fairleigh Dickinson University, New Jersey, USA)
Joseph Sarkis (Joseph Sarkis is Assistant Professor of Operations Management, Graduate School of Management, Clark University, Worcester, Massachusetts, USA)
Srinivas Talluri (Srinivas Talluri is Assistant Professor of Production Management, Department of Information Systems and Sciences, College of Business Administration, Fairleigh Dickinson University, New Jersey, USA)

Logistics Information Management

ISSN: 0957-6053

Article publication date: 1 February 1999

3082

Abstract

Impact of information technology on firm productivity has received significant attention in information systems literature. Although many studies were performed to investigate this effect, the results were not conclusive in supporting a systematic effect. This study investigates this phenomenon in both manufacturing and service industries by considering a sample of 85 manufacturing and 77 service firms. Our research methodology utilizes a combination of various data envelopment analysis models and non‐parametric statistical techniques in testing for the influence of information technology investment on firm productivity. We investigate this effect under conditions of both constant and non‐constant returns to scale assumptions. Our results provide some very interesting insights and recommendations.

Keywords

Citation

Dasgupta, S., Sarkis, J. and Talluri, S. (1999), "Influence of information technology investment on firm productivity: a cross‐sectional study", Logistics Information Management, Vol. 12 No. 1/2, pp. 120-129. https://doi.org/10.1108/09576059910256493

Publisher

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MCB UP Ltd

Copyright © 1999, MCB UP Limited

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