ICT and occupation-based measures of organisational change: Firm and employee outcomes

Böckerman, Petri and Kauhanen, Antti and Maliranta, Mika (2012): ICT and occupation-based measures of organisational change: Firm and employee outcomes.

Abstract

To examine the productivity, employment and wage effects of ICT, we apply novel occupationbased measures of organisational change within firms. With these measures, we directly address the complementarities between ICT and organisational changes. Our results support the view that organisational change complements ICT investments in a productivity-enhancing manner. In particular, the ICT-driven productivity gains are associated with the destruction of routine and noninteractive tasks in an organisation. Furthermore, using longitudinal aspects of our linked employeremployee data, we find that whereas ICT does not affect the probability of an employee becoming unemployed, it has a positive impact on the wage growth of retained employees.

• Item Type: MPRA Paper
• Language: English
• Keywords: ICT; innovation; organisational change; restructuring; productivity; performance; wages
• Subjects: J - Labor and Demographic Economics > J3 - Wages, Compensation, and Labor Costs > J31 - Wage Level and Structure ; Wage Differentials; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L23 - Organization of Production; J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J24 - Human Capital ; Skills ; Occupational Choice ; Labor Productivity; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M5 - Personnel Economics > M51 - Firm Employment Decisions ; Promotions

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