The productivity paradox of information technology
Communications of the ACM
The substitution of information technology for other factors of production: a Firm Level Analysis
Management Science - Special issue: Frontier research on information systems and economics
Firm Characteristics and Investments in Information Technology: Scale Andscope Effects
Information Systems Research
Information technology and internal firm organization: an exploratory analysis
Journal of Management Information Systems - Special section: Strategic and competitive information systems
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Our paper uses a large longitudinal survey of establishments to address two questions: Has IT implementation significantly contributed to workplace performance? Do IT implementations have a positive or negative effect on high performance human resource/workplace practices, compensation practices and training? We put forth four main hypotheses and four auxiliary hypotheses. Three of our four main hypotheses were not rejected: that higher use of IT will increase productivity, that higher use of compensation practices will increase productivity, and that increased training will increase productivity. The hypothesis that increased use of workplace practices will increase productivity was neither rejected nor accepted. There was partial support for the hypothesis that increased investment in IT will increase productivity. The remaining three auxiliary hypotheses were rejected: that the interaction between IT and compensation practices should be positive, that the interaction between IT and workplace practices should be positive, that the interaction between IT and training should be positive. The latter findings are puzzling and point to the need for further research into the effects of computer use and generally accepted practices which should increase productivity.