Information And Communication Technology Investment Research Articles

The mapping of information and communication technologies, and knowledge management processes, with company innovation

Purpose National and organizational innovation is currently at the forefront of media discussion and is viewed as critical to economic development. While the argument for investment is universal, how it should be orchestrated is uncertain. The purpose of this paper is to bring together the three major related components of information and communication technology (ICT), knowledge management processes (KMP) and innovation, to explore empirically the constituents of ICT and KMP that improve innovation within Australian enterprises. Design/methodology/approach The method is a quantitative survey of 148 industry managers. The data was refined through confirmatory factor analysis. The hypotheses were evaluated by regression equations and parameter estimates. The findings were identified by the magnitude of the effect sizes. Findings The study’s evidence illuminated how specific components of ICT and KMP impact on particular aspects of innovation. The findings indicate key emerging relationships and then propose a conceptual model validated by the analysis of the survey evidence. The study identifies that investment in ICT and KMP has a positive impact on innovation performance. A particular finding is that information or data capture technologies have the most significant positive consequence for innovation. Practical implications The modeling can be used by managers as a guide to mapping ICT and KMP to specific innovation outcomes. In a modified form, it could be applied as a self-assessment instrument for managers in organizations. Originality/value This is a valuable addition to current literature, as it is unique in bringing these three key components together, confirming their instrumental impact, and indicating the differentiated investment strategies that can be implemented to achieve specific and unique innovation agendas. In addition, some refined constructs, which were developed as part of this study, provide a pre-tested, validated survey instrument for further research.

Assessing the impact of information and communication technologies on the performance of microfinance institutions in Niger

This paper assesses the impact of information and communication technologies (ICTs) on the performance of microfinance institutions (MFIs) in Niger, West Africa. MFIs play a pivotal role in improving financial inclusion in Niger because the majority of the country’s poor live in rural areas, with only limited and costly access to formal financial services. Using an unbalanced panel of 23 MFIs spanning 2005–2013, single-step generalized moments method (GMM) estimations are run to appraise whether ICT investments improve the financial and the social performance of MFIs. The results show a positive relationship between investments in ICTs and MFIs’ financial performance. Investing more in technologies enables managers to reduce the frequency of operational errors, increase the speed of task execution, decrease operating costs, and increase the likelihood of higher financial profits. The findings also reveal a positive effect of institutional affiliation on the financial performance of MFIs. Namely, MFIs affiliated with a network and investing in ICTs tend to perform better. The impact of ICT investments on the social performance of MFIs is rather weak. From a policy perspective, developing ICT infrastructure can yield substantial performance dividends and should remain a top developmental priority in Niger.

The Role of ICT Projects in Enterprises: Investments, Benefits and Evaluation

The enterprise’s dependency on Information and Communication Technologies (ICT) resources is essential, which cover their several business and operational activities. Enhancing operational capabilities, advancing working environment, and improving employees skills are major benefits provided by modern ICT resources. The real pressure is on organizations to upgrade the ICT infrastructure with latest development to compete in the market. This research investigates the role of ICT projects in an organization from investment, benefits and evaluation perspectives. Based on the literature review, the conceptual framework proposed to understand the relationship between ICT project’s investments, benefits, and evaluation. The main purpose of this study is to investigate the approach of enterprises toward ICT investments. Moreover, to understand the type of ICT evaluation strategies that practicing by organizations. Therefore, the proposed framework is applied and validated through multiple case studies to confirm the list of variables collected from literature review. The conducted investigation will help to certify the findings of literature review through selected case studies. The analysis of responses presented in different format to understand the current role and status of ICT projects; investment, benefits and evaluation performed in different organizations. The outcome of this study will addresses substantial factors and offers references for the organization to build their ICT investment and evaluation model. The type of ICT investment, benefits, and measurement models extracted in this research can act as a reference for the organization to develop their own ICT investments policies.

Impact of information and communication technologies on productivity growth

In modern economy information and communication technologies (ICT) play the essential role. The improvement of ICT infrastructure, developing ICT knowledge and usage can lead to economic growth due to higher productivity. However, this impact can depend on countries' ICT investment or expenditure amount, reached ICT development and productivity levels. Moreover, ICT impact on productivity growth can occur after a certain period. Consequently, forming the ICT development strategies it is important to identify ICT impact period and impact differences between relatively high and low productivity countries. Authors examined the impact of ICT investments on productivity in EU countries covering the period of 1995–2015. Research results have revealed that ICT development positively and directly influences productivity, but this effect manifests with a lag in time. Moreover, it was found that the impact of ICT development on productivity is about twice bigger in countries with relatively high productivity level compared with countries that have relatively low productivity level.

Impact of information and communication technologies on productivity growth

In modern economy information and communication technologies (ICT) play the essential role. The improvement of ICT infrastructure, developing ICT knowledge and usage can lead to economic growth due to higher productivity. However, this impact can depend on countries' ICT investment or expenditure amount, reached ICT development and productivity levels. Moreover, ICT impact on productivity growth can occur after a certain period. Consequently, forming the ICT development strategies it is important to identify ICT impact period and impact differences between relatively high and low productivity countries. Authors examined the impact of ICT investments on productivity in EU countries covering the period of 1995–2015. Research results have revealed that ICT development positively and directly influences productivity, but this effect manifests with a lag in time. Moreover, it was found that the impact of ICT development on productivity is about twice bigger in countries with relatively high productivity level compared with countries that have relatively low productivity level.

The Digital Silk Road and the Sustainable Development Goals

The information and communications technology (ICT) sector has attracted growing interest among stakeholders in countries involved in the Belt and Road Initiative (BRI) and Chinese investors. A Digital Silk Road initiative within the BRI is growing, as countries are encouraged to work together on production and trade enabled by digital technologies. Digital connectivity and the emerging digital economy can have positive impacts on development, as has been demonstrated in some Chinese cities. However, it is difficult to tell whether the Chinese experience will be transferable. This article reviews what China has done in relation to the Digital Silk Road and the possible contributions made towards delivering the Sustainable Development Goals (SDGs) in investee countries. We conclude that while ICT investment has the transformative power to benefit the world’s poorest, its benefits should not be overestimated. Enhancing activities in the virtual world need to be matched with those in the real world to deliver sustainable outcomes.

Smart City: Technologies and Challenges

To address the grand challenges brought about by urbanization, “smart city” has become a ubiquitous concept for sustaining urban and economic growthwhile addressing the environmental and social issues created by that growth. While numerous articles and reports have been written about smart cities, a universal definition of what constitutes a smart city has yet to emerge with widespread consensus. A common theme to most definitions is the utilization of information and communication technologies (ICT) as an enabler to support city development, enhance urban services, and increase stakeholder access to information. Using this theme as a defining element, smart cities are quickly emerging around the world with city-wide investments in ICT to drive technological innovation, to support the development of new industries, to spur a stronger economy, to maintain a sustainable environment, and to enhance the quality of life of citizens.

Effects of information and communication technology and real income on CO2 emissions: The experience of countries along Belt and Road

In recent years, information and communication technology (ICT) and its impact on society are debated; however, little research has been conducted regarding the future environmental consequences of ICT in various countries. However, this study presented the empirical analysis of the relationship between ICT, real income, and CO2 emissions while considering foreign direct investment and international trade. The study presents an innovative methodological approach by introducing the interaction of ICT with foreign direct investment and international trade. For empirical estimation, this study used the generalized least-square method in 59 countries along Belt and Road from 1990 to 2016. The results summarized that ICT mitigates the level of CO2 emissions in countries along Belt and Road. Further, the moderating effect of ICT and foreign direct investment reduces CO2 emissions and the interaction between ICT and international trade does the same. Based on the policy perspective, the countries along Belt and Road need to strategically focus on promoting trade and investment in the ICT sector and also on innovations to promote sustainable economic development.

Are information and communication technologies (ICTs) displacing workers? The relationship between ICT investment and employment

This study examined how information communication technologies (ICT) investment affected sales and employment at 76 small and medium-sized Korean companies during 2009–2013. Especially, this study investigated the effects of ICT investment on sales in general and by subsets of investment in hardware, software, and ICT staff. Studies normally assumed a standard Cobb-Douglas production function, and measured variables in logarithms. In line with previous studies, we assumed that firms produced output, performance, or productivity via a Cobb–Douglas production function model with inputs capital and labor. We then suggested a new model that could be incorporated into the production function above to estimate the effect of the interaction between ICT investment and labor on sales. This study found that hardware investment complemented labor in increasing performance, whereas investments in software and ICT staff substituted labor. These results show that ICT investment might affect firm-level employment, and what business managers must consider insofar as each subset of ICT investment exerts differing effects on firm-level employment. This study also found that the effect of ICT investment on firm-level employment might be more pronounced among smaller firms and firms outside the IT industry. This study also demonstrated that ICT investment complemented labor and that the effects differed for specific types of ICT. This study can help managers respond to the challenges of ICT investment or employment, and provides a framework for analyzing the strategic significance of ICT investment and employment.

Information and communication technologies and economic development in Africa in the short and long run

This study investigates the relationship between information and communication technologies (ICTs) and economic development in Africa for the period 2001–15 using Fully Modified Ordinary Least Square (FMOLS) and panel Granger analysis, which accounts for cross-sectional dependence. The empirical results show that ICTs have significant positive effects on economic development. Similarly, the results show that ICTs lead to economic development and economic development also leads to greater investment in ICTs both in the short and in the long run. ICTs therefore play significant roles in economic development and in turn economic development plays significant roles in the expansion of ICTs in Africa both in the short and in the long run. The study concludes that the rapid growth of mobile telephony and Internet penetration in Africa can be used to promote the needed economic development in the continent not only in the short run but also in the long run.

Does the digital gap matter? Estimating the impact of ICT on productivity in developing countries

Could the adoption of Information and Communication Technology (ICT) be the means to higher growth and productivity in developing countries? An alarming slump of global productivity growth rates, especially after the global financial crisis, underlines the relevance of this question which does not find a clear answer in the literature. What we do is to estimate the impact of ICT on total factor productivity using capacity and usage-based approaches. Latest panel data of 76 developing countries from 1991 to 2014 is entering our regression models. The results of the different approaches, which allow for unobserved country effects and non-linear relationships, are not optimistic: ICT is only a minor engine of TFP growth. Countries with relatively high ICT investment may be able to increase their TFP growth rates by between 0.1 and 0.3% annually relative to those with modest investment rates. That is, the digital gap matters, but reducing the digital gap alone is not enough to markedly increase growth rates.

Digitalization, Multinationals and Employment: An Empirical Analysis of Their Causal Relationships

Abstract This study measures the effects of digitalization related to Information and Communication Technologies (ICT) investment on employment and other economic variables according to firms‘ ownership. We present two computable general equilibrium models (with full employment and with unemployment) which differentiate two types of firms: National and foreign multinationals (MNEs). Both types of firms allow for the substitution between labour and ICT capital. We conclude that ICT investments significantly create jobs and raise real wages, GDP and welfare. The aggregate positive effects are stronger for ICT investment in national firms than in foreign MNEs although the sign of some sectoral effects can be negative. We also analyze the role of wage flexibility in this context, with the most favorable results related to scenarios where wages are more rigid for both cases, when investors are national firms or foreign MNEs. The model is applied to the case of Spain, a country with a high unemployment rate where ICT investment has been large since the mid 1990s.

ICT-based innovation and its competitive outcome: the role of information intensity

PurposePrior research highlights the vital role of Information and Communication Technologies (ICT) for innovation in response to environmental conditions. However, there is a lack of studies that analyse the determinants of ICT investments on the innovation activities of firms in relation with their impacts on the industrial and competitive dynamics using large data sets. The paper aims to discuss these issues.Design/methodology/approachIn this paper, the authors investigate the effects of ICT investments on the industrial and competitive dynamics for a large and representative panel data set. All the industries are included, and lagged effects of ICT investments are studied. The model is tested on a seven-year panel (2008–2014) of 231 Italian industries using two-stage least squares instrumental-variables estimators with industry time and fixed effects.FindingsThe results indicate that munificent industries and higher ICT spending are interrelated facts, showing that in sectors with more growth opportunities firms invest more in ICT and this leads to higher industry concentration, greater profit dispersion and higher competitive turbulence in the sector. Also, the paper shows that SMEs can rarely take advantage of their ICT-based innovation to start high-growth phenomena.Practical implicationsThe results suggest that ICT-based innovation may create competitive advantages that are hard to sustain over the long-term raising important implications for managers involved in ICT-enabled innovations and policy-makers involved in building programs to foster innovation.Originality/valueAgainst the backdrop of today’s digital transformation, the paper enriches our understanding on the disruptive effects exerted by the digitalization of the innovation process and provides a base to continue the investigation of industrial changes and competitive dynamics.

Information and Communication Technology (ICT), Corporate Governance, and Firm Performance: An International Study

We examine the association between ICT investment, corporate governance and firm performance. Using an international sample of 62,199 firm-year observations from 42 countries, we find that ICT investment and corporate governance mechanisms (i.e., board independence and foreign ownership) on their own are not directly associated with firm performance. However, ICT investment is associated with higher firm performance (i.e., ROA) when moderated by either board independence or foreign ownership. Further, this moderating relationship differs between small versus large firms, competitive versus less competitive industries. We also find that the ICT investment-firm performance relationship is more significant among countries with a high level of internet use, access to finance, and innovative capacity.

The Integration of Information and Communication Technologies (ICTs) in the Teaching of Mathematics in Secondary Schools: an Ecosystemic Approach

The rate at which the ICTs (Information and Communication Technologies) are introduced into the educational process is very slow in spite of the materialized high ICTs investment in the sector. The purpose of this thesis is to investigate the factors, which lead to the observed low rate of ICTs adoption in the process of Maths teaching in the secondary education in Greece. The use of ICTs by the Maths teachers is distinguished in two categories: use for the teachers’ own personal needs and use in class.By using an ecosystemic approach, the ICTs are specified as invaders into the school environment – the ecosystem – disturbing the existing balance among its elements – computer applications and teachers. The empirical exercise included the 237 secondary education schools in the Prefecture of Thessaloniki together with the 742 Maths teachers of these schools. Semi-structured interviews and a questionnaire survey were carried out in 2006-07. The collected data were analyzed by using the Latent Variable Models. The LISREL software was used.The results show a strong two-way relationship between Maths-teachers’ use of ICTs for their own needs and their use in class. “Fear” of ICTs use in class, as well as teacher-collaboration, and favorable-to-ICTs school environment are among the factors which affect significantly the ICTs adoption in class.

The Impact of Information and Communication Technology Investments on the Performance of Lebanese Banks

Previous research on the relationship between investment in information and communication technology (ICT) and bank performance (BP) have been obviously disagreeing. This is because some posit a positive relationship and some argue to the contrary.Thus, this research contribute to the ongoing debate regarding the contribution of ICT to BP by looking at the impact of ICT investments on the performance of a sample of 50 Lebanese banks for the period 2009-2016.Secondary data were collected from the annual report for each bank. CAMELS model is chosen as the dependent variable, while ICT investments (adoption of automated teller machines (ATM), mobile banking (MB), internet banking (IB), telephone banking (TB), debit and credit cards (BC) and point of sale (POS) terminals) is the independent variable.Using multivariate OLS model, the results demonstrate that the application ATM, IB, TB and POS terminals does not significantly affect banks performance. However, the application of MB and offering BC to customers significantly and directly affects performance of banks in Lebanon. Thus, banks in Lebanon are recommended to find a way to increase interest of Lebanese consumers in MB applications and attract more customers by offering them a range of BC tailored to fit their preferences.

A comparative study on industrial spillover effects among Korea, China, the USA, Germany and Japan

PurposeStarting from industry 4.0 in Germany and followed by the New Strategy for American Innovation in the USA and the smartization strategy in Japan, developed countries are pushing nation-wide innovation strategies. Similarly, China is pursuing the Made in China 2025, and Korea announced the Manufacturing Industry Innovation 3.0 strategy. However, few researchers have identified the industrial structure that establishes the foundation of the 4th Industrial Revolution or have derived strengths and weaknesses to provide implications on policy formulation through quantitative comparison with developed countries. Therefore, the purpose of this paper is to analyze the spillover effect of the information and communication technology (ICT) industry (the foundation of the 4th Industrial Revolution) and machinery·equipment industry (the foundation of smart manufacturing through convergence with ICT industry).Design/methodology/approachThis study examines the industrial spillover effects of the ICT industry and machinery·equipment industry in the USA, Germany, Japan, China and Korea by using the World Input–Output Table from 2000 to 2014.FindingsThe results showed that backward linkage effect of the ICT Industry are high in the order of Korea≑China>Japan>the USA≑Germany, and forward linkage effect of the ICT industry are high in the order of Japan ≑> the USA≑Korea ≑> China ≑> Germany. Backward linkage effects of the machinery·equipment industry are high in the order of China>Japan≑Korea>the USA>Germany, and forward linkage effects of the machinery·equipment industry are high in the order of China>Korea>Germany≑Japan≑the USA.Practical implicationsChina and Korea encourage active government investment in ICT and machinery·equipment industries, especially the intentional convergence between ICT and machinery·equipment industries is expected be generate higher synergy. The “innovation in manufacturing” strategy in the USA that utilizes its strength in ICT services seems appropriate, whereas Germany needs to revitalize the ICT industry to strengthen its manufacturing industry. Japan’s strategy is to focus its ICT capabilities on robot sector. While the scope of innovation is limited, its synergy is worth expecting.Originality/valueThis study attempted to provide a theoretical approach to the determination of national policy strategies and provide practical implications for response to the impacts of the 4th Industrial Revolution, by comparing the inducement effects of ICT and machinery·equipment industries between major countries.

The effects of ICT use and ICT Laws on corruption: A general deterrence theory perspective

Investigations of white collar crimes such as corruption are often hindered by the lack of information or physical evidence. Information and communication technologies (ICT), by virtue of their ability to monitor, track, record, analyze, and share vast amounts of information may help countries identify and prosecute criminals, and deter future corruption. While prior studies have demonstrated that ICT is an important tool in reducing corruption at the country level, they provide little explanation as to how ICT influences corruption and when does it work best. We explore these gaps in the literature using the hypothetico-deductive approach to research, by using general deterrence theory to postulate a series of main and moderating effects relating ICT use and corruption, and then testing those effects using secondary data analysis. Our analysis suggests that ICT use influences corruption by increasing the certainty and celerity of punishment related to corruption. Moreover, ICT laws moderate the effect of ICT use on corruption, suggesting that ICT investments may have limited effect on corruption, unless complemented with appropriate ICT laws. Implications of our findings for research and practice are discussed.

Information and Communication Technologies in the Healthcare

Web portals, sensors, electronic records, video communication, on-line gaming and mobile apps. These are all examples of information and communication technologies (ICT) applications or devices that might cause benefits to healthcare. The ICT has the potential to dramatically change the way individuals or society see the sector, and provide tremendous opportunities for supporting professionals, improving effectiveness and efficiency. Healthcare organizations have become more and more challenged on how to assure a fair return from ICT investments. Thus, the application of project management in health is important because it allow more productivity and, as a direct result, more accessibility, higher quality care and a safer environment to patients. The study of the success of these initiatives has become vitally important for the hospitals performance. The article collects relevant data and provide recommendations about the perceived benefits of ICT project implementations, proposing a review of the published work to provide some insights into the benefits of these implementations.

The Role of Planning and Implementation of ICT in Operational Benefits

This article reports a model of structural equations that integrates four latent variables and six hypotheses among them: Integration of information and communication technology (ICT), investment in ICT, training in ICT, and operational benefits obtained in the supply chain (SC). The model is validated with information obtained from 80 surveys applied to manufacturing companies in the municipalities of Ensenada, Mexicali, Tecate, and Tijuana in Mexico. The information is validated by the Cronbach alpha index for internal validity and the R-square index for predictive validity. Partial least-squares algorithms are used to validate the hypotheses in the model and the results indicate that the integration of technology is the basis for the success of the implementation of information technologies, and that the application of these guarantees the obtaining of operational benefits in the productive system.