Innovation Productivity Research Articles

The Effect of Average Years of Schooling on GDP Per Capita Change Rate: Evidence from Malaysia

This study examines the impact of average years of schooling on the GDP per capita change rate in Malaysia, providing empirical evidence that highlights significant insights for educational policy and economic development strategies. Utilizing Vector Autoregressive (VAR) models and Granger causality tests, this paper explores the dynamic relationships between education expenditure and GDP growth within the Malaysian context. We find that the relationship between the increase in average years of schooling and the increase in GDP per capita is positive at first, then decreases rapidly, and then increases again. Specifically, our analysis of data from 1990 to 2020 demonstrates that enhanced educational attainment contributes significantly to the labor market’s skill level, which in turn boosts economic productivity and technological innovation capacity. The study challenges the conventional view that higher educational investments lead automatically to better economic outcomes and stresses the importance of educational quality alongside quantity. By providing a detailed variance decomposition, we find that changes in schooling years explain about 15% of the variations in GDP per capita growth rates. These results underscore the critical role of education in Malaysia’s economic modernization and suggest that policy interventions should not only increase educational investments but also enhance the quality of education to maximize economic returns. Future research should further investigate the causality and interactions between educational quality and economic growth to refine educational policies effectively.

Research on the impact of technology finance on the manufacturing industry in the Yangtze River Delta region

A comprehensive evaluation index system for the integrated advancement of finance in science and technology, alongside the manufacturing sector, has been established. Furthermore, the entropy weight approach has been employed to assess both the development indicators of technology-driven finance and the integration metrics of the manufacturing industry across the three provinces and one municipality within the Yangtze River Delta region from 2012 to 2021. This study employs the fixed effects model to analyze the influence of science and technology financing on the integrated development of the manufacturing industry in this region, and it further examines the role of production costs and innovation capabilities in the relationship between technology financing and manufacturing integration. Research has shown that science and technology finance significantly enhances the integrated development of the manufacturing industry in the Yangtze River Delta, with production costs and innovation capabilities acting as intermediary factors. However, in the high-level areas of manufacturing integration development, the mediating effect of production cost and innovation ability is not significant.

Contribution of hydro energy production, economic complexity and technological innovation in achieving an environmentally sustainable Asia

The impact of hydro energy production, economic complexity, urbanization, technological innovation and financial development on environmental sustainability between 1995 and 2017 is examined for a panel of thirteen Asian economies using two environmental proxies— their ecological footprint and CO2 emissions. The non-parametric Driscoll-Kraay standard error method and the Dumitrescu-Hurlin panel causality test are applied to the data. Our findings show that hydro energy production and technological innovation have a significant negative impact on the environment, thus promoting environmental sustainability. Economic complexity significantly lowers environmental sustainability while the non-linear effect of economic complexity favors environmental sustainability; this confirms the existence of an economic-complexity-based inverted-U-shaped environmental Kuznets curve hypothesis. Moreover, urbanization and financial development significantly decrease environmental sustainability. The results of our study confirm the feedback causality between hydro energy production and carbon dioxide emissions. We recommend expansionary policies regarding hydro energy production that are beneficial for substituting fossil fuel energy. This paves a path towards environmental sustainability in this era of global boiling.

Enhancing Environmental, Social, and Governance Performance through New Quality Productivity and Green Innovation

Enhancing Environmental, Social, and Governance Performance through New Quality Productivity and Green Innovation

Technological Innovation, Productivity, and Global Value Chains Participation of Philippine Manufacturers

Using a unique dataset on Philippine manufacturers from 2007 to 2011, this study adopts the three‐stage Crépon‐Duguet‐Mairesse model to trace which trade linkages in global value chains (GVCs) contribute to Philippine firms' technological innovation and labor productivity. The results indicate that Philippine GVC suppliers primarily implement incremental process innovations using imported technology and externally sourced knowledge, while internally developed technology is less common. Accordingly, imported rather than indigenous knowledge contributes more to the labor productivity premium of GVC suppliers. Nevertheless, pure exporting is generally unrelated to process and product innovations. These results suggest that the innovation and productivity effects of GVC participation in the Philippines are mainly driven by imports and foreign‐sourced technology. Since suppliers' innovative behavior tend to complement the technological requirements of their production activities, we argue that the results are consistent with Philippine manufacturers' limited participation in technology‐ and innovation‐intensive GVC functions. The implication on long‐run upgrading is discussed.

Can Urban Sprawl Promote Enterprise Innovation? Evidence from A-Share Listed Companies in China

Urban sprawl does not invariably impede factor agglomeration; rather, it can foster polycentric urban configurations, thereby enhancing productivity and encouraging enterprise innovation. This study investigates the effect of urban sprawl on enterprise innovation using data for A-share listed Chinese companies from 2010 to 2020. The results reveal a significant inverted U-shaped relationship between urban sprawl and enterprise innovation, particularly among large enterprises, well-established entities, non-state-owned enterprises, and those operating in non-manufacturing sectors. Additionally, the effects of urban sprawl on the inverted U-shaped relationship are more pronounced in the north-eastern regions and small cities. Regional integration significantly moderates the inverted U-shaped relationship between urban sprawl and enterprise innovation. This research contributes new insights to the field of enterprise innovation, offering theoretical and empirical support for analyzing the economic implications of urban sprawl.

Automatic detection of faults in industrial production of sandwich panels using Deep Learning techniques

Abstract The use of technologies like artificial intelligence can drive productivity growth, efficiency and innovation. The goal of this study is to develop an anomaly detection method for locating flaws on the surface of sandwich panels using YOLOv5. The proposed algorithm extracts information locally from an image through a prediction system that creates bounding boxes and determines whether the sandwich panel surface contains flaws. It attempts to reject or accept a product based on quality levels specified in the standard. To evaluate the proposed method, a comparison was made with a sandwich panel damage detection method based on a convolutional neural network and methods based on thresholding. The findings show that the proposed method, which is based on an object detector, is more accurate than the alternatives. The characteristics of the model, which can reject or accept a product according to the standard and limit allowable manufacturing flaws to obtain a quality product, also enable this system to improve industrial standards for producing sandwich panels while increasing speed.

Exploring the Potential of ChatGPT Integration in HRM for SMEs: Enhancing Productivity, Stimulating Creativity, and Promoting Sustainable Business Innovation

Micro, Small, and Medium Enterprises (MSMEs) often face limitations in terms of quantity and quality of human resources. These limitations can hinder MSMEs' ability to innovate and compete in an increasingly complex market. The utilization of technology can assist MSMEs in enhancing operational efficiency. However, not all MSMEs are capable of adopting advanced technology due to resource constraints and limited technological understanding. The aim of this research is to investigate the potential and effectiveness of integrating ChatGPT into Human Resource Management Systems (HRMS) for MSMEs, with a focus on enhancing productivity, stimulating creativity, and fostering sustainable business innovation. The research method employed is a literature review with a qualitative approach and descriptive analysis. The literature review is utilized to explore relevant literature from Google Scholar for the period 2018-2024. The study findings indicate that in the continually evolving digital era, technology integration such as ChatGPT in HRMS for MSMEs holds significant potential for enhancing operational efficiency, productivity, creativity, and business innovation. Through the implementation of this strategy, MSMEs can optimize their human resource management, create significant added value, and strengthen their position in an increasingly competitive business environment.

The Role of Transformational Leadership Style, Work Motivation and Organizational Climate in Its Influence on Innovative Work Productivity

This research aims to know influence leadership style transformational, work motivation and organizational climate on innovative work productivity among UD employees. Putra Agung Madiun partial nor simultaneous. Population in study This is employee UD. Son great Madiun amount 73 employee. Data taken use instrument questionnaire. Testing analysis data quality using validity tests and reliability tests. The data analysis method used is linear regression multiple. Hypothesis test using test coefficient regression wise damn (test t), significance test simultaneous and determinant coefficient. Result j of this research show that (1) Transformational leadership style has a positive and significant effect on innovative work productivity in UD. Son great Madiun.; (2) Motivation Work positive influence And significant to innovative work productivity at UD. Putra Agung Madiun; (3) Organizational climate has a positive and significant effect on innovative work productivity at UD. Putra Agung Madiun; (4) Transformational leadership style, work motivation And organizational climate significant effect on innovative work productivity at UD. Great Son of Madiun.

Mathematical Optimization in Innovation Productivity: A Framework and A Case Study on UAV Border Patrolling in Türkiye

Purpose: In this paper, the potential of mathematical optimization (MO) in enhancing innovation productivity is explored. Innovation is a process that converts new ideas and methods into products and services, MO can contribute to innovation management by improving productivity across all stages, from pre-innovation to post-innovation. This paper establishes a connection between MO and innovation productivity while demonstrating an application for a post-innovation phase problem of unmanned aerial vehicles (UAVs). Methodology: A framework for incorporating MO into the design problems of innovation processes is developed. Additionally, a MO model is developed for a case study concerning UAV border patrolling in Türkiye. Findings: Computational experiments demonstrate MO's effectiveness in optimizing UAV routes and strategies, enhancing operational efficiency, and innovation productivity. Optimal recommendations and trade-offs among different mission considerations are obtained in 18 minutes on average (with a median of 5 seconds) over 210 runs. Originality: A link is established between MO and innovation productivity. An operations research problem is introduced for UAV operations in border patrolling in Türkiye. The codebase and data are openly provided for readers to apply the model in their research.

Fostering Innovation: Exploring Key Factors and Their Relationship on Organizational Performance Towards Innovation Management Culture

Employee creativity positively impacts organizations’ ability to foster innovation and influences organizational learning, as the 4.0 industry promises more innovative, sustainable, and smarter productivity. This study addresses the importance of innovation culture in the technology industry’s business landscape. Despite the growing attention given to innovation culture, there is a need to explore its relationship with corporate performance. A descriptive research design with a quantitative approach using regression analysis was used. Furthermore, 398 respondents from Chinese technological enterprises were investigated. Based on these findings, the workforce in the technology sector hires people of different ages and positions. Those who belong to the supervisory level focus more on quality control and process improvement. The findings also demonstrated that innovative culture significantly impacts firm performance through its influence on factors such as organizational learning, creativity and empowerment, value orientation, and market orientation. Thus, it emphasizes the importance of aligning innovation strategies at all organizational levels and effectively allocating resources to verify how innovation stimulates innovative behavior in organizations. Organizational learning can improve the shared values and behaviors of an organization and further improve organizational performance. A strong correlation between corporate culture and organizational performance. Moreover, the more effort a company puts into building its culture and the more it achieves, the greater its advantage in financial and non-financial performance, and the higher sustainability for innovation management culture will be evident.

Interlinking networking capabilities, knowledge worker productivity, and digital innovation: a critical nexus for sustainable performance in small and medium enterprises

PurposeAs sustainable performance has a central role in the small and medium enterprises (SMEs) performance literature, this study aims to examine the influence of networking capabilities in enhancing sustainable performance through knowledge workers’ productivity and digital innovation. It also examines the sequential mediating role of knowledge workers’ productivity and digital innovation on networking capabilities and SMEs’ sustainable performance relationship.Design/methodology/approachData were collected from 308 knowledge workers in the information technology sector and analyzed using the Hayes Process Macro bootstrapping method to test the proposed hypotheses.FindingsResults indicate that knowledge workers’ productivity and digital innovation individually and sequentially mediate the relationship between networking capabilities and SME’s sustainable (economic and environmental) performance, surprisingly, they do not act as a mediator between networking capability and SME’s social performance. SMEs should prioritize investments in the professional development of their knowledge workers through training and skill enhancement programs. This investment equips knowledge workers with the tools to effectively use the knowledge and resources acquired through networking. Thus, knowledge workers may improve performance by using these resources to tackle challenges.Research limitations/implicationsAlthough this research focused on this specific context, it is prudent to acknowledge that additional factors may also exert influence on sustainable performance within SMEs, factors that managers may consider when making decisions. Methodologically, the cross-sectional design of this research poses a potential limitation, as it does not allow for the complete elimination of endogeneity concerns. However, it is worth noting that scholars have endorsed the use of cross-sectional data in cases where management researchers aim to expand beyond well-documented and longitudinal data sets.Practical implicationsThis research offers practical recommendations for SMEs to improve their sustainable performance through networking. SMEs should seek partnerships with complementary knowledge to improve operations and for other performance-oriented benefits.Originality/valueThis study adds significantly to the literature on sustainable SME performance by studying the interdependent effects of networking capabilities. It also represents the individual and sequential mediation mechanism that links networking capabilities to SME success through knowledge worker productivity and digital innovation.

Government Subsidies, Green Innovation, and Firm Total Factor Productivity of Listed Artificial Intelligence Firms in China

Government Subsidies, Green Innovation, and Firm Total Factor Productivity of Listed Artificial Intelligence Firms in China

Perception of Agricultural and Agro-Industrial Companies about the Management of Research, Technological Development and Innovation of the Agro-Industrial Technological Innovation Center Ica - Peru

The Centers for Productive Innovation and Technology Transfer (CITE) promote innovation and drive the use of new technologies among producers, companies, associations and cooperatives in each productive chain (i.e., agro-industrial, leather and footwear, fishing and aquaculture, wood and forestry, and so on). The objective of this article is to analyze the level of perception of the management of research, development and innovation (R&D&i) of the CITEagroindustrial Ica in agricultural and agro-industrial companies in Peru. The study is based on a quantitative approach, the data were collected from 304 responses from surveyed agricultural and agroindustrial companies that received some technological service at CITEagroindustrial Ica. The results show the level of R&D&i management of the CITEagroindustrial that allows identifying opportunities for improvement to energize the agro-industrial value chains of export products in Peru, which is relevant for developing countries. Likewise, it can be replicated in other CITEs.

Productive Innovation or Disruptive Irritation: An Exploration of Stakeholder Perspective on Remote Work in the Institutes of Higher learning in Zimbabwe (A Case of Midlands State University)

Objective: The major objective of this study was to establish whether remote work was yielding positive results in the Institutions of higher learning. In order to achieve the major objective, the study explored the advantages of remote work and the challenges that are associated with remote work. Furthermore, the study explored some intervention mechanisms that may be can be implemented to support remote work. Method: In order to achieve the research objectives, the study adopted the qualitative study, using a case study design. Convenience sampling methods was adopted to come up with a sample of 45 participants that would be interviewed. Face to face interviews were conducted using semi-structured interviews. Result: After data collection and analysis, the study results showed that remote work enables employee flexibility, employee autonomy, increased employee productivity as well as cost savings. The results of the study also showed that remote work also comes with its own challenges such as isolation, role conflict and technological challenges. Furthermore, the study found that there are some intervention mechanisms that can be employed to support remote working in the institutions of higher learning. The intervention mechanisms include training, technological infrastructure, data access and mental health care. Conclusion: Conclusions from the study indicate that remote work is viable and beneficial at MSU. However, the study also established that remote work has its own challenges. The study concluded that the challenges can be mitigated by some intervention mechanisms.

Can ESG ratings promote green total factor productivity? Empirical evidence from Chinese listed companies

Against the backdrop of frequent extreme climates and international consensus on green and low-carbon development, Environmental, Social, and Governance (ESG) has progressively drawn increasing attention. Integrating the perspectives of stakeholder theory and signaling theory, this study employed the Malmquist-Luenberger productivity index, fixed-effects regression model, mediating effect model, propensity matching score difference-in-differences model, and a two-stage least squares method. Using the research sample of Chinese A-share listed companies between 2011 and 2021, the mechanisms linking ESG ratings and each component (the individual scores of E, S, and G) with the green innovation and green total factor productivity (GTFP) of enterprises were investigated. This study conducted heterogeneity analysis integrating regional, industry, and enterprise dimensions, fully considered the potential endogeneity issues, and conducted multiple robustness tests by exploring alternative approaches, replacing the measures of indicators, and reducing the research sample. The results demonstrated that higher ESG ratings significantly improved the green innovation and GTFP of enterprises. This improvement was achieved through the stakeholders and signaling mechanisms, and was more prominent in economically underdeveloped regions, patent-intensive industries, and industries with lower environmental risk. In addition, the impact varied among enterprises with different property rights. The findings elucidate the pathways through which soft regulation influences micro-level corporate decision-making, making significant contributions to the literature. Furthermore, this study provides a theoretical foundation and policy reference for constructing a positive feedback loop mechanism for ESG ratings and promoting the green transformation and upgrading of enterprises.

Peranan Sistem Informasi Komputer Dalam Evolusi Bisnis Ke Era Digital 5.0

The development of information technology has significantly impacted the evolution of business into the digital era 5.0. In this context, the role of Computer Information Systems (CIS) becomes crucial in facing the challenges and opportunities that arise. This study aims to explore the role of CIS in Business 5.0, focusing on technology integration and business processes, analytical capabilities and data-driven decision-making, automation and operational efficiency, information security and compliance, as well as accountability and transparency. The research methodology involved literature search from academic databases and scientific journals using relevant keywords such as "digital transformation," "Business 5.0," "Computer Information Systems," and "technology integration." Selected information sources were then filtered based on inclusion and exclusion criteria, such as relevance, source credibility, and publication year. The results of literature analysis indicate that technology integration and business process serve as the foundation for the role of CIS in Business 5.0. Analytical capabilities and data-driven decision-making, along with automation and operational efficiency, also significantly contribute to increased productivity and organizational innovation. Additionally, aspects of information security and compliance, together with accountability and transparency, are key to building trust among stakeholders. The discussion of the results highlights the importance of understanding and implementing these concepts in the context of Business 5.0. By considering technology integration and business processes, analytical capabilities and data-driven decision-making, automation and operational efficiency, information security and compliance, as well as accountability and transparency, companies can optimize the role of CIS in transforming their businesses into the digital era 5.0, enhancing competitiveness, and achieving long-term success.

“Hello, this is your AI co-pilot” – operational implications of artificial intelligence chatbots

PurposeThis editorial for the 6th World Conference on Production and Operations Management (P&OM) 2022 Special Issue delves into the transformative role of advanced artificial intelligence (AI)-driven chatbots in reshaping operations, supply chain management and logistics (OSCM). It aligns with the conference’s theme of exploring the intersection between P&OM and strategy during the Technological Revolution.Design/methodology/approachUtilizing a conceptual approach, this paper introduces the “ERI Framework,” a tool designed to evaluate the impact of AI-driven chatbots in three critical operational dimensions: efficiency (E), responsiveness (R) and intelligence (I). This framework is grounded in disruptive debottlenecking theory and real-world applications, offering a novel structure for analysis.FindingsThe conceptual analysis suggests immediate benefits of chatbots in enhancing decision-making and resource allocation, thereby alleviating operational bottlenecks. However, it sees challenges such as workforce adaptation and potential impacts on creativity and sustainability.Practical implicationsThe paper suggests that while chatbots present opportunities for optimizing operational processes, organizations must thoughtfully address the emerging challenges to maintain productivity and foster innovation. Strategic implementation and employee training are highlighted as key factors for successful integration.Originality/valueBridging the gap between the burgeoning proliferation of chatbots and their practical implications in OSCM, this paper offers a first perspective on the role of AI chatbots in modern business environments. By providing insights into both the benefits and challenges of chatbot integration, it offers a preliminary view essential for academics and practitioners in the digital age.

Spillover effects of government subsidies on outward foreign direct investment: Evidence from China

AbstractWe examine the effect of government subsidies on outward foreign direct investment (OFDI) by Chinese listed firms. Based on a panel dataset covering Chinese listed firms from 2009 to 2021, our findings indicate that government subsidies can promote OFDI by enhancing the production efficiency, innovation capability, and social performance of Chinese listed firms. Furthermore, the heterogeneous analyses show that non‐tax‐based subsidies significantly promote OFDI by Chinese listed firms, and government subsidies do not result in a discernible preference for greenfield investments or mergers and acquisitions. In addition, government subsidies can significantly contribute to promoting OFDI for non‐SOEs, older firms, firms in globally emerging sectors and domestically catching‐up sectors, as well as firms located in eastern China.

Productivity of innovation: the effect of innovativeness on start-up survival

AbstractThis paper provides arguments supporting the association between different measures of innovativeness (i.e., innovation capacity and effectiveness) and the survival of start-ups. Analysing a sample of 9171 innovative Italian start-ups, using Accelerated Failure Time models, we find two main results. First, patents and software licenses seem to strongly predict survival. Second, different measures of innovativeness complement each other: when Research and Development (R&D) expenditures pair with the ownership of patents/software and a skilled workforce, the overall effect on start-up survival gets stronger. It follows that innovativeness, in terms of high skills able to optimize R&D spending, is crucial for the survival of start-ups. Our findings should support policy-making for innovative capability development and “productivity of innovation”, and contribute to improving start-ups’ credit access and reduce their financial constraints.