Labor Productivity Research Articles

THE GENESIS AND EVOLUTION OF THE THEORETICAL DISCOURSE OF ECOLOGICAL ECONOMICS

The article examines key trends and challenges in the modern global economy. Over the last four decades, structural changes have profoundly impacted industries and economic relations, emphasizing a growing divide between advanced and developing nations. This gap exacerbates existing inequalities, with developed countries often reaping more benefits from globalization, while developing nations face difficulties in keeping up. One of the most significant drivers of these transformations is the rapid pace of technological advancement. New industries and economic models have emerged, making innovation and digitalization central to modern economies. These changes are reshaping production methods, resource allocation, and labor structures, effectively marking a new industrial revolution and pushing even traditionally slow-to-adapt sectors to evolve rapidly. Simultaneously, the global economy faces increasing environmental challenges, including climate change, pollution, and resource depletion. The difficulty of achieving a lasting balance between economic growth and environmental sustainability is becoming more pressing. Without addressing these issues, economic systems risk further destabilization, deepening environmental crises and threatening long-term global stability. Given these intertwined challenges, there is a growing need for a comprehensive re-evaluation of the relationship between economic activities, social processes, and the natural environment. It has been emphasized that ecological economics, which integrates environmental concerns into economic theory, offers a valuable framework for understanding how to manage economic growth without exceeding the planet’s ecological limits. Future research and policy should not only address current challenges but also anticipate new approaches to resource management and ecological preservation. These approaches might include transitioning to circular economies, expanding the adoption of green technologies, and prioritizing renewable energy sources. In this context authors believe that it is crucial for policymakers, businesses, and civil society to collaborate in shaping new economic models that prioritize both human and environmental well-being. Only through such joint efforts can we hope to achieve sustainable economic growth that aligns with the planet's ecological boundaries, ensuring a stable future for generations to come.

In Good Times and in Bad, in Sickness and in Health: The Continuous Rise in Adoption of Labour-Saving Agricultural Technologies in Myanmar

Agriculture is rapidly transforming in many low- and middle-income countries – most often driven by the adoption of new agricultural technologies – but changes remain poorly understood in fragile and conflict-affected states. We look at the case of Myanmar, a prime example of such a state. After decades of isolationism and economic stagnation, it opened its economy in the beginning of the 2010s, leading to rapid economic growth. But the COVID-19 health crisis and a military coup in the beginning of 2021 – leading to heightened conflicts, forced displacements, and increased migration – dramatically reversed that outlook. Based on large-scale farm surveys, we find that adoption of labour-saving agricultural technologies – measured by the use of mechanization, herbicides, and direct seeding of rice – increased rapidly over the economic growth period and that the increase surprisingly persisted during the crisis years, but at a slower rate. This uptake was lower, however, for households in the most conflict-affected areas, partly due to differential agricultural input availability. Smallholders and more remote farmers also participated less. This finding suggests an increasing labour productivity gap for remote and conflict-affected smallholders, with important implications for their welfare.

Analysis of Construction Worker Group Productivity at Pt. Bima Natisa Graha Contractor for Red Brick Installation Work with Time Study Method on Housing Development Project

This study aims to determine the productivity value of construction workers of PT Bima Natisa Graha red brick installation work on the construction project of housing units in residential area projects, to determine the factors that hinder the productivity of construction workers for red brick installation and to determine the productivity value of construction workers in red brick installation work after improving the factors that hinder the productivity of construction workers in red brick installation. The method to measure the productivity of construction workers in the installation of red bricks with the time study method. Time study is a method of measuring labor productivity in the field by determining the standard time of a job. The results of the study can be concluded as follows: (1) The productivity value of construction workers for red brick installation work on a housing construction project implemented by the contractor PT Bima Natisa Graha on a type 60 housing unit with a time study method of 0.378 M2 / OJ (2) Factors that hinder the productivity of construction workers are site managers, implementers and foremen from PT. Bima Natisa Graha who is rarely seen at the project site which should be in charge of giving directions in carrying out work in the field to workers so that workers joke more, talk a lot, smoke a lot, play a lot of cellphones and have coffee during working hours, this condition occurs because there is no reprimand and direction from the authorities. (3) The productivity value of construction workers for red brick installation work on a housing construction project carried out by the contractor PT Bima Natisa Graha on a type 60 housing unit with the time study method after productivity improvement is 0.496 M2 / OJ.

Production and management practices and technologies used for growing potatoes and tomatoes

Purpose. The aim of this study was to assess production and management practices and technologies used by farmers for tomato and potato production, as well as their productivity. Methodology / approach. This research was conducted in Ziway-Dugda and Tiyo districts of Arsi Zone in Oromia National Regional State of Ethiopia during 2022 cropping season. Data were collected from 400 households in 10 kebeles (local administrative unit) of both districts using Kobo toolbox from respondents through face-to-face interview and descriptive analysis using SPSS version 22. Results. The results of the study showed that farmers in the study areas used different pre-harvest practices. These include cultivation tools and methods, planting locations, tomato staking, potato hilling and irrigation practices to successfully grow vegetables and increase land productivity by rotating different crops on their land. Various diseases, weeds and insects have been observed on their farms, which were managed by cultural, agronomic, mechanical and chemical management practices on tomato and potato farms during the last cropping years in the study districts. Thus, majority farmers in the study areas have used insecticides and fungicides on tomato and potato farms; but most of the weeds were removed by hand weeding. Most tomato and potato farmers have determined the type of chemical and its use from their own previous experience, in consultation with salespeople and extension agents in their regions. However, the study results showed that there are unused production and management practices for tomato and potato cultivation by some farmers. There are many production and management practices and technologies used by farmers to improve vegetable productivity in the study areas, although some farmers did not adopt improved production and management technologies, resulting in reduced production, which requires future interventions to increase their capacity through training and technology adoption. Originality / scientific novelty. This study stands out in the field of production and management practices and technologies used by smallholder tomato and potato producers due to its innovative approach and unique contribution to existing knowledge and skills. While previous studies have examined the relationship between production and management practices and technologies in an agricultural context, particularly focusing on state farms, our study focuses on small-scale tomato and potato producers. Through our thorough case study research and interview structure, we not only deepened our understanding of production and management practices in the agricultural sector, but also provided practical recommendations for improving the efficiency and sustainability of small-scale tomato and potato producers on different farms/fields. Practical value / implications. The findings of this study can be used to develop recommendations for policy makers and researchers on how to improve labour productivity in the future Thus, the policy focuses on developing strategies for producers to adopt modern production and management practices and technologies, raising farmers’ awareness of available technologies, improving management practices and increasing crop productivity in the study area.

Heat causes large earnings losses for informal-sector workers in India

Abstract Heat reduces labor productivity and output in formal manufacturing but little is known about its impacts on the earnings and welfare of workers in the informal sector that comprise 82\% of the labor force in low-income and lower-middle-income countries. This study reports the results from daily surveys of nearly 400 workers in two slums in Delhi for a month in the summer of 2019. Every degree Celsius increase in wet bulb temperature was associated with a fall in gross earnings of 13(± 3.5) percentage points, a fall in earnings net of work-related expenditure of 19(± 4.5) percentage points, an increase in the self-reported probability of sickness of the worker or a family member of 6(± 0.5) percentage points, and a decrease in the probability that a worker went to work of 2(± 0.5) percentage points. Net earnings were 40\% lower during the two heatwaves that occurred during the study period.Over 320 million informal-sector workers in low-income and lower-middle-income countries are currently exposed to temperatures similar to those observed in this study.

Determinants of Sustainable Tourism Efficiency: Evidence from East European Countries

Objective: In the first step, this paper aims to evaluate the tourism efficiency in East European Countries and later to identify factors that can determine the international tourism development in this European Region. Theoretical Framework: This study considers the impact of tourism demand on economic productivity (efficiency), with a particular focus on the role of sustainable tourism in driving economic development. Method: An input-oriented Data Envelopment Analysis model with a constant return to scale was applied for 6 years from 2014 to 2019 focusing on 22 countries in the area (except Kosovo due to lack of data) to estimate efficiency scores for each country. In the second stage, a Tobit Regression Model was used to stress the role of some characteristic factors influencing the efficiency of the international tourism industry. Findings: This study points out the greater attention of public and private institutions toward sustainability tourism (SDG target 8.9) associated with some factors such as environmental pollution (SDG target 3.9), friendly environment urbanization (SDG 11), educational level of the population (SDG 4), and tourism seasonality. Research implications: The study indicates that most East European Countries run inefficiently. Productivity is low, and efficiency needs to be improved in terms of capital- and labor production implementing consistently sustainable development principles.

Workforce Configuration in Charity Settings: A Forward-Looking Approach

Problem definition: Volunteers, the primary workforce for many charities, represent a complex labor pool; they are unreliable and exhibit substantial heterogeneity in both performance and affinity to the organization. Additionally, many volunteers engage not only to contribute but also to immerse themselves in a volunteering experience that, if rewarding, can inspire them to become future donors. However, practical approaches to volunteer management commonly neglect these traits and the consequential impact that tactical decision-making can have on nurturing potential future donations. Methodology/results: Building on a previous study, we propose a forward-looking volunteer scheduling model that accounts for the heterogeneity among volunteers, mitigates both understaffing and overstaffing costs, and explicitly correlates individual time contribution with their monetary donations. We provide analytical solutions when the charity can reliably estimate distributions (e.g., uniform distribution) from data and suggest a distribution-free method to offer actionable insights where data are limited or uncertain. Managerial implications: At the strategic level, by viewing volunteers as potential donors, the optimal staffing strategy balances meeting the charity’s labor needs and maximizing volunteers’ satisfaction, as this satisfaction influences their likelihood of becoming future donors. We show that charities could avert substantial losses by adopting an integrative approach, thereby challenging conventional organizational structures that compartmentalize volunteer and donor management. Our model suggests that building robust data infrastructures can significantly advance the charity’s core mission. Paradoxically, efforts to increase labor productivity may inadvertently undermine this objective. At the operational level, we provide an Excel-based decision support tool and a decision-tree framework to navigate optimal policies, determining when and how a charity can rely on episodic (less reliable) volunteers. Our results confirm that reducing uncertainty in volunteer turnout benefits charities. However, we also find that when labor value is low, episodic volunteers are preferred, whereas formal (reliable) volunteers are favored when labor value is high. Supplemental Material: The online appendix is available at https://doi.org/10.1287/msom.2022.0363 .

Sustainable paddy farming in rural Japan: Leveraging farmer integration and agricultural UAVs for synergistic solutions

For sustainable rice farming, IoT-based smart agricultural technologies are attracting worldwide attention. In particular, agricultural UAVs, which are expected to be utilized in various seasonal processes of rice farming, are a facility that is expected to spread in the future. In Japan, however, the smooth spread of UAVs has not progressed because of uncertainty about the effectiveness of their introduction. In this study, we clarify the effect of the introduction and its limitations by simulating the synergy effect between customary management improvement methods by farmers' integration and the efficiency improvement of agricultural work using UAVs, using a mountainous area in Japan as an example. The visualization of the expected increase in labor productivity provides a strong basis for future policies to promote smart agricultural technologies. The simulation model was built on the theoretical basis of the optimal route search based on the traveling salesman problem, in which the farmer's behavior of visiting farmland is considered a traveling salesman problem, and the effect of introducing UAVs was predicted using annual working hours as an evaluation index. The results showed that the introduction of UAVs could achieve a greater reduction in labor hours than the case where farmer integration alone was used to improve labor productivity without the introduction of UAVs. In other words, the combination of farmer integration and UAVs is expected to synergize. However, even when assuming reasonable UAVs performance, labor productivity improved by about 20%, and even when using high-performance UAVs assuming drastic technological innovation, labor productivity improved by only about 30%. Furthermore, as the number of farmlands to be managed increased, the effect of UAVs was expected to reach a ceiling. In other words, the results suggest an appropriate size of farmland to manage by introducing UAVs. This result is expected to be convincing material to promote the introduction of UAVs to farmers in the future and to make a practical contribution to their management plans.

Analysis and evaluation of factors affecting the motivation of construction workers

The characteristics of the construction works are the participation of many fields and many jobs with different requirements. Therefore, in construction projects, even when applying science, technology and automation, the construction workers also play an important role. The construction workers are the main force and directly perform the tasks of creating construction products. For desiring to improve the labor productivity in the construction industry, research on the construction workers is focused increasingly. This paper learns about the factors which affect the motivation of the construction workers. Analytical Hierarchy Process (AHP) method is used to analyze and evaluate the affecting factors the work motivation of the construction workers. The ranking results of the factors show that the factors which are from the employer, have a strong impact on their work motivation. These factors are such as salary, bonus and welfare, labor management method, work discipline, regular job guarantee. They are factors with high weight and making decisive to the work motivation of the construction workers. Meanwhile, factors which are from employees, have less impact on their work motivation. This result is consistent with current reality.

Investing in Timberlands Versus the S&P 500: Which Investment Outperforms?

Investing money has been a popular way to build wealth for generations. It benefits not only the investor, but society as a whole. Companies are able to use these funds to invest in capital equipment, labor, and new production techniques. This paper shows an analysis involving the investment in timberland as a way to increase one’s fortune. The lead author is employed in the timberland industry on a daily basis, and their insights are presented from a ground-level view. Risks and benefits are discussed, and a comparative analysis of investing in timberland versus the S&P 500 Index is outlined.

What drives the corporate payoffs of using generative artificial intelligence?

Artificial Intelligence, a set of technologies that aim to replicate human cognitive functions, has seen remarkable improvements over the last decade. In particular, generative AI (GenAI), a subset of AI able to generate content tasks based on Large Language Models (LLM), has recently gained momentum. Based on an extensive analysis of generative AI use cases in large enterprises, we find that Gen AI shows strong labor productivity improvements across metrics such as throughput time, unit cost, and task effectiveness. However, the distribution of gains is asymmetric in favor of a few companies. While the current distribution of gains does not provide evidence of a power law effect, the current asymmetry reflects differences in AI resources/capabilities across companies - mainly data access, AI talent, or AI governance.

Addressing Social Issues and Ensuring Social Security in Vietnam During the Renovation Period

Vietnam's national renovation has gone through four decades. Throughout the comprehensive renovation process, the understanding of the fundamental aspects of social life has become increasingly clear, reflecting the essence of the socialist system that Vietnam has chosen. Social issues encompass all aspects of human life. The level of economic development provides the material conditions to implement social policies, but social goals are the ultimate purpose of economic activities. Even within the framework of economic activities, social policies directly impact labor productivity, product quality, etc., hence the need for basic, long-term social policies that align with the requirements and capabilities during the initial phase of the transitional period. This article focuses on clarifying the views and policies of the Party and the Vietnamese government on addressing social issues and ensuring social security; highlighting both the achievements and limitations in the process of addressing social issues and ensuring social security in Vietnam during the renovation period.

Is Cocoa Production a Main Driver of Children’s Work in Ghana?

Child labour in cocoa production remains a major concern. Yet, an overall assessment of the role of cocoa production in child labour, comparing with other household livelihood activities, as well as a more nuanced view on the work that is done by children, is lacking. Using data from the Ghana Living Standards Survey 2017, we model the probability of children’s work based on cocoa production and a set of other variables at child, parental, household and community level. We specify children’s work in different ways to better interpret employment conditions, compare effects across gender and age of the child, and address potential bias by controlling for measurement error and using an instrumental variable estimation and a coefficient stability approach. We find that cocoa production increases the probability of working on the own farm but not exceeding allowable work time or in harmful conditions. The effects are similar for boys and girls but are much larger for older children. Other farm-household activities, especially food crop production and livestock ownership, are much more strongly associated with children’s work, often under more harmful conditions. This implies that solely targeting the cocoa sector might run the risk to transpose child labour to other activities.

Influence of Management Leadership styles on Nurses Organizational Commitment among two Private Hospitals in Jordan

The leadership styles have been discussed in labor marketing and production before academia. Notably, certain types have been found to have a detrimental impact on both organizational commitment and service quality, particularly in the healthcare industry. Aim: To investigates the leadership practices of nursing managers in hospitals and their impact on staff commitment, seeking to understand how these leaders' styles shape organizational commitment. Subjects and methods: Descriptive cross-sectional study among two private teaching hospitals. included 507 nurses aged (22-45), had at least 1 year of work experience. Results: In a study of two hospitals, it was found that most managers exhibited both transformational and transactional leadership styles from the nurses' perspective. However, transformational leadership emerged as the dominant style, with 80.27% of managers displaying this approach. Despite this, the majority of nurses reported a strong commitment to their organization. Conclusion: A comparative analysis revealed that transformational leadership style was found to be more prevalent and effective in two hospitals compared to transactional leadership style. Furthermore, both leadership styles were found to have a statistically significant positive correlation with organizational commitment, indicating a strong link between these styles and employee engagement and loyalty.

The effect of minimum wage increases on the labor productivity of star-rated hotels: evidence from China

The effect of minimum wage increases on the labor productivity of star-rated hotels: evidence from China

Tracks of change: The rise and fall of Bolivia's National Railway Company (ENFE): 1965–1995

This article examines the Bolivian State Railway Company (ENFE) from its inception in 1965 to its privatisation in 1995, focusing on its structural evolution, growth, and modernisation in the context of Bolivian state capitalism. It underscores ENFE's substantial contribution to Bolivia's economy, particularly in freight and passenger transport. By comparing ENFE’s labour productivity and financial ratios with other Latin American state railways, this study reveals ENFE's distinct capability for revenue generation due to limited road competition. Key primary sources include ENFE annual reports, World Bank loan documents, archival correspondence, transport studies, and the local press. This article argues that ENFE successfully addressed transportation challenges and contributed to Bolivian economic development. These findings provide valuable insights into Bolivian economic history and Latin American railway historiography through a case study of a strategic state-owned enterprise, illustrating the potential of leveraging World Bank sources for future comparative research on Latin American railways.

Export Persistence and Productivity in Vietnam: Who Learns?

The purpose of this study is to investigate the causal relationship between firms' export activities and their productivity, with a specific focus on identifying the source of productivity improvement by examining the persistence of export operations. Leveraging firm-level panel data from 2010 to 2015 in Vietnam, we employed a combination of Propensity Score Matching and Staggered Difference-in-Differences. Our findings indicate that the phenomenon of learning by exporting is evident across both consistent and intermittent exporters. For manufacturing enterprises, our analysis reveals no substantial variance in the learning by exporting effect between the steady and sporadic exporters. In contrast, within the service sector, we discern that intermittent exporters experience a more pronounced enhancement in labor productivity compared to their consistent exporting counterparts. Upon delving deeper into industry analysis, it becomes evident that the manufacturing and wholesale/retail trade sectors are the ones benefiting most from export activities. An interesting observation is that, within the manufacturing sector, we only find a positive impact on labor productivity with continuously exporting firms. This disparity implies that the mechanisms through which the learning-by-exporting effect operates may diverge between the manufacturing and service sectors. Furthermore, our empirical evidence reveals a direct positive correlation between export status and firm performance within privately owned enterprises. However, such a relationship was not evident for state-owned enterprises. To capitalize on the potential of export-driven growth, policymakers should adopt a nuanced approach, tailored to the unique dynamics of different industries and ownership structures. This underscores the importance of sector-specific support mechanisms, capacity-building initiatives for state-owned enterprises, and targeted export literacy programs for enterprises in fostering a conducive environment for sustainable economic growth in the Vietnamese context.

THEORETICAL AND METHODOLOGICAL PRINCIPLES OF PERSONNEL MANAGEMENT IN THE ASPECT OF RISK MANAGEMENT

The purpose of the article is to study the theoretical and methodological aspects of personnel management risks and the specifics of developing their management strategies in the context of modern dynamic business conditions. The work highlights the key aspects of personnel risks, methods of their analysis, methods of management and regulation, and gives practical recommendations for managers and managers. Method. To achieve the goal, the methods of analysis and synthesis, comparison, etc. are applied. The results. The theoretical aspects of risk management with human capital are studied. Analyzed and systematized methods aimed at reducing the impact of personnel risks on the productivity and stability of the enterprise. The result of the application of such strategies is an increase in the efficiency of personnel management, a reduction in the probability of problems, and the optimization of work processes. Scientific novelty. The article offers a comprehensive view of risk management in the context of personnel management. The use of modern methods of risk analysis and management allows in-depth solving of problems arising in personnel management and the development of effective strategies for their elimination, taking into account today's conditions. Practical significance. The results of the research can be useful for leaders and managers in the field of personnel management, contributing to the stability and efficiency of the organization. The considered strategies and methods can help to implement practical management solutions with the aim of reducing personnel risks and increasing labor productivity.

Temperature fluctuations, climate uncertainty, and financing hindrance

AbstractUndesirable temperature fluctuations pose significant financial risks for enterprises. By merging fine‐grained meteorological data with a panel of publicly listed firms, we delve into the relationship between temperature volatility and financing constraints. Our analysis reveals a positive correlation between temperature fluctuations and increasingly stringent financing limitations. State‐owned or large‐scale enterprises endowed with greater resources and risk diversification mechanisms are more likely to counteract the adverse effects of temperature volatility. Furthermore, we furnish evidence indicating that temperature fluctuations exert a substantial influence on corporate labor productivity. In response, companies tend to expand their workforce and elevate wages during the fiscal year. Faced with dwindling income and escalating operational costs, enterprises significantly amplify their insurance expenditures. The pronounced escalation in default risk and borrowing costs could undermine investors' sanguine profit expectations, subsequently prompting declines in firms' price‐to‐earnings and price‐to‐book ratios. Our study underscores the imperative for executive management teams to prudently account for climate change‐induced financing constraints when devising investment and production strategies.

Intangible Capital as a Driver of Labor Productivity in Regions and Industries: Evidence of the Spanish Case

ABSTRACTIn the last decade, many studies discussed the impact of intangible investment on firms' performance. However, comparing the effect of different types of intangible investments at regional and sectoral level is not well explored. The paper aims to fill this gap by assessing the impact of several intangible capital on labor productivity using for the first‐time updated data for the period 2000–2019. Adopting panel data techniques and system GMM, the results show that regions with higher endowments of intangible capital get higher levels of labor productivity. The study results also highlight the importance of differentiating between different sectors and types of intangible capital as they have different impact on productivity labor. In the primary sector only investments in R&D result in additional productivity gains. In the manufacturing industry, investments in R&D and software result in additional productivity gains while the service sector also increases labor productivity through other intangibles assets with innovative property such as mineral exploration, entertainment, and artistic originals.