The effect of ICT integration on labor productivity Examining the relationship between ICT integration and labor productivity in Dutch manufacturing firms
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2022-01-31
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en
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Since the third industrial revolution, the effects of ICT on labor productivity have been studied by many researchers. However, there is no consensus in the literature on whether ICT has a positive effect on labor productivity, or that this effect is lacking. The last decade, with the rise of ‘industry 4.0’, ICT integration became a concept that is in the spotlight. This paper builds on the industry 4.0 concept and examines the relationship between ICT integration and labor productivity & total factor productivity in Dutch manufacturing firms. This was done by using quantitative data from the European Manufacturing Survey 2018. The regression analyses that were done provided some interesting findings regarding the relationship. First, the results show that ICT integration has no significant positive effect on labor productivity. Besides that, the analyses also revealed that ICT integration did have a significant positive effect on total factor productivity, in contrast to labor productivity.
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Faculteit der Managementwetenschappen