The Robot Revolution: Managerial and Employment Consequences for Firms

2021 ◽  
Author(s):  
Jay Dixon ◽  
Bryan Hong ◽  
Lynn Wu

As a new general-purpose technology, robots have the potential to radically transform employment and organizations. In contrast to prior studies that predict dramatic employment declines, we find that investments in robotics are associated with increases in total firm employment but decreases in the total number of managers. Similarly, we find that robots are associated with an increase in the span of control for supervisors remaining within the organization. We also provide evidence that robot adoption is not motivated by the desire to reduce labor costs but is instead related to improving product and service quality. Our findings are consistent with the notion that robots reduce variance in production processes, diminishing the need for managers to monitor worker activities to ensure production quality. As additional evidence, we also find that robot investments predict improved performance measurement and increased adoption of incentive pay based on individual employee performance. With respect to changes in skill composition within the organization, robots predict decreases in employment for middle-skilled workers but increases in employment for low- and high-skilled workers. We also find that robots predict not only changes in employment but also corresponding adaptations in organizational structure. Robot investments are associated with both centralization and decentralization of decision-making authority depending on the task, but decision rights in either case are reassigned away from the managerial level of the hierarchy. Overall, our results suggest that robots have distinct and profound effects on employment and organizations that require fundamental changes in firm practices and organizational design. This paper was accepted by Lamar Pierce, organizations.

2021 ◽  
Vol 4 (1) ◽  
pp. 28-34
Author(s):  
Maharani Gitaastuti ◽  
Nur Arief Rahmatsyah Putranto

Competencies gap is now becoming a common problem in Indonesia. Research done by the World Bank in 2019 shows that one of the reasons for the competencies gap is limited opportunities for on-the-job training, only 5% of the workforce reported receiving formal training. One of the companies in Indonesia that experiences a problem of competencies gap is PT Frolant. PT Frolant is a manufacturer of instant food and drinks in Indonesia. The problem of competencies gap is shown from the low internal readiness of the company, employees don’t have the competencies required by the company, especially competencies for higher positions of Supervisor and Manager. The proposed solution to solve the competencies gap problem in PT Frolant is by designing new training programs. The process of designing a new training program included conducting training need analysis, design training based on competency, and using the Kirkpatrick Model to evaluate the training program. The research findings show that the company needs to do several improvements in order to create a training program that can solve the problem of the competencies gap. Those including aligning competency standards with organizational goals and organizational design; use several tools to be better in identifying employees with competency gap; differentiate between soft skill and hard skill or between strategic knowledge and operational knowledge in designing training; and perform all four steps of Kirkpatrick Model in evaluating training. Designing training programs based on competencies aims to help PT Frolant improving employee performance that will further improve company performance.


Author(s):  
Mo Shen

Abstract This paper studies how the labor market frictions of skilled workers affect corporate valuation. The analysis features immigrant workers’ mobility constraints imposed by the U.S. green card application process and exploits exogenous variations caused by imperfections in the current immigration system. The study finds that relaxing mobility constraints negatively influences firm value. This effect is stronger for firms with higher labor adjustment costs. Reductions in investments and increases in labor costs are channels through which labor mobility adversely affects firm value. The findings suggest that monopoly rent over skilled workers is an important economic determinant of corporate valuation.


2019 ◽  
Vol 110 ◽  
pp. 01034
Author(s):  
Maria Androsenko ◽  
Ekaterina Kulikova ◽  
Nail Tyuteryakov ◽  
Elena Reshetnikova ◽  
Konstantin Pashenko ◽  
...  

There are various methods and practical examples to determine and to evaluate the production quality level. They include measuring, sensory, calculation, data-recording, sociological and expert methods. Among the variety of general-purpose statistical methods, only seven of them are chosen, which are applied by different specialists. They allow timely detecting and showing the problems, revealing the main points to start with, and helping to distribute the efforts to effectively fulfill main tasks.


2021 ◽  
Vol 31 (6) ◽  
Author(s):  
John Moriarty ◽  
Jure Vogrinc ◽  
Alessandro Zocca

AbstractWe aim to improve upon the exploration of the general-purpose random walk Metropolis algorithm when the target has non-convex support $$A\subset {\mathbb {R}}^d$$ A ⊂ R d , by reusing proposals in $$A^c$$ A c which would otherwise be rejected. The algorithm is Metropolis-class and under standard conditions the chain satisfies a strong law of large numbers and central limit theorem. Theoretical and numerical evidence of improved performance relative to random walk Metropolis are provided. Issues of implementation are discussed and numerical examples, including applications to global optimisation and rare event sampling, are presented.


2021 ◽  
Author(s):  
◽  
Jabulani Samuel Mhlanga

In a dynamic world of office environment where the office is continually changing, there has been a huge need for addressing physical environment comfort of employees to improve their performance, while retaining a happy and healthy workforce. It is against this backdrop that the study was carried out to measure the perceptions of physical environment comfort on employee performance at Durban University of Technology (DUT). A model of office physical elements was used as a conceptual framework to highlight physical environment comfort elements that affects employee performance. The objectives of the study were to measure perceptions of physical environment comfort on employee performance, as well as identify the relationship between physical environment comfort and employee performance. This research adopted a mixed method approach, using the DUT as a case study, with questionnaires and interviews employed as data collection instruments. The target population comprised 81 administrative staff members, including six interviewees who were Head of Departments (HoDs) based at all six DUT campuses. The findings generally indicated a high agreement level with regard to the role of office furniture’s comfort, favourable temperature, good office design and welcoming colours as important in increasing their performance. There were, however, divisions and high disagreements where office furniture’s flexibility is concerned in addition to the strain it caused. Moreover, the amount of noise across offices was found to be quite distracting. It was concluded that the academic administrative staff generally expressed positive perceptions on the importance of physical environment comfort for office employee performance, echoed by the interviewed HoDs. In conclusion, office employees and HoDs expressed positive perceptions on the importance of physical environment comfort for improved performance. This makes it critical for DUT management to address areas of weakness on physical environment comfort for improved productivity.


Author(s):  
Fatinah Ghiyats ◽  
Irfan Noviandy Aulia, Dr., SE., MM., CHRP

This study aims to determine and analyze the effect of competence and motivation on employee performance at PT. Maleo Kreatif Indonesia. To find out and analyze the effect of competence, motivation on organizational commitment at PT. Maleo Kreatif Indonesia. To find out and analyze the effect of organizational commitment on employee performance at PT. Maleo Kreatif Indonesia. To find out and analyze the effect of competence and motivation on employee performance with organizational commitment as an intervening variable at PT. Maleo Kreatif Indonesia. The research method in this study uses quantitative research with the type of explanatory research. The population in this study were all employees of PT. Maleo Kreatif Indonesia, amounting to 60 people who are at the level of the manager down. The sample method in this study uses probability sampling by determining the sample using a census. Then the size of the sample used in this study were 60 respondents who were employees with managerial level downwards. The data analysis method used in this study is the Structural Equation Model (SEM) with the help of the Smart PLS version 3 program. The results showed that competence and motivation had a positive and significant effect on employee performance at PT. Maleo Kreatif Indonesia. Furthermore, competence, motivation and have a positive and significant influence on organizational commitment at PT. Maleo Kreatif Indonesia Organizational commitment has a positive and significant impact on employee performance at PT. Maleo Kreatif Indonesia. Competence and motivation have a positive and significant effect on employee performance with organizational commitment as an intervening variable at PT. Maleo Kreatif Indonesia


2020 ◽  
pp. 651-696
Author(s):  
Brian J. Galli

This article describes how outsourcing and offshoring for software development is a widely used business strategy implemented by many organizations worldwide. Due to its significant benefits, project managers can accrue greater flexibility, lower labor costs, and have access to skilled workers, which are the advantages of outsourcing and offshoring in global software development (GSD). Though there are advantages and benefits to incorporating this business practice, there are risks associated with it as well. Therefore, it is necessary and vital to discuss the challenges and risks that may arise which the project managers should consider before establishing and implementing such a project, to ensure a successful project result. The objective of this research is to identify the challenges and risks involved in GSD and discuss a risk management plan based on these factors. This article has found that communication issues and cultural differences are primary causes of most risks identified. To minimize the risks associated with GSD, these factors must be minimized.


Author(s):  
Astadi Pangarso ◽  
Ibnu Harry Darmawan ◽  
Irmansyah Ihsanul Kamil

Objective - The aim of this research is to test the correlation between the compensation variable to the performance of police hospital employees. The increasing trend of hospital patients in 2012 and 2013 indicates that competition among hospitals, particularly public hospitals, has increased. Therefore, as a hospital belonging to the classification of public hospitals, Bhayangkara Lv.(level) II Sartika Asih Bandung hospital should be able to improve its performance in order to compete with other public hospitals. Methodology/Technique - Overall achievement of performance objectives is still below target among hospitals, and the average performance on Bhayangkara Lv. II Sartika Asih Bandung hospital is no exception. This research uses descriptive research to examine 77 Bayangkara Lv.II Sartika Asih Bandung Police Hospital employees using proportional stratified random sampling. The analysis used in this research is a validity test, reliability test, simple linear regression analysis, coefficient determination, and T-test. Findings - The results of the determination coefficient test showed that compensation has an effect on employee performance (23.1% of Bhayangkara Lv. II Sartika Asih Bandung Hospital employees showed improved performance as a result of compensation). Novelty - The management of Bhayangkara Lv. II Sartika Asih Bandung Hospital should pay greater attention to the types of compensation provided to employees, to increase employee performance. Type of Paper: Empirical Keywords: Compensation; Performance; Hospital; Employee Performance; Indonesia. JEL Classification: M10, M11, M19.


2021 ◽  
Vol 13 (14) ◽  
pp. 7880
Author(s):  
Ming-Liang Li

In both manufacturing and remanufacturing systems, exploiting bulk buying and avoiding delivery delays due to material shortages are crucial. One method that aids in these processes is component standardization. Additionally, company managers seek to reduce labor costs and mitigate the risk of sudden worker resignation or absence due to, for example, reasons associated with the COVID-19 pandemic. The aforementioned problems could be solved using the sorting algorithm proposed in this study. The concept of the proposed algorithm is based on group technology. One numerical example and two case studies are presented to demonstrate the utility of the proposed algorithm. The first example suggested that the performance of the algorithm proposed in this study is superior to another one in the literature. The second one demonstrated that the algorithm in this work achieves component standardization by reducing an initial number of 12 components down to 6. The final case study provides an effective means of grouping workers with similar operational abilities and suggests how to assign new tasks to other skilled workers if a worker resigns suddenly or cannot attend work due to pandemic prevention measures.


2020 ◽  
pp. 66-74
Author(s):  
Nataliya Komar

Introduction. Migration is a global phenomenon that has no borders and affects all countries without exception. Subjective and objective reasons determine migration flows in the world. More than half of the world's population lives in urban areas. Popular and attractive, with their infrastructure, dynamic labor force market, development of integration and consolidation, inclusion, countries / destination cities of migrants who are looking for a better life and more possibilities for employment and social protection. Cities meet the urgent needs of migrants and respond to amount of integration challenges. The majority of cities, which are under considerable pressure from migrants, especially refugees, are awareness that well-managed migration can bring not only challenges but also opportunities and initiatives which can benefit from the economy and society, especially in the long time period. The goal of the article is to research the European continent as a location for migrants and refugees and also to analyze challenges and opportunities for cities destination under influence of migrant’s flows. Method (methodology). The methodological basis of the article are the following general scientific and empirical methods, such as: historical, systemic, generalization method, grouping, comparative method. Results. According to the ratings, Germany (Berlin), Great Britain (London), France (Paris), Poland (Gdansk) are the most popular countries / cities for migrants in the European continent. Migrants may be a burden to the city, because in its turn mentioned one spends public money on their upkeep. At the same time, migrants may be more talented and skilled workers, less demanding than local population. That is why a government and business of destination city of migrants can cooperate effectively in order to maximize potential of immigrants in cities. The main factors which attract migrants in destination cities are economic opportunities of ones. In particular, the attractiveness of Berlin for migrants is due to the fact that the city is innovative, creative and open to thought. Apart from the city has also dynamic labor market and low labor costs. It is worth noting that the majority of developed countries have demographic issues and aging nation, while young people in developing countries look for work due to imbalances in the domestic labor market. Migration, in the following destination cities (Berlin, Athens, Paris), has made its adjustments in the field of infrastructure, education, health care, urban planning, etc. In particular, the private and public sectors combine own attempts in order to solve migration issues in the long term period.


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