scholarly journals Efficient Utilization of Resources in Manufacturing Firms

2013 ◽  
Vol 9 (3) ◽  
pp. 182-196
Author(s):  
Md. Shakil Ahmed ◽  
Mohammed Ziaul Haider
Keyword(s):  
Small Firms ◽  
Large Scale ◽  
Labour Force ◽  
Labour Productivity ◽  
Manufacturing Firms ◽  
West Region ◽  
Lower Productivity ◽  
Long Run ◽  
Productive Labour ◽  
Medium Firms

This study describes the optimality in resource utilization of the manufacturing firms in the south-west region of Bangladesh. A translog production function has been estimated to describe the input-output relationship. The large scale firms have the opportunity to substitute capital for labour for producing the same level of output. On the other hand, scarcity in capital leads to lower productivity of labour in medium and small firms. Therefore, an increase in capital may lead to an increase in labour productivity as well as output for these small and medium firms. The productive labour force may ensure proper utilization of the capital resources as well as the long run growth.

Harnessing Supply Chain Knowledge for Mitigating the Negative Effects of Bricolage

2020 ◽  
Vol 17 (04) ◽  
pp. 2050023
Author(s):  
Gurjeet Kaur Sahi ◽  
Nivedita Agarwal
Keyword(s):  
Supply Chain ◽  
Firm Performance ◽  
Small Firms ◽  
Large Scale ◽  
Manufacturing Firms ◽  
Negative Effects ◽  
North West ◽  
Final Sample ◽  
Quadratic Effects ◽  
Positive Effect

Bricolage is a term used to illustrate the practice in which small firms tap scant available resources to exploit business opportunities and to facilitate innovation. We focus on decreasing returns from excessive bricolage and, more importantly, highlight an important role played by supply chain knowledge in mitigating decreasing returns from bricolage. The role played by supply chain knowledge in reducing the negative effects of excessive bricolage is not explored yet. This study, in the context of an emerging economy, seeks to isolate the linear and quadratic effects of bricolage on firm performance and examines the moderating influence of supply chain knowledge on the bricolage-to-firm performance relationship. To test the proposed relationships, data from large-scale manufacturing firms in north-west India were used. The final sample size of 106 firms was used for testing the relationships using stepwise OLS analysis. The results revealed that at lower levels of supply chain knowledge, bricolage had an inverted-U relationship with firm performance. In other words, supply chain knowledge mitigates the negative effects of bricolage on performance. However, it did not strengthen the positive effect of bricolage on performance.

Structural Transformation of Jobs from Manufacturing to Services: Will It Work for India?

2021 ◽  
Vol 15 (1) ◽  
pp. 22-49
Author(s):  
Soumya Bhadury ◽  
Abhinav Narayanan ◽  
Bhanu Pratap
Keyword(s):  
Developing Economies ◽  
Labour Force ◽  
Labour Productivity ◽  
Jel Codes ◽  
Services Sector ◽  
Lower Productivity ◽  
World Economic ◽  
Rapid Replacement ◽  
Economic Survey ◽  
Economic Outlook

India has struggled with the question of what to make in India—manufacturing or services. The Economic Survey 2014–2015 articulated that this was a false choice. Instead, India faced a choice between two disparate types of sectors, unskilled-intensive and skilled-intensive, in both of which India possessed a comparative advantage. Two years down the line, the Economic Survey 2016–2017 suggested that labour-intensive sectors may be more effective in addressing India’s job challenge. The World Economic Outlook Report 2018 has suggested that a rapid replacement in the share of manufacturing jobs by services is likely to have a welfare-enhancing effect on developed and developing economies alike. As the Economic Survey 2014–2015 suggested that this is both a positive and a policy question. This article re-examines this question of manufacturing versus services in the Indian context to contribute to this debate. Specifically, we use the KLEMS India dataset to examine the dynamics of labour productivity associated with (a) a steady shift in the composition of the workforce towards the services sector and (b) investment in human capital proxied by changes in the labour quality index. Contrary to the WEO’s policy prescription, our findings suggest that an increasing prevalence of informal job contracts in services could potentially weaken the positive relationship between labour quality and labour productivity. Additionally, we observe that India’s labour force seems to be rapidly shifting towards services sub-sectors with lower productivity. This mechanism is likely to obstruct any potential gains in productivity, associated with an optimal relocation of factors of production. JEL codes: J21, J24, O14, C31, C33

scholarly journals HOW EFFECTIVE ARE LABOR WAGES ON LABOR PRODUCTIVITY?: AN EMPIRICAL INVESTIGATION ON THE CONSTRUCTION INDUSTRY OF NEW ZEALAND

2020 ◽  
Vol 26 (1) ◽  
pp. 258-270 ◽  
Author(s):  
Mustafa Ozturk ◽  
Serdar Durdyev ◽  
Osman Nuri Aras ◽  
Syuhaida Ismail ◽  
Nerija Banaitienė
Keyword(s):  
New Zealand ◽  
Labour Productivity ◽  
Construction Sector ◽  
Productivity Level ◽  
Model Stability ◽  
Normality Test ◽  
Long Run ◽  
Integration Test ◽  
Productive Labour ◽  
The Relationship

This study empirically investigates (for the period of 1983–2017) the relationships between the parameters (labour wage (LW), labour productivity (LP) and unemployment (UNM) rate) of the construction sector in New Zealand. This study employs the Johansen co-integration test to determine if the relationship in the long run does exist among the investigated variables as well as to assess the relationships. The results show that the LW has a positive effect on the LP, while the UNM affects negatively, which indicates that the higher salary, the more productive labour. In other words, increase in salary stimulates the belief of the workforce that they are substantially paid for their work, which ultimately increases their trust and loyalty to the employer; hence, productivity. Moreover, the results show adverse effect of UNM on LP, which indicates that labours may also lose his/her productivity due to fear of losing his/her job. The model stability is verified by Histogram Normality Test, Breusch-Godfrey Serial Correlation, Heteroscedasticity Breusch-Pagan-Godfrey tests. Thus, the forefront of the construction sector is recommended to consider the empirical relationships determined in this study in order to improve the productivity level at various levels.

A Spatial Analysis of New Manufacurin Firm Formation in Wales 1979-1983

1989 ◽  
Vol 7 (2) ◽  
pp. 44-68 ◽  
Author(s):  
Paul Westhead
Keyword(s):  
Small Firms ◽  
Manufacturing Firms ◽  
Firm Formation ◽  
Manufacturing Firm ◽  
Industrial Countries ◽  
Economic Role ◽  
New Firm Formation ◽  
Long Run ◽  
Spatial Differences ◽  
New Firm

PAUL WESTHEAD is a research assistant at the Cranfield School of Management, England. New manufacturing firms have in the last few years become an increasingly important focus of academic debate and government policy in many advanced capitalist industrial countries. In terms of job generation and their postulated role in fostering healthy and diverse local economies they have been viewed by some commentators as a key to national economic recovery in the long run and a panacea for all economic problems. This has served to increase both policy interest and research in the economic role of new firms and differences in rates of formation from place to place and from sector to sector in the economy. There is a need for more detailed research into the nature and extent of spatial variations in new manufacturing firm formation rates, not least because such information is an essential prerequisite in justifying the case for a spatially selective small firms policy. In this paper the spatial pattern of new manufacturing firms formation in Wales in 1979-88 period is detailed. In order to understand spatial differences in formation rates, new firm formation theory was referee to and a range of hypotheses presumed to be associated with the firm formation process were explored using correlation and regression analysis. High rates of new firm formation were found to be closely associated with aspects of rurality, high levels of self-employment and a tradition of employment in small plants.

R&D SPILLOVERS AND PRODUCTIVITY IN ITALIAN MANUFACTURING FIRMS

2017 ◽  
Vol 21 (04) ◽  
pp. 1750035 ◽  
Author(s):  
LUIGI ALDIERI ◽  
CONCETTO PAOLO VINCI
Keyword(s):  
Labour Force ◽  
Innovation Process ◽  
Spillover Effects ◽  
Manufacturing Firms ◽  
Generation Model ◽  
Theoretical Idea ◽  
Skill Composition ◽  
Italian Manufacturing Firms ◽  
Medium Firms ◽  
The Relationship

In this paper, we analyse the relationship between Research and Development (R&D) spillovers and productivity. To this aim, we develop a non-overlapping generation model to evidence the theoretical idea of the spillovers between firms and then we implement an empirical investigation based on data from 9th and 10th Survey on Italian Manufacturing Firms (IMM) conducted by Capitalia to test for this idea. The results provide evidence of higher productivity in R&D and skill intensive industries and this can be interpreted as the signal of the relevance of spillover effects. Indeed, in-house R&D does not capture all aspects of innovation, which often occurs via other channels, especially in SMEs. Small and medium firms, such as Italian firms, are much more able to innovate by exploiting knowledge created outside of them. Thus, the results of our paper suggest that R&D spillovers reinforce in-house R&D in affecting SMEs productivity. Moreover, the contribution of this paper is also to stress the importance of skill composition of the labour force in the innovation process of firms.

scholarly journals The Debt Overhang Hypothesis: Evidence from Pakistan

2016 ◽  
Vol 11 (1) ◽  
pp. 140-151 ◽  
Author(s):  
Muhammad Imran Shah ◽  
Irfan Ullah ◽  
Zia Ur Rahman ◽  
Nadeem Jan
Keyword(s):  
Economic Growth ◽  
Dynamic Behaviour ◽  
Negative Impact ◽  
Labour Force ◽  
External Debt ◽  
Unit Roots ◽  
Debt Overhang ◽  
Debt Burden ◽  
Long Run ◽  
Domestic Labour

AbstractThis study investigates the debt overhang hypothesis for Pakistan in the period 1960-2007. The study examines empirically the dynamic behaviour of GDP, debt services, the employed labour force and investment using the time series concepts of unit roots, cointegration, error correlation and causality. Our findings suggest that debt-servicing has a negative impact on the productivity of both labour and capital, and that in turn has adversely affected economic growth. By severely constraining the ability of the country to service debt, this lends support to the debt-overhang hypothesis in Pakistan. The long run relation between debt services and economic growth implies that future increases in output will drain away in form of high debt service payments to lender country as external debt acts like a tax on output. More specifically, foreign creditors will benefit more from the rise in productivity than will domestic producers and labour. This suggests that domestic labour and capital are the ultimate losers from this heavy debt burden.

Employer tenure in gays, lesbians and their straight counterparts

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Karel Fric
Keyword(s):  
Large Scale ◽  
Labour Force ◽  
Ceteris Paribus ◽  
Market Outcomes ◽  
Main Hypothesis ◽  
Content Type ◽  
Lesbian And Gay ◽  
Occupational Characteristics ◽  
Unemployment Spells ◽  
Insight Into

PurposeThis article aims to shed more light on seemingly contradicting labour market outcomes of lesbians: they were found to have similar unemployment rates as straight women but their unemployment spells are significantly shorter. No such contradiction is observed for gays who seem to have on average a higher unemployment rate and longer unemployment spells compared to straight men.Design/methodology/approachThe main hypothesis is that lesbian and gay employees spend ceteris paribus shorter time working for a given employer (employer tenure) than comparable straight people. This hypothesis is tested on EU Labour Force Survey data using multi-level regression model.FindingsConsistently with the predictions, lesbians and gays were found to have significantly shorter employer tenure than their straight counterparts. These differences remained significant after controlling for individual, workplace and occupational characteristics. The results suggest that shorter employer tenure of lesbians and (possibly) gays is driven by labour demand factors.Originality/valueTo author's knowledge this is the first large-scale quantitative study that compares the employer tenure between lesbians, gays and comparable heterosexuals. The study provides additional insight into mechanisms that lead to (lack of) differentials in unemployment probability between these groups.

Macroeconomic determinants of trade openness: empirical investigation of SAARC region

2018 ◽  
Vol 12 (2) ◽  
pp. 151-161 ◽  
Author(s):  
Muhammad Tahir ◽  
SAF Hasnu ◽  
Mario Ruiz Estrada
Keyword(s):  
Regional Cooperation ◽  
Labour Force ◽  
Trade Openness ◽  
Least Square Method ◽  
Least Square ◽  
Content Type ◽  
Currency Exchange ◽  
Long Run ◽  
Macroeconomic Determinants ◽  
The Impact

Purpose Trade openness plays a significant role in the growth process of countries. The purpose of this paper is to examine the impact of macroeconomic determinants on the trade openness of countries. Design/methodology/approach The study focuses on the South Asian Association for Regional Cooperation (SAARC) member countries and the data used were from 1971 to 2011. Panel data econometrics techniques and two stages least square method (TSLS) are used to carry out empirical analysis and robustness testing. Findings The main finding of the paper is that macroeconomic determinants such as investment both in physical and human capital and per capita gross domestic product (GDP) positively affect trade openness. Further, the size of labour force and currency exchange rate has also impacted trade openness negatively and significantly. Practical implications It implies that efficient macroeconomic management matters for higher trade openness. The sampled developing countries are suggested to pay favourable attention to macroeconomic variables if they want to grow in the long run through outward-oriented policies. Originality/value This paper is an original contribution in the context of SAARC countries by focusing on the relationship between macroeconomic determinants and trade openness.

scholarly journals Corporate parents, initial legitimacy, and resource acquisition in small and medium firms: An empirical examination

2011 ◽  
Vol 14 (1) ◽  
pp. 23-34 ◽  
Author(s):  
Gregory Murphy ◽  
Neil Tocher
Keyword(s):  
Firm Size ◽  
Small Firms ◽  
Small And Medium Enterprises ◽  
Empirical Test ◽  
Resource Acquisition ◽  
The Internet ◽  
Empirical Examination ◽  
Credit Scores ◽  
Medium Enterprises ◽  
Medium Firms

Small and medium enterprises (SMEs) commonly struggle to acquire needed financial, human, and technological resources. The above being stated, recent scholarly research argues that SMEs that are able to successfully navigate the legitimacy threshold are better able to gather the resources they need to survive and grow. This article provides an empirical test of that claim by examining whether the presence of a corporate parent positively influences SME resource acquisition. Results of the study show that SMEs with corporate parents, when compared to like-sized independent SMEs, have higher credit scores, have more complete management teams, use more computers, and are more likely to be on the Internet. These differences are most pronounced for very small firms and diminish in significance as firm size increases. Study implications include the notion that presence of a corporate parent likely represents a successful navigation of the legitimacy threshold, positively increasing SME resource acquisition.

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