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Productivity of Information Systems in the Healthcare Industry

Author

Listed:
  • Nirup M. Menon

    (Texas Tech University, College of Business MS 2101, Lubbock, Texas 79409)

  • Byungtae Lee

    (The University of Illinois at Chicago, College of Business, Chicago, Illinois 60607)

  • Leslie Eldenburg

    (The University of Arizona, Karl Eller School of Management, Tucson, Arizona 85721)

Abstract

This research paper analyzes the impact of information technology (IT)in a healthcare setting using a longitudinal sample of hospital data from 1976 to 1994. We classify production inputs into labor and capital categories. Capital is classified into three components—medical IT capital, medical capital, and IT capital—and labor is classified into two components, medical labor and IT labor. Results provide evidence that IT contributes positively to the production of services in the healthcare industry.

Suggested Citation

  • Nirup M. Menon & Byungtae Lee & Leslie Eldenburg, 2000. "Productivity of Information Systems in the Healthcare Industry," Information Systems Research, INFORMS, vol. 11(1), pages 83-92, March.
    • Handle: RePEc:inm:orisre:v:11:y:2000:i:1:p:83-92
    DOI: 10.1287/isre.11.1.83.11784
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Emre M. Demirezen & Subodha Kumar & Arun Sen, 2016. "Sustainability of Healthcare Information Exchanges: A Game-Theoretic Approach," Information Systems Research, INFORMS, vol. 27(2), pages 240-258, June.
    2. Cristiano Codagnone & Fabienne Abadie, 2010. "Strategic Intelligence Monitor on Personal Health Systems (SIMPHS): Structure of Available Data and New Measurement Framework with Selected Indicators," JRC Research Reports JRC62167, Joint Research Centre.
    3. Hemant K. Bhargava & Abhay Nath Mishra, 2014. "Electronic Medical Records and Physician Productivity: Evidence from Panel Data Analysis," Management Science, INFORMS, vol. 60(10), pages 2543-2562, October.
    4. Guido Schryen, 2010. "Preserving Knowledge on IS Business Value," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 2(4), pages 233-244, August.
    5. Indranil Bardhan & Jeong-ha (Cath) Oh & Zhiqiang (Eric) Zheng & Kirk Kirksey, 2015. "Predictive Analytics for Readmission of Patients with Congestive Heart Failure," Information Systems Research, INFORMS, vol. 26(1), pages 19-39, March.
    6. Niam Yaraghi & Anna Ye Du & Raj Sharman & Ram D. Gopal & Ram Ramesh, 2015. "Health Information Exchange as a Multisided Platform: Adoption, Usage, and Practice Involvement in Service Co-Production," Information Systems Research, INFORMS, vol. 26(1), pages 1-18, March.
    7. Ravi Thambusamy & Prashant Palvia, 2020. "U.S. Healthcare Provider Capabilities and Performance: the Mediating Roles of Service Innovation and Quality," Information Systems Frontiers, Springer, vol. 22(1), pages 91-111, February.
    8. Wahyu Agus Winarno & Bambang Tjahjadi, 2017. "The Moderating Effect of Industry Environments on the Relationship between IT Asset Portfolios, Efficiency and Innovation in the ERP Context," European Research Studies Journal, European Research Studies Journal, vol. 0(2A), pages 3-15.
    9. Stefan Schweikl & Robert Obermaier, 2020. "Lessons from three decades of IT productivity research: towards a better understanding of IT-induced productivity effects," Management Review Quarterly, Springer, vol. 70(4), pages 461-507, November.
    10. C. Derrick Huang & Jahyun Goo & Ravi S. Behara & Ankur Agarwal, 2020. "Clinical Decision Support System for Managing COPD-Related Readmission Risk," Information Systems Frontiers, Springer, vol. 22(3), pages 735-747, June.
    11. Sarv Devaraj & Rajiv Kohli, 2003. "Performance Impacts of Information Technology: Is Actual Usage the Missing Link?," Management Science, INFORMS, vol. 49(3), pages 273-289, March.
    12. Kweku-Muata Osei-Bryson, 2015. "A hybrid decision support framework for generating & selecting causal explanatory regression splines models for information systems research," Information Systems Frontiers, Springer, vol. 17(4), pages 845-856, August.
    13. Xu, Zhuo, 2019. "An empirical study of patients' privacy concerns for health informatics as a service," Technological Forecasting and Social Change, Elsevier, vol. 143(C), pages 297-306.
    14. Breunig, Christoph & Kummer, Michael & Ohnemus, Jörg & Viete, Steffen, 2016. "IT outsourcing and firm productivity: Eliminating bias from selective missingness in the dependent variable," ZEW Discussion Papers 16-092, ZEW - Leibniz Centre for European Economic Research.
    15. Becker, Jan U. & Greve, Goetz & Albers, Sönke, 2009. "The impact of technological and organizational implementation of CRM on customer acquisition, maintenance, and retention," International Journal of Research in Marketing, Elsevier, vol. 26(3), pages 207-215.
    16. Dennis O. Kundisch & Neeraj Mittal & Barrie R. Nault, 2014. "Research Commentary —Using Income Accounting as the Theoretical Basis for Measuring IT Productivity," Information Systems Research, INFORMS, vol. 25(3), pages 449-467, September.
    17. Nirup M. Menon & Rajiv Kohli, 2013. "Blunting Damocles' Sword: A Longitudinal Model of Healthcare IT Impact on Malpractice Insurance Premium and Quality of Patient Care," Information Systems Research, INFORMS, vol. 24(4), pages 918-932, December.
    18. Hu, Qing & Quan, Jing “Jim”, 2005. "Evaluating the impact of IT investments on productivity: a causal analysis at industry level," International Journal of Information Management, Elsevier, vol. 25(1), pages 39-53.
    19. Moez Bellaaj, 2008. "Technologies De L'Information Et Performance Organisationnelle : Différentes Approches D'Évaluation," Post-Print halshs-00522342, HAL.
    20. Saggi Nevo & Michael Wade & Wade D. Cook, 2010. "An empirical study of IT as a factor of production: The case of Net-enabled IT assets," Information Systems Frontiers, Springer, vol. 12(3), pages 323-335, July.
    21. Sam Ransbotham & Eric M. Overby & Michael C. Jernigan, 2021. "Electronic Trace Data and Legal Outcomes: The Effect of Electronic Medical Records on Malpractice Claim Resolution Time," Management Science, INFORMS, vol. 67(7), pages 4341-4361, July.
    22. Ritu Agarwal & Guodong (Gordon) Gao & Catherine DesRoches & Ashish K. Jha, 2010. "Research Commentary ---The Digital Transformation of Healthcare: Current Status and the Road Ahead," Information Systems Research, INFORMS, vol. 21(4), pages 796-809, December.
    23. Jun Sun & Zhe Qu, 2015. "Understanding health information technology adoption: A synthesis of literature from an activity perspective," Information Systems Frontiers, Springer, vol. 17(5), pages 1177-1190, October.
    24. Iossifova, Albena R. & Meyer-Goldstein, Susan, 2013. "Impact of standards adoption on healthcare transaction performance: The case of HIPAA," International Journal of Production Economics, Elsevier, vol. 141(1), pages 277-285.
    25. Jeong Hoon Choi & Imsu Park & Ilyoung Jung & Asoke Dey, 2017. "Complementary effect of patient volume and quality of care on hospital cost efficiency," Health Care Management Science, Springer, vol. 20(2), pages 221-231, June.

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