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On the relation between organisational practices and new technologies: The role of (time based) competition

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  • Philippe Askenazy

    (PJSE - Paris-Jourdan Sciences Economiques - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique)

  • David Thesmar

    (CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - X - École polytechnique - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - CNRS - Centre National de la Recherche Scientifique, ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique)

  • Mathias Thoenig

    (PJSE - Paris-Jourdan Sciences Economiques - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, UNIGE - Université de Genève = University of Geneva)

Abstract

This article studies some aspects of organisation choice while explicitly accounting for the fact that firms compete on the product market. Firms compete by introducing drastic innovations, while organisation choice results from a tradeoff between productive efficiency and reactivity. We show that the adoption of information technologies and the choice of reactive organisations are complements via an industry-level equilibrium effect. This view contrasts with the existing literature which emphasises the existence of similar complementarities at the firm level. Consistently with our model, we find that industry-level, rather than firm-level, diffusion of information technologies explains firms' organisational practices.

Suggested Citation

  • Philippe Askenazy & David Thesmar & Mathias Thoenig, 2006. "On the relation between organisational practices and new technologies: The role of (time based) competition," Post-Print halshs-00754176, HAL.
    • Handle: RePEc:hal:journl:halshs-00754176
    DOI: 10.1111/j.1468-0297.2006.01050.x
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    Cited by:

    1. Daron Acemoglu & Philippe Aghion & Claire Lelarge & John Van Reenen & Fabrizio Zilibotti, 2007. "Technology, Information, and the Decentralization of the Firm," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1759-1799.
    2. Maria Guadalupe & Julie M. Wulf, 2008. "The Flattening Firm and Product Market Competition: The Effect of Trade Liberalization," Harvard Business School Working Papers 09-067, Harvard Business School.
    3. Philippe Askenazy & Julien Grenet, 2009. "Les managers français connaissent-ils leurs entreprises ? Les leçons de l’enquête REPONSE," Économie et Statistique, Programme National Persée, vol. 421(1), pages 53-82.
    4. Ludivine Martin, 2020. "How to retain motivated employees in their jobs?," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 41(4), pages 910-953, November.
    5. Ludivine Martin, 2017. "Do Innovative Work Practices and Use of Information and Communication Technologies Motivate Employees?," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 56(2), pages 263-292, April.
    6. Ben aoun, Leila & Dubrocard, Anne, 2010. "TIC, innovation et effets perçus dans les entreprises luxembourgeoises [ICT, Innovation and perceived effects in Luxembourgish firms]," MPRA Paper 28375, University Library of Munich, Germany.

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