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Technology adoption and training practices as a constrained shortest path problem

  • Formaneck, Steven D.
  • Cozzarin, Brian P.
Registered author(s):

    Technology adoption is not a new venue for research. Much work of decision modeling, diffusion of new technology and statistical analysis of survey data has been done. Some studies focus on finding the optimal forms of technology to adopt within a complementarity framework, but there is no mention of finding an optimal path from a firm's current state to its optimal state. This represents a significant gap in the literature. The paper applies a constrained shortest path problem to training and technology adoption decisions by firms. Given the current set of training and technology adoption the method solves for what technology/practice should be adopted or removed from the complete set of combinations and in what order so as to maximize performance subject to budget constraints. To the authors' knowledge, this is the first application of the constrained shortest path problem to technology adoption decisions.

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    Article provided by Elsevier in its journal Omega.

    Volume (Year): 41 (2013)
    Issue (Month): 2 ()
    Pages: 459-472

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    Handle: RePEc:eee:jomega:v:41:y:2013:i:2:p:459-472
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