Organizational form and business performance

This project deals with the generation of profitability and the distribution of its benefits. Inspired by Davis (1947, 1955), we define profitability as the ratio of revenue to cost. Profitability is not as popular a measure of business financial performance as profit, the difference between revenue and cost. Regardless of its popularity, however, profitability is surely a useful financial performance measure. Our primary objective in this project is to identify the factors that generate change in profitability. One set of factors, which we refer to as sources, consists of changes in quantities and prices of outputs and inputs. Individual quantity changes aggregate to the overall impact of quantity change on profitability change, which we call productivity change. Individual price changes aggregate to the overall impact of price change on profitability change, which we call price recovery change. In this framework profitability change consists exclusively of productivity change and price recovery change. A second set of factors, which we refer to as drivers, consists of phenomena such as technical change, change in the efficiency of resource allocation, and the impact of economies of scale. The ability of management to harness these factors drives productivity change, which is one component of profitability change. Thus the term sources refers to quantities and prices of individual outputs and inputs, whose changes influence productivity change or price recovery change, either of which influences profitability change. The term drivers refers to phenomena related to technology and management that influence productivity change (but not price recovery change), and hence profitability change.

Feasibility of replacing multiple ADSL connections with Multi-Dwelling Access

This final project was made for the Broadband/Implementation department of TeliaSonera Finland. The question to be examined is if the operator should replace multiple ADSL connections implemented over a leased line with Multi-Dwelling access based on an Ethernet/Optical Fibre access network. The project starts with describing the technology related to these access network solu-tions and presents the technology that is used in TeliaSonera Finland's access network. It continues from the technology to describe the problem with some of the ADSL implemen-tations of TeliaSonera. The problem is the implementations done over a leased line that can cost TeliaSonera over years as much as a possible investment to extend network when there is several lines leased to the same building. The project proposes a Multi-Dwelling access as a solution to this problem and defines the circumstances when to use it. After a satisfactory solution has found the project takes a view how implementation of the solution might alter the network and a new problem is found. When used commonly to replace need of ADSL implementation Multi-Dwelling access would significantly increase optical cable congestion near operators POP. As a final deed this project also proposes a technical change to existing way to implement multi-dwelling access with EPON technology.

Globalization, Divergence and Stagnation

In a world where poor countries provide weak protection for intellectual property rights, market integration shifts technical change in favor of rich nations. Through this channel, free trade may amplify international income differences. At the same time, integration with countries where intellectual property rights are weakly protected can slow down the world growth rate. A crucial implication of these results is that protection of intellectual property is most beneficial in open countries. This prediction, which is novel in the literature, finds support in the data on a panel of 53 countries observed in the years 1965-1990.

Horizontal innovation in the theory of growth and development

We analyze recent contributions to growth theory based on the model of expanding variety of Romer (1990). In the first part, we present different versions of the benchmark linear model with imperfect competition. These include the labequipment model, labor-for-intermediates and directed technical change . We review applications of the expanding variety framework to the analysis of international technology diffusion, trade, cross-country productivity differences, financial development and fluctuations. In many such applications, a key role is played by complementarities in the process of innovation.

Measuring and explaining farm inefficiency in a panel data set of mixed farms

This paper aims to estimate a translog stochastic frontier production function in the analysis of a panel of 150 mixed Catalan farms in the period 1989-1993, in order to attempt to measure and explain variation in technical inefficiency scores with a one-stage approach. The model uses gross value added as the output aggregate measure. Total employment, fixed capital, current assets, specific costs and overhead costs are introduced into the model as inputs. Stochasticfrontier estimates are compared with those obtained using a linear programming method using a two-stage approach. The specification of the translog stochastic frontier model appears as an appropriate representation of the data, technical change was rejected and the technical inefficiency effects were statistically significant. The mean technical efficiency in the period analyzed was estimated to be 64.0%. Farm inefficiency levels were found significantly at 5%level and positively correlated with the number of economic size units.

Credible redistributive policies and migration across US States

Does worker mobility undermine governments ability to redistribute income? Thispaper analyzes the experience of US states in the recent decades. We build a tractablemodel where both migration decisions and redistribution policies are endogenous. Wecalibrate the model to match skill premium and worker productivity at the state level,as well as the size and skill composition of migration flows. The calibrated modelis able to reproduce the large changes in skill composition as well as key qualitativerelationships of labor flows and redistribution policies observed in the data. Our resultssuggest that regional di¤erences in labor productivity are an important determinantof interstate migration. We use the calibrated model to compare the cross-section ofredistributive policies with and without worker mobility. The main result of the paperis that interstate migration has induced substantial convergence in tax rates acrossUS states, but no race to the bottom. Skill-biased in-migration has reduced the skillpremium and the need for tax-based redistribution in the states that would have hadthe highest tax rates in the absence of mobility.

Education, growth and income inequality

Estimates of the e¤ect of education on GDP (the social return to education)have been hard to reconcile with micro evidence on the private return. We present a simple explanation that combines two ideas: imperfect substitution between worker types and endogenous skill biased technological progress. When types of workers are imperfect substitutes, the supply of human capital is negatively related to its return, and a higher education level compresses wage di¤erentials. We use cross-country panel data on income inequality to estimate the private return and GDP data to estimate the social return. The results show that the private return falls by 2 percentage points when the average education level increases by a year, which is consistent with Katz and Murphy's [1992] estimate of the elasticity of substitution between worker types. We find no evidence for dynamics in the private return, and certainly not for a reversal of the negative e¤ect as described in Acemoglu [2002]. The short run social return equals the private return.

International Standardisation and Local Participatory Dynamics : The INTERNORM Project

This paper presents a pilot project (INTERNORM) funded by the University of Lausanne (2010 - 2013) to support the involvement of civil society organisations (CSO) in international standard setting bodies such as the ISO. It analyses how a distinct participatory mechanism can influence the institutional environment of technical diplomacy in which standards are shaped. The project is an attempt to respond to the democratic deficit attested in the field of international standardisation, formally open to civil society participation, but still largely dominated by expert knowledge and market players. Many international standards have direct implications on society as a whole, but CSOs (consumers and environmental associations, trade unions) are largely under-represented in negotiation arenas. The paper draws upon international relations literature on new institutional forms in global governance and studies of participation in science and technology. It argues that there are significant limitations to the rise of civil society participation in such global governance mechanisms. The INTERNORM project has been designed as a platform of knowledge exchange between CSO and academic experts, with earmarked funding and official membership to a national standardisation body. But INTERNORM cannot substitute for a long- established lack of resources in time, money and expertise of CSOs. Despite high entry costs into technical diplomacy, participation thus appears as less a matter of upstream engagement, or of procedure only, than of dedicated means to shift the geometry of actors and the framing of socio-technical change.

Agricultural productivity and structural transformation. Evidence from Brazil

We study the effects of the adoption of new agricultural technologies on structural transformation. To guide empirical work, we present a simple model where the effect of agriculturalproductivity on industrial development depends on the factor bias of technical change. We testthe predictions of the model by studying the introduction of genetically engineered soybeanseeds in Brazil, which had heterogeneous effects on agricultural productivity across areas withdifferent soil and weather characteristics. We find that technical change in soy production wasstrongly labor saving and lead to industrial growth, as predicted by the model.

Sectoral and occupational employment growth in Spain 1995-2005

Between 1995 and 2005, the Spanish economy grew at an annual average rate higher than 3,5%. Total employment increased by more than 4.9 millions. Most of this growth was in occupations related with university degrees (more than 890,000, 18% of the total employment increase) and vocational qualifications (more than 855,000, 17.5% of the total employment increase). From a sectoral perspective, the main part of this increase took place in “Real estate, renting and business activities” (K sector in NACE rev.1), “Construction” (F sector) and “Health and social sector” (N sector). This paper analyses this employment growth in an Input-output framework, by means of a structural decomposition analysis (SDA). Two kinds of results have been obtained. From a sectoral perspective we decompose employment growth into Labour requirements change, technical change and demand change. From an occupational perspective, we decompose the employment growth in substitutions effect, labour productivity effect and demand effect. The results show that, in aggregated terms, the main part of this growth is attributable to demand growth, with a small technical improvement. But the results also show that this aggregated behaviour hides important sectoral and occupational variation. The purpose of this paper is to contribute to the ongoing debate over productivity growth and what has been called the “growth model” for the Spanish economy.

Sosioteknisen kuilun kaventaminen toiminnanohjausjärjestelmän ja käyttäjien välillä

Pro Gradu- tutkimuksen keskeisin tavoite on ollut selvittää, kuinka sosioteknistä kuilua kohdeyrityksen toiminnanohjausjärjestelmän ja käyttäjien välillä voitaisiin pienentää. Teo-reettisena viitekehyksenä on käytetty sosioteknistä systeemiteoriaa sekä teorioita liittyen tietoteknisen järjestelmän hyväksyntään. Toiminnanohjausjärjestelmät ovat tunnetusti välttämätön osa nykypäivää lähes kaikille yrityksille. Niiden käyttöönoton onnistumista ja käytön tehokkuutta voidaan parantaa huomioimalla sekä sosiaalinen että tekninen systeemi organisaatiossa. Sosiotekninen kuilu rakentuu kahden välttämättömän ja toisistaan riippuvaisen systeemin välille: sekä sosiaalinen systeemi eli henkilöstö ja heidän työtapansa että tekninen systeemi eli tekno-logia ja tieto on huomioitava ja aidosti sosioteknisessä muutoksessa molempia systeeme-jä muokattava. Organisaatio voi parantaa omilla toimillaan käyttäjien asennetta ja haluk-kuutta ja siten kaventaa kuilua sosiaalisen systeemin puolelta. Lisäksi teknistä systeemiä tulisi muokata paremmin vastaamaan käyttäjien toiveita, jotta kuilu kapenisi myös tekni-sen systeemin suunnasta. Tutkimus toteutettiin laadullisena ja aineistonkeräystapana käytettiin puolistrukturoituja haastatteluja kohdeyrityksessä.

ERP-projekti muutosprosessina - Case-yrityksen henkilöstön näkemys muutosjohtamisesta ERP-projektin aikana

Uuden tietojärjestelmän hankinta on paitsi tekninen myös sosiaalinen muutos. Tieteelliset teoriat sekä tutkimukset osoittavat, että uuden tietojärjestelmän onnistunut käyttöönotto edellyttää sosioteknistä systeemiajattelua muutoksen läpivientiin. Tämän tutkimuksen tavoitteena oli osallistua yhteiskunnalliseen keskusteluun muutosjohtamisen tärkeydestä otettaessa käyttöön uutta teknologiaa sekä tutkia Case-yrityksen ERP-projektin muutosjohtamisen onnistumista. Tutkimuksen konteksti koostuu sosioteknisestä muutoksesta, jossa muutosjohtaminen nousee keskiöön. Tutkimuksessa kartoitettiin uuden ERP-järjestelmän käyttöönoton onnistumisen kannalta keskeiset muutosjohtamisen elementit: muutostarve, projektitiimi, visio ja tavoitteet, viestintä, koulutus, osallistaminen, sitouttaminen, johdon ja projektiryhmän tuki sekä muutoksen arviointi ja vakiinnuttaminen. Tutkimuksen empiirisessä osassa arvioitiin Case-yrityksen ERP-projektin muutosjohtamista henkilöstön näkökulmasta. Tutkimus toteutettiin laadullisena tapaustutkimuksena, jossa pääasiallisena aineistonkeruumenetelmänä käytettiin sähköistä puolistrukturoitua kyselylomaketta. Tulosten analysoinnin perusteella Case-yrityksen ERP-järjestelmän käyttöönotto sujui tyydyttävästi.

Concorrência e mudança técnica: aportes e limites dos modelos neo-schumpeterianos evolucionários de dinâmica industrial

This paper makes a critical survey of some recent evolutionary economic literature dealing with industrial dynamics. Although the evolutionary models of industrial dynamics has explored the relationships among market structure and the innovation process within an analytical context that emphasize non-linearity, behavioral asymmetries and the existence of selective process in the competitive dynamics of markets, have been capable of offering compatible results with industrial organization stylized facts, a lot of limitations in technical change description pointed out have able to alter in a crucial way the results attained.

Public management, policy capacity, innovation and development

In this paper we discuss the question of what factors in development policy create specific forms of policy capacity and under what circumstances developmentoriented complementarities or mismatches between the public and private sectors emerge. We argue that specific forms of policy capacity emerge from three interlinked policy choices, each fundamentally evolutionary in nature: policy choices on understanding the nature and sources of technical change and innovation; on the ways of financing economic growth, in particular technical change; and on the nature of public management to deliver and implement both previous sets of policy choices. Thus, policy capacity is not so much a continuum of abilities (from less to more), but rather a variety of modes of making policy that originate from co-evolutionary processes in capitalist development. To illustrate, we briefly reflect upon how the East Asian developmental states of the 1960s-1980s and Eastern European transition policies since the 1990s led to almost opposite institutional systems for financing, designing and managing development strategies, and how this led, through co-evolutionary processes, to different forms of policy capacity.

La pensée navale et le débat sur la torpille en Angleterre au cours de la décennie 1880

L’évolution du débat sur la pensée navale en Angleterre de la décennie 1880, suivant la fin d’une période d’intenses changements technologiques dans les marines de guerre est marquée par le déclin d’un mode de réflexion matériel et l’ascension, à partir des années 1885 et 1886, de l’école historique de John Knox Laughton. Selon la méthode matérielle, populaire au cours de la période de transformation technique, la guerre sur mer est entièrement tributaire du Progrès, tandis que, pour les tenants de la méthode historique, des principes et des leçons immuables la régissent. À travers l’évolution de ce débat, on constate l’introduction, par la Jeune École française, d’une perspective matérialiste et de la stratégie navale comme objet de réflexion, et son exploitation par l’école historique anglaise. L’émergence de la stratégie comme sujet de débat coïncide donc avec le triomphe de l’école historique. Croyant que la torpille allait démocratiser la puissance navale en empêchant le belligérant le plus puissant d’user de sa maîtrise des mers, la Jeune École connut un succès fulgurant qui déborda des côtes françaises et atteint l’Angleterre. Néanmoins, les matérialistes anglais, demeurant beaucoup plus modérés que les français, furent finalement marginalisés par une école historique utilisant les exagérations de la Jeune École, dont les insuffisances sont apparues lors des manœuvres de l’été 1886, pour disqualifier entièrement la méthode matérielle. Étudiant les débats du Royal United Service Institution Journal, ce mémoire démontre l’existence, en Angleterre, au cours de la décennie 1880, d’un débat polarisé au contraire d’une historiographie ne montrant que l’ascension des précurseurs de Mahan et de l’école historique.