The impact of R&D investments cannot be evaluated separately from the investments made in information technologies in today’s highly digitalized knowledge economy. Besides, there is a mixed evidence in the prior management literature on the impact of expensive R&D investments on either firm productivity or firm performance measures. This study explores the role of IT as a catalyst in enhancing the productivity of R&D processes using a unique multi-year firm level data of large global firms all over the world. The findings suggest that R&D and IT do not simply interact for better firm performance at all circumstances. The interaction effects are observed for industrial firms that spend more on R&D relative to their peers in the same industry; but not for firms that are in more knowledge-intensive industries. This study sheds light on the joint effects of R&D and IT making several other implications for companies and practitioners.
Adler, P. . (1995). Interdepartmental interdependence and coordination: The case of the design / manufacturing interface. Organization Science, 6(2), 147–167.
Ali, A., Chen, T.-Y., & Radhakrishnan, S. (2007). Corporate Disclosures by Family Firms. Journal of Accounting and Economics, 44, 238–286.
Aral, S., & Weill, P. (2007). IT Assets, Organizational Capabilities, and Firm Performance: How Resource Allocations and Organizational Differences Explain Performance Variation. Organization Science, 18(5), 763–780. https://doi.org/10.1287/ orsc.1070.0306
Arnold, R., Peterson, J., & Dennis, R. (2005). R&D and Productivity Growth. Background Paper. https://doi.org/10.1787/652870318341
Banker, R. D., Bardhan, I. R., & Asdemir, O. (2006). Understanding the Impact of Collaboration Software on Product Design and Development. Information Systems Research, 17(4), 352–373.
Bardhan, I. R. (2007). Toward a Theory to Study the Use of Collaborative Product Commerce for Product Development. Information Technology and Management, 8(2), 167–184.
Barua, A., Kriebel, C. H., & Mukhopadhyay, T. (1991). An Economic Analysis of Strategic Information Technology Investments. MIS Quarterly, 15(3), 313–331. https://doi.org/10.2307/249643
Bharadwaj, A. S. (2000). A Resource-Based Perspective on Information Technology Capability and Firm Performance: An Empirical Investigation. MIS Quarterly, 24(1), 169–196.
Bloch, M., & Lempres, E. C. (2008). From Internal Service Provider to Strategic Partner. McKinsey Quarterly, 1–9.
Bresnahan, T. F., Brynjolfsson, E., & Hitt, L. M. (2002). Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-level Evidence. Quarterly Journal of Economics, 117, 339–376.
Brynjolfsson, E. (1993). The Productivity Paradox of Information Tehcnology. Business Computing, 36(12), 67–77. https://doi.org/10.1145/163298.163309
Brynjolfsson, E., & Hitt, L. (1996). Paradox Lost? Firm-level Evidence on the Returns to Information Systems Spending. Management Science, 42(4), 541–558.
Brynjolfsson, E., & Hitt, L. (2000). Beyond Computation: Information Technology, Organizational Transformation and Business Performance. Journal of Economic Perspectives, 14(4), 23–48.
Brynjolfsson, E., & Hitt, L. (2003). Computing productivity: Firm-level evidence. The Review of Economics and Statistics, 85(4), 793–808.
Carr, N. G. (2004). Does IT Matter? Information Technology and the Corrosion of Competitive Advantage (1st ed.). Harvard Business Review Press.
Chan, L. K. C., Lakonishok, J., & Sougiannis, T. (2001). The Stock Market Valuation of Research and Development Expenditures. The Journal of Finance, LVI(6), 2431–2456. https://doi.org/10.1111/0022-1082.00411
Chao, R., & Kavadias, S. (2013). R&D Intensity and the New Product Development Portfolio. IEEE Transactions on Engineering Management, Vol. 60(4), 664–675.
Charusilawong, N. (2014). The effect of R&D, technological spillovers and absorptive capacity on productivity and profitability of automobile and electronics firms in Japan. King’s College London (University of London). Retrieved from http:// ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.650787
Chauvin, K. W., & Hirschey, M. (1993). Chauvin & Hirschey 1993.pdf. Journal of the Financial Management Association.
Cohen, W. M., & Levinthal, D. A. (1989). Innovation and learning: the two faces of R&D. The Economic Journal, 99, 569–596.
Dedrick, J., Gurbaxani, V., & Kraemer, K. L. (2003). Information technology and economic performance. ACM Computing Surveys, 35(1), 1–28. https://doi. org/10.1145/641865.641866
Dos Santos, B. L., Peffers, K., & Mauer, D. C. (1993). The Impact of Information Technology Investment Announcements on the Market Value of the Firm. Information Systems Research, 4(1), 1–23. https://doi.org/10.1287/isre.4.1.1
Ettlie, J. E. (1998). R&D and global manufacturing performance. 1Management Science, 44(1), 1–11.
Griliches, Z. (1994). Productivity, R & D, and the Data Constraint. American Economic Review, 84(1), 1–23.
Griliches, Z., & Mairesse, J. (1984). Productivity and R&D at the Firm Level. In Z. Griliches (Ed.), R&D, Patents, and Productivity. Illinois: University of Chicago Press.
Gruman, G. (2007). IT Value Metrics: How to Communicate ROI to the Business. Retrieved from http://www.cio.com/article/print/144451
Hall, B. H., & Mairesse, J. (1995). Exploring the relationship between R&D and productivity in French manufacturing firms. Journal of Econometrics, 65(1), 263–293. https://doi.org/10.1016/0304-4076(94)01604-X
He, Z., & Wintoki, M. B. (2016). The cost of innovation: R&D and high cash holdings in U.S. firms. Journal of Corporate Finance, 41, 280–303. https://doi. org/10.1016/j.jcorpfin.2016.10.006
Hitt, L., & Brynjolfsson, E. (1996). Productivity , Profit and Consumer Welfare : Three Different Measures of Information Technology â€TM s Value. MIS Quarterly, (June), 1–20. https://doi.org/10.1145/280324.280332
Jana, R. (2009). Dusting off a big idea in hard times. BusinessWeek. Jaruzelski, B., Schwartz, K., & Staack, V. (2015). The 2015 Global Innovation 1000 - Innovation’s new world order. Strategy&, (October), 1–20.
Kandybin, A., & Kihn, M. (2004). Raising Your Return on Innovation Investment. Kogut, B., & Zander, U. (1992). Knowledge of the Firm, Combinative Capabilities, and the Replication of Technology. Organization Science, 3, 383–397.
Kohli, R., & Devaraj, R. (2003). Performance Impacts of Information Technology: Is Actual Usage the Missing Link? Management Science, 49(3), 273–289.
Lee, J., & Shim, E. (1995). Moderating effects of R&D on corporate growth in U.S. and Japanese hi-tech industries: An empirical study. Journal of High Technology Management Research, 6(2), 179–191. https://doi.org/10.1016/1047-8310(95)90013-6
Lev, B., & Sougiannis, T. (1996). The capitalization, amortization, and valuerelevance of R&D. Journal of Accounting and Economics, 21(1), 107–138. https://doi. org/10.1016/0165-4101(95)00410-6
Loch, C. H., & Terwiesch, C. (1998). Communication and Uncertainty in Concurrent Engineering. Management Science, 44(8), 1032–1048.
Marwaha, S., Patil, S., & Singh, N. (2007). Using IT to Speed Up Clinical Trials. McKinsey Quarterly, 12-19, 12–19.
McGrath, M. E., & Iansiti, M. (1998). Envisioning IT-Enabled Innovation. PRTM Insight,.
Mithas, S., Tafti, A., Bardhan, I., & Goh, J. M. (2012). Information Technology and Firm Profitability : Mechanisms and Empirical Evidence. MIS Quarterly, 36(1), 205–224. https://doi.org/10.5465/amr.2011.0193
Morbey, G. K. (1988). R&D: Its Relationship to Company Performance. Journal of Product Innovation Management, 5, 191–200.
Nambisan, S. (2002). Complementary Product Integration by High-Technology New Ventures: The Role of Initial Technology Strategy. Management Science, 48(3), 382–398.
Nonaka, I., & Takeuchi, H. (1995). The Knowledge-Creating Company. New York, NY: Oxford University Press.
Rai, A., Patnayakuni, R., & Patnayakuni, N. (1997). Technology Investment and Business Performance. Communications of the ACM, 40(7), 89–97. https://doi. org/10.1145/256175.256191
Robert U Ayres. (2016). Energy, Complexity and Wealth Maximization. Switzerland: Springer International Publishing.
Sakakibara, M., & Branstetter, L. (2001). Do Stronger Patents Induce More Innovation? Evidence from the 1988 Japanese Patent Law Reforms. RAND Journal of Economics, 32(1), 77–100.
Shah, R., & Shin, H. (2007). Relationships among information Technology, Inventory, and Profitability: An Investigation of Level Invariance Using Sector Level Data. Journal of Operations Management, 25(4), 768–784.
Thouin, M. F. (2008). Modeling and Simulation for Drug Discovery and Development: Current Practices and Opportunities for Advancement. Expert Opinion Drug Discovery, 3(6), 591–593.
Villas-Boas, M., & Winer, R. S. (1999). Endogeneity in Brand Choice Models. Management Science, 45(10), 1324–1338.
Zeithaml, V. A., & Bitner, M. J. (1996). Services Marketing. Singapore: McGraw Hill.
Ar-Ge ve Bilgi Teknolojileri Yatırımları Firma Performansı üzerinde Nasıl Etkileşir?
Bugünün oldukça dijitalleşmiş bilgi ekonomisinde ARGE yatırımlarının etkileri bilgi teknolojilerine yapılan yatırımlardan ayrı olarak değerlendirilemez. Bunun yanı sıra, yönetim yazınında pahalı ARGE yatırımlarının firma performansı veya üretkenliği ölçütlerine etkisi ile ilgili karışık deliller mevcuttur. Bu çalışma kendine has çok yıllı firma seviyesinde dünya genelinde küresel ve büyük şirketlerin verilerini kullanarak Bilgi Teknolojilerinin ARGE süreçlerinin üretkenliğini arttırmadaki rolünü incelemektedir. Bulgular ARGE ve Bilgi Teknolojilerinin basit şekilde daha iyi firma performansı için tüm koşullarda etkileşmediğini göstermektedir. Etkileşme etkileri aynı endüstride yer alan diğer firmalardan göreceli olarak daha çok ARGE yatırımı yapan endüstriyel firmalarda görülürken daha bilgi-yoğun endüstrilerde gözlemlenmemektedir. Bu çalışma ARGE ve Bilgi Teknolojileri yatırımlarının ortak etkilerine ışık tutarken firmalar ve uygulamacılar için de diğer birçok öneriler sunmaktadır.
Adler, P. . (1995). Interdepartmental interdependence and coordination: The case of the design / manufacturing interface. Organization Science, 6(2), 147–167.
Ali, A., Chen, T.-Y., & Radhakrishnan, S. (2007). Corporate Disclosures by Family Firms. Journal of Accounting and Economics, 44, 238–286.
Aral, S., & Weill, P. (2007). IT Assets, Organizational Capabilities, and Firm Performance: How Resource Allocations and Organizational Differences Explain Performance Variation. Organization Science, 18(5), 763–780. https://doi.org/10.1287/ orsc.1070.0306
Arnold, R., Peterson, J., & Dennis, R. (2005). R&D and Productivity Growth. Background Paper. https://doi.org/10.1787/652870318341
Banker, R. D., Bardhan, I. R., & Asdemir, O. (2006). Understanding the Impact of Collaboration Software on Product Design and Development. Information Systems Research, 17(4), 352–373.
Bardhan, I. R. (2007). Toward a Theory to Study the Use of Collaborative Product Commerce for Product Development. Information Technology and Management, 8(2), 167–184.
Barua, A., Kriebel, C. H., & Mukhopadhyay, T. (1991). An Economic Analysis of Strategic Information Technology Investments. MIS Quarterly, 15(3), 313–331. https://doi.org/10.2307/249643
Bharadwaj, A. S. (2000). A Resource-Based Perspective on Information Technology Capability and Firm Performance: An Empirical Investigation. MIS Quarterly, 24(1), 169–196.
Bloch, M., & Lempres, E. C. (2008). From Internal Service Provider to Strategic Partner. McKinsey Quarterly, 1–9.
Bresnahan, T. F., Brynjolfsson, E., & Hitt, L. M. (2002). Information Technology, Workplace Organization, and the Demand for Skilled Labor: Firm-level Evidence. Quarterly Journal of Economics, 117, 339–376.
Brynjolfsson, E. (1993). The Productivity Paradox of Information Tehcnology. Business Computing, 36(12), 67–77. https://doi.org/10.1145/163298.163309
Brynjolfsson, E., & Hitt, L. (1996). Paradox Lost? Firm-level Evidence on the Returns to Information Systems Spending. Management Science, 42(4), 541–558.
Brynjolfsson, E., & Hitt, L. (2000). Beyond Computation: Information Technology, Organizational Transformation and Business Performance. Journal of Economic Perspectives, 14(4), 23–48.
Brynjolfsson, E., & Hitt, L. (2003). Computing productivity: Firm-level evidence. The Review of Economics and Statistics, 85(4), 793–808.
Carr, N. G. (2004). Does IT Matter? Information Technology and the Corrosion of Competitive Advantage (1st ed.). Harvard Business Review Press.
Chan, L. K. C., Lakonishok, J., & Sougiannis, T. (2001). The Stock Market Valuation of Research and Development Expenditures. The Journal of Finance, LVI(6), 2431–2456. https://doi.org/10.1111/0022-1082.00411
Chao, R., & Kavadias, S. (2013). R&D Intensity and the New Product Development Portfolio. IEEE Transactions on Engineering Management, Vol. 60(4), 664–675.
Charusilawong, N. (2014). The effect of R&D, technological spillovers and absorptive capacity on productivity and profitability of automobile and electronics firms in Japan. King’s College London (University of London). Retrieved from http:// ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.650787
Chauvin, K. W., & Hirschey, M. (1993). Chauvin & Hirschey 1993.pdf. Journal of the Financial Management Association.
Cohen, W. M., & Levinthal, D. A. (1989). Innovation and learning: the two faces of R&D. The Economic Journal, 99, 569–596.
Dedrick, J., Gurbaxani, V., & Kraemer, K. L. (2003). Information technology and economic performance. ACM Computing Surveys, 35(1), 1–28. https://doi. org/10.1145/641865.641866
Dos Santos, B. L., Peffers, K., & Mauer, D. C. (1993). The Impact of Information Technology Investment Announcements on the Market Value of the Firm. Information Systems Research, 4(1), 1–23. https://doi.org/10.1287/isre.4.1.1
Ettlie, J. E. (1998). R&D and global manufacturing performance. 1Management Science, 44(1), 1–11.
Griliches, Z. (1994). Productivity, R & D, and the Data Constraint. American Economic Review, 84(1), 1–23.
Griliches, Z., & Mairesse, J. (1984). Productivity and R&D at the Firm Level. In Z. Griliches (Ed.), R&D, Patents, and Productivity. Illinois: University of Chicago Press.
Gruman, G. (2007). IT Value Metrics: How to Communicate ROI to the Business. Retrieved from http://www.cio.com/article/print/144451
Hall, B. H., & Mairesse, J. (1995). Exploring the relationship between R&D and productivity in French manufacturing firms. Journal of Econometrics, 65(1), 263–293. https://doi.org/10.1016/0304-4076(94)01604-X
He, Z., & Wintoki, M. B. (2016). The cost of innovation: R&D and high cash holdings in U.S. firms. Journal of Corporate Finance, 41, 280–303. https://doi. org/10.1016/j.jcorpfin.2016.10.006
Hitt, L., & Brynjolfsson, E. (1996). Productivity , Profit and Consumer Welfare : Three Different Measures of Information Technology â€TM s Value. MIS Quarterly, (June), 1–20. https://doi.org/10.1145/280324.280332
Jana, R. (2009). Dusting off a big idea in hard times. BusinessWeek. Jaruzelski, B., Schwartz, K., & Staack, V. (2015). The 2015 Global Innovation 1000 - Innovation’s new world order. Strategy&, (October), 1–20.
Kandybin, A., & Kihn, M. (2004). Raising Your Return on Innovation Investment. Kogut, B., & Zander, U. (1992). Knowledge of the Firm, Combinative Capabilities, and the Replication of Technology. Organization Science, 3, 383–397.
Kohli, R., & Devaraj, R. (2003). Performance Impacts of Information Technology: Is Actual Usage the Missing Link? Management Science, 49(3), 273–289.
Lee, J., & Shim, E. (1995). Moderating effects of R&D on corporate growth in U.S. and Japanese hi-tech industries: An empirical study. Journal of High Technology Management Research, 6(2), 179–191. https://doi.org/10.1016/1047-8310(95)90013-6
Lev, B., & Sougiannis, T. (1996). The capitalization, amortization, and valuerelevance of R&D. Journal of Accounting and Economics, 21(1), 107–138. https://doi. org/10.1016/0165-4101(95)00410-6
Loch, C. H., & Terwiesch, C. (1998). Communication and Uncertainty in Concurrent Engineering. Management Science, 44(8), 1032–1048.
Marwaha, S., Patil, S., & Singh, N. (2007). Using IT to Speed Up Clinical Trials. McKinsey Quarterly, 12-19, 12–19.
McGrath, M. E., & Iansiti, M. (1998). Envisioning IT-Enabled Innovation. PRTM Insight,.
Mithas, S., Tafti, A., Bardhan, I., & Goh, J. M. (2012). Information Technology and Firm Profitability : Mechanisms and Empirical Evidence. MIS Quarterly, 36(1), 205–224. https://doi.org/10.5465/amr.2011.0193
Morbey, G. K. (1988). R&D: Its Relationship to Company Performance. Journal of Product Innovation Management, 5, 191–200.
Nambisan, S. (2002). Complementary Product Integration by High-Technology New Ventures: The Role of Initial Technology Strategy. Management Science, 48(3), 382–398.
Nonaka, I., & Takeuchi, H. (1995). The Knowledge-Creating Company. New York, NY: Oxford University Press.
Rai, A., Patnayakuni, R., & Patnayakuni, N. (1997). Technology Investment and Business Performance. Communications of the ACM, 40(7), 89–97. https://doi. org/10.1145/256175.256191
Robert U Ayres. (2016). Energy, Complexity and Wealth Maximization. Switzerland: Springer International Publishing.
Sakakibara, M., & Branstetter, L. (2001). Do Stronger Patents Induce More Innovation? Evidence from the 1988 Japanese Patent Law Reforms. RAND Journal of Economics, 32(1), 77–100.
Shah, R., & Shin, H. (2007). Relationships among information Technology, Inventory, and Profitability: An Investigation of Level Invariance Using Sector Level Data. Journal of Operations Management, 25(4), 768–784.
Thouin, M. F. (2008). Modeling and Simulation for Drug Discovery and Development: Current Practices and Opportunities for Advancement. Expert Opinion Drug Discovery, 3(6), 591–593.
Villas-Boas, M., & Winer, R. S. (1999). Endogeneity in Brand Choice Models. Management Science, 45(10), 1324–1338.
Zeithaml, V. A., & Bitner, M. J. (1996). Services Marketing. Singapore: McGraw Hill.
Olcay, G. A., Bardhan, I., & Krishnan, V. (2017). How do Investments in R&D and Information Technology Interact on Firm Performance?. Journal of Entrepreneurship and Innovation Management, 6(2), 173-200.