Some antecedent factors that shape actors’ adoption of enterprise systems

This paper proposes a conceptual model based on technology-organization-environment (T-O-E) and institutional frameworks and examines how the traditional and isomorphic factors explain adoption of enterprise systems (ES) by service small and medium enterprise (SMEs) in Nigeria. The model extends the T-O-E framework by integrating environmental typology with institutional changes in order to recognize homologous behavior in the social systems. Logistic regression and Wald’s statistics were used to analyze the data from field survey questionnaire administered to a purposive and snow-ball sample of 262 executives. The results show that adoption of ES is significantly influenced by organizational, technological and isomorphic factors though normative and mimetic isomorphism had negative coefficients; a unit increase in the complexity of the two attracts less analogous modeling and mimicry or vice versa. The technical, economic and legitimated elements are critical adoption determinants; thus, managers make informed decisions that improve competitive advantage when they understand the institutional homogeneity that drives less efficiency in the social structure.     

A cost-minimization approach to the international transfer of HRM/IR practices: Anglo-Saxon multinationals in the Federal Republic of Germany

The existence of host-country and country-of-origin effects is analysed by using the concept of fiscal federalism as a theoretical analogy. It is argued that multinationals try to minimize the costs of centralization and decentralization associated with cross-national personnel policy. The higher the costs of decentralization, the more likely is the existence of country-of-origin effects. The opposite holds true for increasing costs of centralization. This is tested empirically by comparing the human resource management and industrial relations (HRM/IR) practices of US and British subsidiaries operating in Germany with those of native German firms. Based on 297 valid cases, it is shown that the existence of decentralization costs is associated with country-of-origin effects in various areas of personnel management, such as the use of variable compensation, employee ownership and initial vocational training. In contrast, in the field of industrial relations (co-determination, compliance with collective bargaining), there are strong pressures to adapt to local norms, leading to host-country effects. These results indicate that a rationalistic cost-minimization approach is well suited to explaining the patterns of host- and home-country effects in regard to the HRM/IR practices of multinational enterprises.     

The impact of environmental regulation on productivity in German industries

The objective of this paper is to adjust a traditional total factor productivity (TFP) measure for the direct effect of environmental regulation on material and capital input. For this purpose we consider the fact that part of material input and pollution abatement capital have not been used to increase output but to cover the cost of using the environment as a factor of production. Therefore TFP growth rates are lower if part of the material input is allocated to abatement activities instead of producing output. We propose to treat compliance with environmental regulation as an unproductive input linked to the use of productive material input. Our aim is to answer and discuss two questions: How to measure the effect of environmental regulation on TFP, and does the effect matter. We examine data from 1975–1991 for ten pollution intensive German industries.We would like to thank Cornelia Oßwald for valuable research assistance. We are especially grateful to two anonymous referees for many helpful comments.