INFORMATION SYSTEMS, TELECOMMUNICATIONS, AND THEIR EFFECTS ON INDUSTRIAL ORGANIZATION

There is general agreement among academic researchers that information systems can prove strategic if they are well crafted. However, the field currently lacks frameworks that predict which applications might provide lasting benefit and sustainable competitive advantage. Moreover, little has been attempted in analyzing effects on the organization of industry. These effects may, in the long term, prove at least as interesting as effects on individual firms. We present here an initial examination of the effects of information systems and telecommunications on the competitive position of firms. Our intention is to provide guidelines for choosing opportunities that convey sustainable competitive advantage. We present also an initial analysis of predicted changes in the organization of industry. This work draws on field research and on recent work in market economics

How High Performance Human Resource Practices and Workforce Unionization Affect Managerial Pay

Using data from a nationally representative sample of telecommunications establishments, this study finds that HR practices and workforce unionization influence managerial pay levels and the ratio of manager-to-worker pay. High performance HR practices, including investment in the skills of the workforce, in computer-based technologies, and in performance-based worker pay practices, are all positively related to managerial pay; but the use of workforce teams, which shift some managerial responsibilities to workers, has the opposite association. High performance HR practices also are associated with lower manager-to-worker pay differentials. In addition, workforce unionization is positively associated with managerial pay levels, with worker base pay mediating the relationship between managers\u27 pay and unionization

How High Performance Human Resource Practices and Workforce Unionization Affect Managerial Pay

Using data from a nationally representative sample of telecommunications establishments, this study finds that HR practices and workforce unionization influence managerial pay levels and the ratio of manager-to-worker pay. High performance HR practices, including investment in the skills of the workforce, in computer-based technologies, and in performance-based worker pay practices, are all positively related to managerial pay; but the use of workforce teams, which shift some managerial responsibilities to workers, has the opposite association. High performance HR practices also are associated with lower manager to- worker pay differentials. In addition, workforce unionization is positively associated with managerial pay levels, with worker base pay mediating the relationship between managers\u27 pay and unionization

Employee Voice, Human Resource Practices, and Quit Rates: Evidence from the Telecommunications Industry

In this paper, we examine the predictors of aggregate quit rates at the establishment level. We draw on strategic human resource and industrial relations theory to identify the sets of employee voice mechanisms and human resource practices that are likely to predict quit rates. With respect to alternative voice mechanisms, we find that union representation significantly predicts lower quit rates after controlling for compensation and a wide range of other human resource practices that may be affected by collective bargaining. Direct participation via offline problem-solving groups and self-directed teams is significantly negatively related to quit rates,but non-union dispute resolution procedures are not. In addition, higher relative wages and internal promotion policies significantly predict lower quit rates, while contingent staffing, electronic monitoring, and variable pay predict significantly higher rates

An evaluation of total quality management practices on business performance of the Nigerian telecommunications sector: a case study of MTN Nigeria Limited

This study examines the effects of The Total Quality Management practices on Business Performance of the Nigerian Telecommunications Sector. A review of literatures on TQM shows that no study has been carried out on its application in the Nigerian Telecommunication sector hence the need for this research. To assess the situation One hundred and fifty (150) questionnaires were administered to customers of MTN Limited within the Lagos environ. These customers were randomly selected from five (5) different MTN customer care centres within the five divisions of Lagos State. These divisions include Epe, Ikorodu, Lagos Island, Lagos Mainland and Badagry. Thirty (30) questionnaires were administered at each centre. Fifty (50) questionnaires were also administered to employees of MTN and a total of twenty (20) questionnaires were administered to top management in the same organizations. The data collected were analyzed using descriptive statistics and regression analysis. Our finding revealed that 90.7% of the changes that occurred in employees’ satisfaction could be traced to the policy and commitment of top management. It also shows that 69.4% of the changes in customer satisfaction could be attributed to continuous training in quality. The study recommended among other things the training of telecommunications personnel on Total Quality Management practices and the adoption of alternative renewable sources of energy like solar to address their energy problems

Technology as an economic catalyst in rural and depressed places in Massachusetts

This paper uses case studies, including two cities (Lynn and New Bedford), a sub-city district (Roxbury) and two towns in rural Franklin County (Greenfield and Orange), to examine the role of technology as a potential economic catalyst in rural and depressed places in Massachusetts. Though the five target areas vary in size, density, geographic area, demographic characteristics and economic resources, each exhibits chronic patterns of economic distress related to the decline of manufacturing, construction and other key industries

Managing Customer Services: Human Resource Practices, Turnover, and Sales Growth

This study examines the relationship between human resource practices, employee quit rates, and organizational performance by drawing on a unique nationally representative sample of 354 customer service and sales establishments in the telecommunications industry. Multivariate analyses show that quit rates are lower and sales growth is higher in establishments that emphasize high skills, employee participation in decision-making and in teams, and HR incentives such as high relative pay and employment security. Quit rates partially mediate the relationship between human resource practices and sales growth. These relationships also are moderated by the customer segment that frontline employees serve

Human Resource and Employment Practices in Telecommunications Services, 1980-1998

[Excerpt] In the academic literature on manufacturing, much research and debate have focused on whether firms are adopting some form of “high-performance” or “high-involvement” work organization based on such practices as employee participation, teams, and increased discretion, skills, and training for frontline workers (Ichniowski et al., 1996; Kochan and Osterman, 1994; MacDuffie, 1995). Whereas many firms in the telecommunications industry flirted with these ideas in the 1980s, they did not prove to be a lasting source of inspiration for the redesign of work and employment practices. Rather, work restructuring in telecommunications services has been driven by the ability of firms to leverage network and information technologies to reduce labor costs and create customer segmentation strategies. “Good jobs” versus “bad jobs,” or higher versus lower wage jobs, do not vary according to whether firms adopt a high- involvement model. They vary along two other dimensions: (1) within firms and occupations, by the value-added of the customer segment that an employee group serves; and (2) across firms, by union and nonunion status. We believe that this customer segmentation strategy is becoming a more general model for employment practices in large-scale service | operations; telecommunications services firms may be somewhat more | advanced than other service firms in adopting this strategy because of certain unique industry characteristics. The scale economies of network technology are such that once a company builds the network infrastructure to a customer’s specifications, the cost of additional services is essentially zero. As a result, and notwithstanding technological uncertainty, all of the industry’s major players are attempting to take advantage of system economies inherent in the nature of the product market and technology to provide customized packages of multimedia products to identified market segments. They have organized into market-driven business units providing differentiated services to large businesses and institutions, small businesses, and residential customers. They have used information technologies and process reengineering to customize specific services to different segments according to customer needs and ability to pay. Variation in work and employment practices, or labor market segmentation, follows product market segmentation. As a result, much of the variation in employment practices in this industry is within firms and within occupations according to market segment rather than across firms. In addition, despite market deregulation beginning in 1984 and opportunities for new entrants, a tightly led oligopoly structure is replacing the regulated Bell System monopoly. Former Bell System companies, the giants of the regulated period, continue to dominate market share in the post-1984 period. Older players and new entrants alike are merging and consolidating in order to have access to multimedia markets. What is striking in this industry, therefore, is the relative lack of variation in management and employment practices across firms after more than a decade of experience with deregulation. We attribute this lack of variation to three major sources. (1) Technological advances and network economics provide incentives for mergers, organizational consolidation, and, as indicated above, similar business strategies. (2) The former Bell System companies have deep institutional ties, and they continue to benchmark against and imitate each other so that ideas about restructuring have diffused quickly among them. (3) Despite overall deunionization in the industry, they continue to have high unionization rates; de facto pattern bargaining within the Bell system has remained quite strong. Therefore, similar employment practices based on inherited collective bargaining agreements continue to exist across former Bell System firms

The Viability of Alternative Call Center Production Models

[Excerpt] The central question of this paper is whether a mass customization strategy coupled with high involvement work practices is an economically viable model for service and sales call centers. If so, under what conditions and why? To answer these questions, in the next section, we describe alternative models of call center management. In section III, we present a conceptual framework for understanding the relationship between management practices, workers reactions to those practices, and performance outcomes. We then review empirical evidence on these relationships, focusing primarily on studies of call centers or related service workplaces. In section IV, we draw on evidence from two recent quantitative studies of call centers to examine the performance outcomes of high involvement practices in this context. We close with a discussion and critique of existing evidence and suggestions for future research