Management Science and Financial Engineering

The Korean Operations Research and Management Science Society (한국경영과학회)
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Information Technology Implementation and Operational Efficiency

  • Kwak, Jin Kyung (Department of Business Administration, Ewha Womans University)
  • Received : 2013.09.01
  • Accepted : 2013.09.30
  • Published : 2013.11.22
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Abstract

In this paper, we analyze the relationship between implementation of information technology and inventory turnover as a measure of operational efficiency. We build a regression model including a dummy variable that indicates whether a firm has been nominated for being good at implementing information technology. By using publicly available data, we have conducted an extensive empirical analysis and found that firms' using information technology is not likely to affect inventory turnover significantly. This result implies that we have to take careful consideration in adapting information technology.

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