# Firm Growth and Profitability:The Role of Mobile IT and Organizational Practices

**Published:** 2010-09-28  
**Categories:** Publications  
**Tags:** Discussion Papers  
**URL:** https://www.etla.fi/en/publications/dp1222-en/

This study uses a unique survey data from 398 Finnish manufacturing firms to explore how the order of magnitude of mobility and connectivity of a firm&#146;s ICT stock in conjunction with various organizational innovation and HRM practices affect the firm&#146;s performance. The data suggest that mobile connectivity as such does not significantly contribute to the firm&#146;s growth and profitability. However, the empirical results find support for the agency theory based argument : a greater mobility associated with the use of a pertinent economic incentive scheme and a systematic performance monitoring seems to promote the firm&#146;s growth. In addition, re-organization of tasks within an organization is implemented most successfully, boosting profitability, when the firm&#146;s re-organization strategy incorporates the adoption of mobile, Internet-connected IT stock.

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## Additional Information

**Avainsanat:** tieto- ja viestintätekniikan käyttö, liikkuvuus, liitettävyys, organisatoriset toimintatavat, yrityksen suorituskyky

**Key Words:** ICT use, mobility, connectivity, organizational practices, firm performance

**Kirjoittajat:** Koski, Heli

**Lataa Pdf:** https://www.etla.fi/wp-content/uploads/2012/09/dp1222.pdf

**Kansikuva:** https://www.etla.fi/wp-content/uploads/2012/09/dp_cover.jpg