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|Title: ||MEASURING GAINS IN OPERATIONAL EFFICIENCY FROM INFORMATION TECHNOLOGY: A STUDY OF THE POSITRAN DEPLOYMENT AT HARDEE'S INC.|
|Authors: ||Banker, Rajiv D.|
Kauffman, Robert J.
Morey, Richard C.
|Keywords: ||measuring value of information systems|
productivity gains due to information systems
|Issue Date: ||May-1991|
|Publisher: ||Stern School of Business, New York University|
|Series/Report no.: ||IS-91-09|
|Abstract: ||This paper presents a new approach to measuring the input productivity
gains from information technology (IT) in complex managerial environments. The
approach is illustrated in the context of a study of a pilot deployment at Hardee's Inc.
of a new cash register point-of-safe and order-coordination technology called âPositran."
The method employs data envelopment analysis (DEA) and nonparametric
production frontier hypothesis testing to determine whether the performance of
restaurants that have deployed Positran is better, on average, than for those that have
not. The design of the study is of special interest because it approximates a controlled
experiment. Our results show that Positran helped to reduce input materials costs, since
restaurants that deployed the technology were less likely to be inefficient It is further
possible to characterize the class of restaurants for which the relationship holds.
Operational efficiency measures such as the ones we have developed provide managers
with the opportunity to implement deployment strategies for new ITs in order to
|Appears in Collections:||IOMS: Information Systems Working Papers|
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