Estimating Productivity of Software Development Using the Total Factor Productivity Approach

Machek, Ondřej; Hnilica, Jiří; Hejda, Jan

doi:10.5772/52797

Cited by 4 publications

(2 citation statements)

References 17 publications

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“…This means that an organization's productivity is reduced if its resources are not properly used or if there is a lack of resources. Hence, in order to estimate the productivity at an organization level, Ondrej et al (2012) used labor costs, materials and service value as measures of input and the total revenue as a measure of the output.…”

Section: Hypothesis Development 21 Overview Of Profitability and Productivity In Construction Industrymentioning

confidence: 99%

The mediating effect of productivity on profitability in Indian construction firms

Cyril

Singla

2020

JAMR

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PurposeThe paper aims to investigate the effect of firm age and size on profitability and productivity of construction firms in India. It also attempts to understand the indirect effect of firm age and size on profitability mediated through firm's productivity.Design/methodology/approachData of 64 construction firms, for a period of 12 years (2006–2017), were collected. In order to measure the direct and indirect effect of size and age on profitability and productivity, a structural equation model was developed. In the structural models, productivity is a latent variable measured through proxies of material productivity (MP), labor productivity (LP) and equipment productivity (EP). The profitability is measured using three financial ratios: return on asset (ROA), return on capital employed (ROCE) and return on net worth (RONW). Then the direct and indirect effect of age and size is measured on ROA, ROCE, RONW and productivity.FindingsThe findings of the study suggest that age has a direct negative effect on profitability; however, it has an indirect positive effect on profitability, which is mediated by firm's productivity. This positive indirect effect compensates the direct negative effect and leads to an overall positive effect of firm age on profitability. However, firm size shows no effect on profitability and productivity.Originality/valueTo the best of authors’ knowledge, the study is the first attempt to measure the indirect effect of age and size on profitability, mediated through productivity. The study also examines the interrelationship among firms’ profitability and productivity and bridges an important research gap. The study proposes an integrated theoretical framework with a clear view of the interrelationships among age, size, profitability and productivity for construction firms in India, which can be further tested and validated for generalization.

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Section: Hypothesis Development 21 Overview Of Profitability and Productivity In Construction Industrymentioning

confidence: 99%

The mediating effect of productivity on profitability in Indian construction firms

Cyril

Singla

2020

JAMR

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“…Chau and Walker (1998) defined and measured productivity through total factor productivity (TFP) and it measured the changes of aggregate real output. On the other hand, Ondrej et al (2012), measured productivity by using labor costs, materials, and service value as measure of input and the total revenue of the project as a measure of output. Similarly, Tran and Tookey (2011) measured productivity in terms of capital, investment, labor, and other suitable inputs and outputs.…”

Section: Measure Of Productivitymentioning

confidence: 99%

Examining the Productivity and Technical Efficiency of Industrial Sector using Stochastic Frontier Analysis in India

Cyril¹,

Singla²

2022

OJC

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The purpose of this study is to measure the total factor productivity (TFP) of industrial sector in India at an aggregate level and find the impact of technical inefficiency and other input variables on TFP using stochastic frontier analysis approach. Based on the aggregated data for a period of 29 years, the output productivity is measured as net sales revenue of an industry in a particular year, whereas input is measured as the raw material cost, labor cost, capital employed and research and development (R&D) investment of an industry in a particular year. The TFP is measured based on the functional form of Cobb-Douglas model. The results of the study indicate that material, labor and R&D are the prime drivers of TFP for industrial sector and the industrial sector is suffering from poor productivity due to technical efficiency that is decreasing over time.

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A Review of Literature About Models and Factors of Productivity in the Software Factory

Castañeda

Mauricio

2021

Research Anthology on Recent Trends, Tools, and Implications of Computer Programming

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Software factories seek to develop quality software in a manner comparable to the production of other industrial products, establishing improvements in their production process so as to be more competitive. Productivity, one of the competitiveness pillars, is related to the effort required to fulfill assigned tasks. However, there is no standard way of measuring productivity, making it difficult to establish policies and strategies to improve the factory. In this article, the authors perform a systematic review of the literature on factors affecting productivity of software factories, and models for measuring it. For the period 2005-2017, 74 factors and 10 models are identified. Most of the factors are related to Programming, and a few to Analysis and Design and Testing. Also, most models for measuring productivity only consider activities concerning programming.

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Estimating Productivity of Software Development Using the Total Factor Productivity Approach

Cited by 4 publications

References 17 publications

The mediating effect of productivity on profitability in Indian construction firms

The mediating effect of productivity on profitability in Indian construction firms

Examining the Productivity and Technical Efficiency of Industrial Sector using Stochastic Frontier Analysis in India

A Review of Literature About Models and Factors of Productivity in the Software Factory

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