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Technology Use, Training and Plant-specific Knowledge in Manufacturing Establishments

Author

Listed:
  • Johnson, Joanne
  • Baldwin, John R.
  • Gray, Tara

Abstract

This study examines the factors influencing a firm's decision to train, using data taken from several recent Statistic Canada surveys that explore advanced technology use by Canadian manufacturing plants. Advanced technology adoption has been both rapid and pervasive, leading to concerns about whether technology use is associated with an increase or a decrease in workers' skills. Based on the data collected through two surveys, this paper examines the relationship between technology use and the skill level of workers. It does so by first reporting on the opinions of managers of Canadian manufacturing establishments, who indicate that technology use leads to skill increases. Second, this paper examines the relationship between a plant's decision to train and certain other characteristics of the plant, including its technology use. Third, it investigates the factors related to the location of training in order to determine whether the training done by plants imparts primarily generic skills or plant-specific skills. Finally, it reports on survey results that show plants that introduced new technologies had to increase their expenditures for training.

Suggested Citation

  • Johnson, Joanne & Baldwin, John R. & Gray, Tara, 1995. "Technology Use, Training and Plant-specific Knowledge in Manufacturing Establishments," Analytical Studies Branch Research Paper Series 1995086e, Statistics Canada, Analytical Studies Branch.
    • Handle: RePEc:stc:stcp3e:1995086e
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    File URL: https://www150.statcan.gc.ca/n1/en/catalogue/11F0019M1995086
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    References listed on IDEAS

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    1. Wayne Simpson, 1984. "An Econometric Analysis of Industrial Training in Canada," Journal of Human Resources, University of Wisconsin Press, vol. 19(4), pages 435-451.
    2. Schrader, Stephan, 1991. "Informal technology transfer between firms: Cooperation through information trading," Research Policy, Elsevier, vol. 20(2), pages 153-170, April.
    3. Bartel, Ann P & Lichtenberg, Frank R, 1987. "The Comparative Advantage of Educated Workers in Implementing New Technology," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 1-11, February.
    4. Hashimoto, Masanori, 1979. "Bonus Payments, on-the-Job Training, and Lifetime Employment in Japan," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 1086-1104, October.
    5. Johnson, Joanne & Baldwin, John R., 1995. "Human Capital Development and Innovation: The Case of Training in Small and Medium Sized Firms," Analytical Studies Branch Research Paper Series 1995074e, Statistics Canada, Analytical Studies Branch.
    6. Ann P. Bartel, 1989. "Formal Employee Training Programs and Their Impact on Labor Produc- tivity: Evidence from a Human Resources Survey," NBER Working Papers 3026, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Laia Castany, 2008. "The Role of Firm Size in Training Provision Decisions: evidence from Spain," IREA Working Papers 200808, University of Barcelona, Research Institute of Applied Economics, revised Jun 2008.
    2. Sabourin, David & Baldwin, John R., 1999. "L'adoption de la technologie au Canada et aux Etats-Unis," Direction des études analytiques : documents de recherche 1998119f, Statistics Canada, Direction des études analytiques.
    3. Gilberto Antonelli & Roberto Antonietti & Giovanni Guidetti, 2010. "Organizational Change, Skill Formation, Human Capital Measurement: Evidence From Italian Manufacturing Firms," Journal of Economic Surveys, Wiley Blackwell, vol. 24(2), pages 206-247, April.
    4. Inge Sieben & Andries De Grip & Jessica Longen & Ole Sørensen, 2009. "Technology, Selection, and Training in Call Centers," ILR Review, Cornell University, ILR School, vol. 62(4), pages 553-572, July.
    5. Stuart Fraser & David Storey & Julian Frankish & Richard Roberts, 2002. "The Relationship between Training and Small Business Performance: An Analysis of the Barclays Bank Small Firms Training Loans Scheme," Environment and Planning C, , vol. 20(2), pages 211-233, April.
    6. Daria Ciriaci, 2017. "Intangible resources: the relevance of training for European firms’ innovative performance," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 34(1), pages 31-54, April.
    7. Daria Ciriaci, 2011. "Intangible resources: the relevance of training for European firms innovative performance," JRC Working Papers on Corporate R&D and Innovation 2011-06, Joint Research Centre.
    8. Unterschultz, James R. & Lerohl, Mel L. & Peng, Yanning & Gurung, Rajendra Kumar, 1998. "A Nutraceutical Industry: Policy Implications for Future Directions," Project Report Series 24051, University of Alberta, Department of Resource Economics and Environmental Sociology.
    9. Baldwin, John R. & Raffiquzzaman, Mohammed, 1998. "The Effect of Technology and Trade on Wage Differentials Between Nonproduction and Production Workers in Canadian Manufacturing," Analytical Studies Branch Research Paper Series 1998098e, Statistics Canada, Analytical Studies Branch.
    10. Guerrazzi, Marco, 2014. "Workforce ageing and the training propensity of Italian firms: cross-sectional evidence from the INDACO survey," MPRA Paper 56826, University Library of Munich, Germany.
    11. Lai, Yanqing & Saridakis, George & Blackburn, Robert & Johnstone, Stewart, 2016. "Are the HR responses of small firms different from large firms in times of recession?," Journal of Business Venturing, Elsevier, vol. 31(1), pages 113-131.
    12. Sabourin, David & Baldwin, John R., 1999. "Technology Adoption: A Comparison Between Canada and the United States," Analytical Studies Branch Research Paper Series 1998119e, Statistics Canada, Analytical Studies Branch.
    13. Johnson, Joanne & Baldwin, John R. & Gray, Tara, 1996. "Technology-induced Wage Premia in Canadian Manufacturing Plants During the 1980s," Analytical Studies Branch Research Paper Series 1996092e, Statistics Canada, Analytical Studies Branch.

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