Presentation is loading. Please wait.

Presentation is loading. Please wait.

IAOS Conference Shanghai 14th October 2008 The Impact of Technology and Innovation on the Performance of Businesses in the Irish Services Sector Steve.

Similar presentations


Presentation on theme: "IAOS Conference Shanghai 14th October 2008 The Impact of Technology and Innovation on the Performance of Businesses in the Irish Services Sector Steve."— Presentation transcript:

1 IAOS Conference Shanghai 14th October 2008 The Impact of Technology and Innovation on the Performance of Businesses in the Irish Services Sector Steve MacFeely & Caitríona O’Brien

2 IAOS Conference Shanghai 14th October 2008 Annual Services Inquiry 2005 Sample survey of about 18,000 enterprises in the traded services sectors Compiles structural business data such as turnover, employment, purchases and international trade Enterprises of all sizes are covered Family business question introduced in 2004

3 IAOS Conference Shanghai 14th October 2008 Defining NACE Sections

4 IAOS Conference Shanghai 14th October 2008 e-Commerce & ICT Survey 2005 Sample survey of about 8,000 enterprises Covers manufacturing, construction, traded services and financial intermediation Enterprises with 20+ persons engaged in construction and 10+ in all other sectors Compiles general information on ICT systems, use of Internet, e-commerce via the internet or EDI, barriers to e- commerce, etc

5 IAOS Conference Shanghai 14th October 2008 Community Innovation Survey (CIS) 2004-2006 Sample survey of about 4,000 enterprises with 10+ persons engaged Covers mining and quarrying, manufacturing, electricity, gas and water supply, transport and communications, financial intermediation, wholesale, IT activities, architecture & engineering and technecial testing. Compiles data on product, process or organisational innovation, ongoing or abandoned innovation activities, innovation expenditure, barriers to innovation and intellectual property rights

6 IAOS Conference Shanghai 14th October 2008 VAT Registrations File Contains information about entities that are registered for VAT Registration number Customer type (individual, company, partnership, trust or incorporated body) Date registered Date ceased Entity name

7 IAOS Conference Shanghai 14th October 2008 Definition of a family business An enterprise where one family holds more than 50% of the voting shares and/or a family supplies a significant proportion of the enterprises senior management and is effectively controlling the business and/or an enterprise where there is evidence of more than one generation working in the business and/or an enterprise that is influenced by a family or a family relationship and that perceives itself to be a family business.

8 IAOS Conference Shanghai 14th October 2008 Family Businesses 46% of services enterprises identified themselves as family businesses - low compared to data available from other international studies 39% of services sector employees worked for family businesses 29% of turnover for the services sectors 22% of gross value added

9 IAOS Conference Shanghai 14th October 2008 The Sole Trader 44% of sole traders classified themselves as family businesses What are differences between family and non family sole traders? GVA per person engaged for a non-family sole trader is typically 29% higher than for the family equivalent Does the age of an enterprise influence how they classify themselves?

10 IAOS Conference Shanghai 14th October 2008 Sole Traders Sole traders Using year of VAT registration to estimate year of “birth” of enterprise FB increase with time NFB decline over time

11 IAOS Conference Shanghai 14th October 2008 Productivity Gross value added (GVA) per person engaged is used as a proxy for labour productivity Labour employed in Family businesses is less than half as productive as labour employed by non-family businesses Foreign owned enterprises have a significant influence on the differential

12 IAOS Conference Shanghai 14th October 2008 Labour Productivity Differentials Average GVA per person (All firms) Family firms €35,000 Non-family €80,000 Average GVA per person (Irish owned firms) Family firms €34,000 Non-family €56,000

13 IAOS Conference Shanghai 14th October 2008 ICT Usage and e-sales Uptake of e-mail and website is higher for Non-family than for family businesses in almost all cases Family firms 9% of turnover from e-sales Non-Family 15% of turnover from e-sales

14 IAOS Conference Shanghai 14th October 2008 Labour Productivity & ICT Average ILP is higher for firms that have e-mail, a website and e-sales than for those that do not - applies to both family and non-family firms Family firms 27% higher Non family 31% higher

15 IAOS Conference Shanghai 14th October 2008 E-commerce and ICT survey Microdata linked to ASI using CSO universal business identifier 831 enterprises were common to both. Some basic t-tests were done to determine whether indicative labour productivity is greater for enterprises that have e-mail, a website, LAN, intranet and high speed internet access than for enterprises that don’t have all of the above.

16 IAOS Conference Shanghai 14th October 2008 Hypothesis Tests - ICT Usage H 0 - The average GVA per person engaged for enterprises that have e-mail, a website, LAN, intranet and high speed internet access is the same as the average GVA per person engaged for enterprises that do not. H 1 - The average GVA per person engaged for enterprises that have e-mail, a website, LAN, intranet and high speed internet access is different to the average GVA per person engaged for enterprises that do not.

17 IAOS Conference Shanghai 14th October 2008 Hypothesis Tests - ICT Usage - Results

18 IAOS Conference Shanghai 14th October 2008 Community Innovation Survey Microdata linked to ASI using CSO universal business identifier Enterprises engaging in product or process innovation were classed as innovation active Some basic t-tests were done to determine whether there is any difference between indicative labour productivity for enterprises that are innovation active and those that are not

19 IAOS Conference Shanghai 14th October 2008 Hypothesis tests - Innovation H 0 - There is no difference between the average GVA per person engaged between the enterprises that were innovation active and those that were not. H 1 - The average GVA per person engaged for enterprises that were innovation active is different from the average GVA per person engaged for enterprises that were not. Separate tests for FB and NFB and product and process innovation

20 IAOS Conference Shanghai 14th October 2008 Conclusions Development of official statistics - universal business identifier (UBI) to allow linking of microdata with other data sources Addition of family business variable to SBS dataset- a new way of analysing data Impact of Technology Impact of Innovation


Download ppt "IAOS Conference Shanghai 14th October 2008 The Impact of Technology and Innovation on the Performance of Businesses in the Irish Services Sector Steve."

Similar presentations


Ads by Google