Galliano, Danielle and Orozco Noguera, Luis (2013) New technologies and firm organization: the case of electronic traceability systems in French agribusiness. Industry and Innovation, 20 (1).

Abstract

This paper considers the relationship between the adoption of electronic traceability systems (ETSs) and the organization of firms. More precisely, it analyzes the respective roles of a firm’s organizational structure, and of organizational changes, in the process of ETS adoption in agribusiness. We use data from the French "Organizational Changes and Computerization” survey from 2006. We test a probit model to demonstrate the organizational structure and organizational changes underlying the firm’s ETS adoption choice. Results show that ETS adoption is strongly favored by organizations with heavily hierarchical structures, standardized managerial practices and contractual mechanisms with external partners. This adoption process seems to co-evolve with the organization: firms that implemented an ETS during the observed period (2003-2006) have experienced the most important organizational changes in terms of managerial practices, information systems and contractual relations, as well as the strengthening of the intermediate levels in the hierarchy.