Overcoming the Downsides of Personal Internet and Cell Phone Use in the Workplace: An Exploratory Empirical Analysis

Abstract

The now taken-for-granted introduction of internet usage into the workplace changed the dynamics of work, productivity, and management, and this is now further complicated by the ubiquitous availability of personal cell phones, going beyond company supplied and (partially) controlled computers with internet connections. This paper studies the connection between internet and cell phone usage by employees and firm productivity. Using primary data collected via a self-reported survey, we conduct an empirical analysis utilizing information based on firm and industry characteristics. Results indicate that the level of non-work-related internet and cell phone usage is significantly associated with firm productivity. Some of the negative aspects of internet availability can be mitigated by internet governance policies and systems to monitor the internet usage of employees. This paper offers suggestions so that firms are able to maintain the positive aspects of employee personal and business internet/cell usage while mitigating other more negative aspects including productivity losses.