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The Role of Digital Technology in Enhancing Labor Productivity: A Case Study of Enterprises in Dak Lak
The Role of Digital Technology in Enhancing Labor Productivity: A Case Study of Enterprises in Dak Lak
Đặng Thị Việt Đức
The adoption of digital technologies has emerged as a critical determinant of productivity growth and economic competitiveness in the era of the Fourth Industrial Revolution. For Đak Lak province—a developing and predominantly agricultural region in Vietnam—promoting digital transformation within the enterprise sector is both a strategic necessity and a key instrument for driving economic restructuring and improving labor productivity. This study aims to empirically assess the impact of digital technology adoption on the labor productivity of firms operating in Đắk Lắk. Using firm-level data from 1,315 enterprises, drawn from the 2024 Enterprise Survey conducted by the General Statistics Office of Vietnam, the research employs a linear regression model to estimate the effects of digital investment. The findings indicate that digital technology adoption contributes positively to enterprise performance, with software-related expenditures demonstrating a more substantial impact than hardware investments. However, the overall effect remains relatively modest, highlighting the need for more comprehensive digital adoption strategies. The paper concludes with a set of policy recommendations intended to foster a more enabling digital ecosystem and to enhance the effectiveness of technology adoption efforts in the province. The study provides timely empirical evidence to inform provincial digital transformation policies and support the productivity agenda of Vietnam’s emerging regions.
