Determining the relationship between manpower productivity and capital on profit distribution in companies admitted to the Tehran Stock Exchange

Dissertation for Master's Degree

Major: Accounting

Abstract

In this research, we have examined the relationship between dividend policy and productivity. The intended research is an applied research. In terms of the type of research design, it is retrospective in order to rely on historical information, and its inference method is inductive and correlational.

The present research includes one main hypothesis and two secondary hypotheses. The study population of the present research is the companies admitted to the Tehran Stock Exchange during a five-year period (1388-1392). Finally, according to the limitations of the research, information related to 94 companies was collected and then 75 companies were selected by simple random sampling using Morgan's table.

In order to document the results of the statistical analysis and provide final solutions, the researcher analyzed the questions and hypotheses using SPSS and Eviews software.

Research hypotheses using multiple linear regressions. Bivariate and multivariate and F and t tests have been analyzed. The results of the hypothesis test show that: there is a significant relationship between the profit sharing policy and productivity, and there is also a significant relationship between the profit sharing policy and human labor productivity, but there is no significant relationship between the profit sharing policy and capital productivity.

Key words: profit sharing policy, capital efficiency, human power efficiency, company size

Productivity is a comprehensive and general concept, increasing it as a necessity, promoting The standard of living, more prosperity, peace and comfort of people is considered as a basic goal for all the countries of the world. In today's world, improving productivity is one of the national priorities of every country because the continuation of economic life and improving the living standards of people in a society depends on improving productivity. In the macro discussion of the country, increase or growth in productivity leads to increase in economic growth, control of inflation rate, increase in economic competitiveness, increase in per capita income, decrease in expenses and increase in gross domestic product. and because the gross domestic product divided by the country's population represents the per capita income, therefore, improving productivity will lead to an increase in the wealth distributed among the members of the society.

Today, due to the limitations of various factors of production, there is a vital need for increased productivity, both in developed and developing countries. Economic experts and experts in different systems have practically emphasized the importance of increasing productivity in the same way. Clark [1] (1938) considers the high standard of living of the American people to be a direct result of the greater economic productivity of the United States. Steiner and Goldner[2] (1982) state that the dream of the world's workers, i.e. more wages and less working hours, can be realized by increasing productivity. In Iran's third economic development plan, no specific goal for productivity was considered. In the fourth program of the country's economic development, special attention was paid to the category of productivity and certain general goals were considered for its improvement (Valizadeh Zenouz, Parvin, 2014). Increasing productivity is not only the concept of optimal use of resources. Rather, it helps to create a better balance between economic, social and political structures in the society.

Also, one of the topics raised in financial management is profit sharing. The news related to dividend and dividend changes compared to previous years are very important for shareholders. So that many theories and views have been proposed in this regard. In other words, changing the company's dividend policy will send a message to the shareholders and investors about the company's financial situation. (Saeidi, Ali, Kihan, 2008)

1-1 Statement of the problem

From the beginning of creation until now, human beings have always tried to make maximum use of the available resources (according to the specific limitations of their time and place). From thousands of years ago, when the first civilizations were formed in the Mesopotamia, to the 18th century, when mathematics rushed to help humans, and today, when intelligent robots have replaced humans in hard and rough work. It has always been trying to achieve the maximum efficiency of resources; Therefore, productivity has a lifetime as long as history. According to different definitions of productivity from different perspectives and to a credit, productivity can be divided into two types.

According to the different definitions of productivity from different points of view and to the same credit, productivity can be divided into two types:

A: partial productivity.

B: total productivity

The partial productivity of an input is the ratio of the output to its value, and the total productivity is the ratio of the output to the total of inputs used in production. Partial productivity is divided into capital productivity and labor productivity. The partial productivity of the labor force is an index measuring the amount of product produced by each unit of the labor force on average; In other words, labor productivity can be a good approximation for the productivity of all production factors; But it should be noted that labor productivity does not measure changes in technology, investment, production capacity, expertise and skills of people and management. (Zaranejad, Mansour, Qanadi, Behrouz, 2014).

The policy of profit sharing is one of the most controversial financial issues. Conflicting theoretical models, which sometimes lack strong empirical support, seek to explain corporate profit sharing policies. (frankfurter & wood 2002)

Profit sharing is debatable from two very important aspects. On the one hand, it is a factor affecting the investments facing companies. Profit sharing reduces internal resources and increases the need for external financial resources. On the other hand, many shareholders of the company want to distribute cash dividends. Therefore, with the aim of maximizing wealth, managers should always balance their different interests and profitable investment opportunities. (Mehrani and Talaneh, 1377)

In economic literature, total productivity is the amount of product obtained from a certain amount of inputs. The importance of the subject under study is that productivity is one of the two basic sources of obtaining more income. Another source in this regard is savings, which provides the possibility of using more inputs. (Majavarian, Mojtabi, 2012)

It seems that during the past three decades, the investigation of the effect of human capital on the growth of labor productivity in the Iranian economy, on the policy model of the country in order to promote human capital, should be considered as one of the central strategies of productivity growth and ultimately economic growth. Examining labor productivity during the country's development programs indicates that its growth is low. Evaluation and estimation of factors affecting labor productivity using the ARDL model shows that important factors such as the accumulation of foreign R&D, human capital in the form of the number of employees with higher education, the accumulation of physical capital and investment in information and communication technology are among the important factors that explain the growth of labor productivity during the studied years, as well as the accumulation of domestic R&D and average research years, have a negative effect on labor productivity.

It is very important to know the productivity of the workforce and their effectiveness. Therefore, labor productivity research is necessary and useful both at the level of the national economy and at the level of different sectors. According to economists, productivity is very important in development. Comprehensive development is not possible without optimal use of each production factor. One of the factors of production is capital. Man, who is the main means of all-round development, can take a simpler and faster path to achieve development by using capital factors and the advancement of capital technology used by increasing capital productivity. (Zara, Mansour, Ansari, Elaha, 1386).

One of the main concerns of today's organizations is the productivity of human resources. One of the effective factors in increasing the stock value of a company is increasing the productivity of human resources. Identifying the factors affecting the productivity of human resources will play a decisive role in the competitive advantage. Therefore, the lack of productivity in government enterprises has led to a significant percentage of these companies facing loss. For example, in 2009, 19% of state-owned enterprises did not make any profit (Nahavandi and Nikzad, 2012). In addition, some of the government enterprises have been introduced in the Tehran Stock Exchange. Profitability is defined as the main goal of every company to achieve more success and publicity, in terms of income and expenses. In addition, users consider statistical information as a measure to evaluate the company's performance. According to the theory of microeconomics, the company hires groups of institutions, such as capital and labor, to produce output; Therefore, it can be easily said that productivity is defined as the ratio of output to input. Schultz and Bailey (1990) stated that the rate of profit decreases simultaneously with the decrease in the growth rate of productivity