Modeling Strategic Behavior in The Competitive Newsvendor Problem: An Experimental Investigation

This study experimentally investigates ordering behavior in the competitive newsvendor problem. We consider a duopoly market setting with two identical newsvendors selling the same perishable goods in a common market. Our experimental results show that average observed orders systematically deviate from the Nash equilibrium, and exhibit a similar pull‐to‐center pattern as in the classic non‐competitive newsvendor experiments: average orders fall below the Nash equilibrium in the high‐margin condition, and above the Nash equilibrium in the low‐margin condition. More importantly, the observed orders in the duopoly market are significantly higher than that in the non‐competitive newsvendor market, even in situations where standard inventory models predict no difference. We explain the ordering behavior using a strategic experience‐weighted attraction (EWA) model, which captures players' propensities for strategic thinking in game settings. Our empirical analysis suggests that the strategic EWA model generates more accurate predictions of future ordering behavior than an existing linear adaptive model without concerning strategic thinking. Further analysis shows that individuals are heterogeneous in their propensities to be a strategic player. Our research indicates the importance of modeling strategic behavior when analyzing behavioral decisions in competitive (game) environments.     

Foundations and Implications of a Proposed Unified Services Theory

Diverse businesses, such as garbage collection, retail banking, and management consulting are often tied together under the heading of “services”, based on little more than a perception that they are intangible and do not manufacture anything. Such definitions inadequately identify managerial and operational implications common among, and unique to, services. We present a “Unified Services Theory” (UST) to clearly delineate service processes from non‐service processes and to identify key commonalities across seemingly disparate service businesses. The UST defines a service production process as one that relies on customer inputs; customers act as suppliers for all service processes. Non‐services (such as make‐to‐stock manufacturing) rely on customer selection of outputs, payment for outputs, and occasional feedback, but production is not dependent upon inputs from individual customers. The UST reveals principles that are common to the wide range of services and provides a unifying foundation for various theories and models of service operations, such as the traditional “characteristics of services” and Customer Contact Theory. The UST has significant operational corollaries pertaining to capacity and demand management, service quality, services strategy, and so forth. The UST provides a common reference point to which services management researchers can anchor future theory‐building and theory‐testing research.     

BPR项目的实施:革命性变革和渐进性变革

进入变化时代后,如何应对变化是公司的每一位成员必须面对的现实。理论界一直争论的革命性变化和渐进性变化两种策略各有其长,各有优势。本文探讨了这两种变化策略的特点,比较了它们的异同之处,并且总结了几条如何正确应用革命性变化和渐进性变化这两种策略的规则,为企业正确实施变化管理提供一定的参考价值。     

Managing Outsourced Software Projects: An Analysis of Project Performance and Customer Satisfaction

We examine the drivers of project performance and customer satisfaction in outsourced software projects using a proprietary panel dataset. The data cover 822 customer observations related to 182 unique projects executed by an India‐based software services vendor. Adopting a multidisciplinary perspective, we investigate how project planning, team stability, and communication effectiveness impact project performance and customer satisfaction. We delineate the direct and interactive influences of the antecedent variables. We also examine how these influences are moderated by two important project contexts: (a) the nature of software work (maintenance and development vs. testing projects) and (b) project maturity (new vs. mature projects). Among other results, we demonstrate that, when project planning capabilities are high, the positive impact of team stability and communication effectiveness on project performance is even higher. In addition, our results suggest that the impact of communication on project performance is muted when team stability is high. Finally, we also demonstrate that the impact of the antecedent variables on project performance varies with the nature of software work. Our findings offer specific and actionable insights to managers that can help them manage outsourced projects better, and open up new research perspectives in the context of outsourced project management.     

The Impact of Variability and Patient Information on Health Care System Performance

In the delivery of health care services, variability in the patient arrival and service processes can cause excessive patient waiting times and poor utilization of facility resources. Based on data collected at a large primary care facility, this paper investigates how several sources of variability affect facility performance. These sources include ancillary tasks performed by the physician, patient punctuality, unscheduled visits to the facility's laboratory or X‐ray services, momentary interruptions of a patient's examination, and examination time variation by patient class. Our results indicate that unscheduled visits to the facility's laboratory or X‐ray services have the largest impact on a physician's idle time. The average patient wait is most affected by how the physician prioritizes completing ancillary tasks, such as telephone calls, relative to examining patients. We also investigate the improvement in system performance offered by using increasing levels of patient information when creating the appointment schedule. We find that the use of policies that sequence patients based on their classification improves system performance by up to 25.5%.     

风险环境下企业信息系统项目控制对绩效的影响机制研究:基于项目经理和用户代表的双重视角

虽然当前项目管理水平不断提高,但是企业信息系统项目实施的成功率仍然不容乐观。项目干系人缺乏准确的相互认知和角色定位,以及风险与控制的关系无法有效处理是导致项目绩效偏低的重要原因。为了从不同视角探索风险和控制对企业信息系统项目绩效的共同作用,通过对65位项目经理和63位用户代表所经历的128个项目的调查,利用结构方程模型进行实证分析,并采用层次回归分析技术进行检验。实证结果表明,正式控制和非正式控制对信息系统项目绩效都具有积极的影响,但是项目经理认为正式控制具有更加重要的作用,而用户代表认为非正式控制的作用更为显著。此外,项目经理和用户代表均认为组织风险和技术风险会减弱正式和非正式控制对绩效的有效作用。因此在控制方式的选择和组合上不仅要基于项目自身的特点,而且要基于干系人的角色。同时,信息系统项目绩效并非单纯由成功或失败因素所决定,而是取决于两类因素的均衡程度。研究结论为信息系统项目的风险控制提供了全新的理论依据和决策支持。     

Managing Quality in the E‐Service System: Development and Application of a Process Model

In this paper, we develop a process model for assessing and managing e‐service quality based on the underlying components of the e‐service system and, in turn, address the growing need to look in more detail at the system component level for sources of poor quality. The proposed process model is comprised of a set of entities representing the e‐service system, a network defining the linking between all pairs of entities via transactions and product flows, and a set of outcomes of the processes in terms of quality dimensions. The process model is developed using Unified Modeling Language (UML), a pictorial language for specifying service designs that has achieved widespread acceptance among e‐service designers. Examples of applications of the process model are presented to illustrate how the model can be use to identify operational levers for managing and improving e‐service quality.     

Order Stability in Supply Chains: Coordination Risk and the Role of Coordination Stock

The bullwhip effect describes the tendency for the variance of orders in supply chains to increase as one moves upstream from consumer demand. We report on a set of laboratory experiments with a serial supply chain that tests behavioral causes of this phenomenon, in particular the possible influence of coordination risk. Coordination risk exists when individuals' decisions contribute to a collective outcome and the decision rules followed by each individual are not known with certainty, for example, where managers cannot be sure how their supply chain partners will behave. We conjecture that the existence of coordination risk may contribute to bullwhip behavior. We test this conjecture by controlling for environmental factors that lead to coordination risk and find these controls lead to a significant reduction in order oscillations and amplification. Next, we investigate a managerial intervention to reduce the bullwhip effect, inspired by our conjecture that coordination risk contributes to bullwhip behavior. Although the intervention, holding additional on‐hand inventory, does not change the existence of coordination risk, it reduces order oscillation and amplification by providing a buffer against the endogenous risk of coordination failure. We conclude that the magnitude of the bullwhip can be mitigated, but that its behavioral causes appear robust.     

Interdisciplinary and Interorganizational Research: Establishing the Science of Enterprise Networks

We review and discuss the evolution of interdisciplinary and interorganizational research in operations management and suggest directions for future investigations. The proposed operations management research focus is one that embraces a more holistic view of an “extended enterprise” which involves working with a new business model—the organization as a network. This methodology starts by treating the organization as a system that is enabled by information technology and is characterized by ubiquitous information sharing across traditional enterprise. Proper integration of technology, business processes and people factors needs to be developed to create higher value from networked enterprises. Operations management research future lies in establishing this science from an interdisciplinary perspective. We analyze this perspective in the context of papers published in the first 50 issues of Production and Operations Management and the related literature.     

Supply Chain Contract Design: Impact of Bounded Rationality and Individual Heterogeneity

In this article, we model various forms of non‐optimizing behavior in a newsvendor setting, including biases such as recency, reinforcement, demand chasing, and anchoring, as well as unsystematic decision errors. We assume that a newsvendor may evaluate decisions by examining both past outcomes and future expected payoffs. Our model is motivated by laboratory observations under several types of supply chain contracts. Ordering decisions are found to follow multi‐modal distributions that are dependent on contract structures and incentives. We differ from previous research by using statistics to determine which behavioral factors are applicable to each decision maker. A great deal of heterogeneity was discovered, indicating the importance of calibrating a contract to the individual. Our analysis also shows that the profit performance and the effectiveness of co‐ordinating contracts can be affected by non‐optimizing behaviors significantly. We conclude that, in addition to the aggregate order quantities, the decision distributions should be considered in designing contracts.     

Durability,Transit Lags,and Optimality of Inventory Management Decisions

Two laboratory experiments on a single‐echelon inventory task show that inventory durability interacts with transit lags to create order volatility that exceeds demand volatility. Thus, inventory durability and transit lags cause managers to deviate from inventory decision optimality. Durability creates a large increase in order volatility because players adjust orders insufficiently to reflect current inventory and backlogs, much as they adjust orders insufficiently to reflect holding and backlog costs in newsvendor studies (e.g., Schweitzer and Cachon 2000). Transit lags exacerbate non‐optimal ordering by interfering with players' ability to correct prior errors. Our results suggest that non‐optimal inventory decisions can be driven by inventory and supply chain characteristics, even in the absence of the coordination and information sharing problems studied by Croson et al. (2005) and Sterman (1989a,b). We also examine the influence of features related to personality. We find little evidence that the interactive effects of durability and transit lags are altered by need for cognition, impulsiveness, or locus of control, suggesting that these features make supply chain management extremely difficult. These results imply that retailers and their upstream partners must consider the characteristics of their product and supply chains when interpreting demand signals received from downstream partners.     

管理控制中管理者的行为特征分类及管理业绩的关系研究

以心理学、组织行为学、管理学为理论基础,以价值观、态度、动机为行为特征的划分变量,对企业管理控制中管理者不同群体的行为特征进行了实证研究。通过聚类分析将控制对象划分为集体主义倾向型、规则顺从型、自我价值实现型和环境认知型4类人群,研究显示每一类群体都呈现出差异化的人口统计特征。然后,进一步考察了这4类群体的管理业绩与"目标难度适度性"、"信息反馈及时性"及"业绩考核公平性"等控制环节的关系。     

The informed society: an analysis of the public's information-seeking behavior regarding coastal flood risks

Recent flood risk management puts an increasing emphasis on the public's risk perception and its preferences. It is now widely recognized that a better knowledge of the public's awareness and concern about risks is of vital importance to outline effective risk communication strategies. Models such as Risk Information Seeking and Processing address this evolution by considering the public's needs and its information-seeking behavior with regard to risk information. This study builds upon earlier information-seeking models and focuses on the empirical relationships between information-seeking behavior and the constructs of risk perception, perceived hazard knowledge, response efficacy, and information need in the context of coastal flood risks. Specific focus is given to the mediating role of information need in the model and to the differences in information-seeking behavior between permanent and temporary residents. By means of a structured on-line questionnaire, a cross-sectional survey was carried out in the city of Ostend, one of the most vulnerable places to coastal flooding on the Belgian coast. Three hundred thirteen respondents participated in the survey. Path analysis reveals that information need does not act as a mediator in contrast to risk perception and perceived knowledge. In addition, it is shown that risk perception and perceived hazard knowledge are higher for permanent than temporary residents, leading to increased information-seeking behavior among the former group. Implications for risk communication are discussed.     

积极心理学运动对组织行为学及人力资源管理的影响

积极心理学是21世纪心理学研究的一个新方向,而积极心理学运动(PPM)则在全社会掀起了一场积极运动,其影响是广泛而深远的。文章着重探讨PPM对组织行为学及人力资源管理的影响,研究结论是:PPM促进了积极组织行为学(POB)的形成与发展,推动了积极组织学术(POS)的兴起,同时也改变了人力资源管理实践中关于招聘与选拔、培训与考核的内容和方式。     

企业项目管理成熟度模型的构建与应用研究

项目管理成熟度模型(PMMM)是用来帮助项目管理组织评估和改进自身项目管理水平的一种方法和工具,对于我国企业项目管理实践有着重要的指导意义。本文结合我国项目管理知识体系与企业应用特点,研究提出了基于项目过程的企业项目管理成熟度等级模型,建立了评价指标体系,并阐述了各等级的关键实践活动,最后本文探索了我国企业采用该项目管理成熟度等级模型的途经与方法。     

The Influence of Service Orientation on B2B e‐Service Capabilities: An Empirical Investigation

E‐Services, or the company's portfolio of service offerings available to its customers through the Internet, are an emerging area of interest to operations management. Yet little is known about the operations and capabilities needed for provision of business‐to‐business (B2B) e‐services. This paper aims to make a contribution toward closing this gap. First, we develop a new construct of B2B e‐service capability, a term that captures a generic set of five interrelated and complementary dimensions: (1) e‐service recovery, (2) e‐customization, (3) ease of navigation, (4) service portfolio comprehensiveness, and (5) information richness. These combined operational abilities are associated with B2B service delivery, including its portal design, technology architecture, and mix of product and service offerings. They are posited to be necessary for delivering effective B2B e‐services. We also argue that, both service orientation (SO) and customer receptivity to technology, influence B2B e‐service capability. We empirically test a path model using structural equation modeling on a sample of 181 businesses that have deployed B2B e‐services. We find that the influence of SO on performance is not direct but rather mediated by the e‐service capability, a finding that holds for both goods producers and service providers. We suggest that a firm's SO may mitigate industrial customers' resistance toward conducting business online.     

Culture and Organization: The Case of Transmanche-Link

The relationship between culture and organization has often been discussed, but rarely explored directly. This paper implements a cultural values instrument taken from Hofstede together with a behavioural instrument derived from Van de Ven to matched samples of British and French managers working on the Channel Tunnel project. The results largely replicate the findings of Hofstede regarding cultural values, but do not support the predicted implications for behaviour. In essence, the British were found to be more bureaucratic and more team-oriented than their French counterparts, who tended to be more fonceur and competitive. This indicates that the relationship between culture and behaviour might be more complicated than research to date suggests.     

Beyond the Skinner Box: The Design and Management of Organization-Wide Performance Systems

A discussion of the need for organizational behavior management practitioners to shift their application paradigm from a dyadic perspective to a systems perspective is presented. Such a shift would improve the identification of performance improvement opportunities, reduce the effects of unintended contingency interactions, and help ensure sustainable improvement efforts. Nine performance system tools are described that assist the analyst in the design of a performance system and its long-term management and maintenance. A manufacturing case study describing the application of these tools is provided.     

The Effectiveness of Risk Management: An Analysis of Project Risk Planning Across Industries and Countries

This article examines the effectiveness of current risk management practices to reduce project risk using a multinational, multi‐industry study across different scenarios and cultures. A survey was administered to 701 project managers, and their supervisors, in seven industries and three diverse countries (New Zealand, Israel, and Japan), in multiple languages during the 2002–2007 period. Results of this study show that project context—industry and country where a project is executed—significantly impacts perceived levels of project risk, and the intensity of risk management processes. Our findings also suggest that risk management moderates the relationship between risk level and project success. Specifically, we found that even moderate levels of risk management planning are sufficient to reduce the negative effect risk levels have on project success.     

Decision Making in Cross‐Functional Teams: The Role of Decision Power*

Through a series of game‐theoretical models, this study systematically examines decision making in cross‐functional teams. It provides a framework for the design of an organization‐specific decision‐making process and for the alignment of a team's microdecision with the “optimal” decision that maximizes the firm's payoff. This study finds that even without changing the team leader, firms could change and even dictate the team's microdecision outcome via adjusting the team member's seniority, empowering team members with veto power or involving a supervisor as a threat to overrule the team decision. This finding implies that to reposition products in the marketplace, structuring cross‐functional teams’ microdecision‐making processes is essential.