Optimal inventory cycle counting

The heart of inventory transactions management involves obtaining an accurate count of on-hand inventories employing different procedures. Among such procedures cycle counting is said to provide better inventory record accuracy for financial control and production planning. However, these procedures use rather arbitrary basis for classifying items and for setting the count frequency within each strata. This paper develops a simple optimization model of inventory cycle counting based on traditional stratified sampling theory. Such a model allows the inventory manager to make statistically supported statements regarding inventory record accuracy so as to meet financial control requirements with a minimum of cycle counting effort. A numerical example is included to illustrate the model.     

Addressing issues of face validity in the application of a clinical guideline

In 1995, a statewide project to improve the practice of electroconvulsive therapy (ECT) in the Medicare population was started in Louisiana. A retrospective baseline study found high concurrent utilization of lithium and benzodiazepines, medications considered detrimental to ECT by the second American Psychiatric Association Task Force on ECT. Resistance to a clinical guideline because of lack of face validity by clinicians was used as an opportunity to involve clinicians in using data to evaluate their clinical practices. Results of the first two quarters of the project demonstrated that the strategy was successful.     

Internationalization,Innovation and Institutions: The 3 I's Underpinning the Competitiveness of Emerging Market Firms

The past decade has seen an increase in the extent of research focused on and around emerging market firms (EMFs) and their rising levels of competitiveness in both their home markets and more importantly in the global market place. At the same time, the practitioner-oriented literature has been documenting a growing number of corporate success stories that originate in emerging market economies. We posit that the growing prominence of EMFs is a result of three interrelated phenomena: the fast-paced internationalization of EMFs into both developing and developed market economies; the rapidly increasing extent to which business enterprises in emerging economies are focusing on knowledge-intensive processes and innovation; and the continuous evolution of institutions in these markets, particularly in terms of economic liberalization.     

Managing Retail Budget Allocation between Store Labor and Marketing Activities

The performance of a retail store depends on its ability to attract customer traffic, match labor with incoming traffic, and convert the incoming traffic into sales. Retailers make significant investments in marketing activities (such as advertising) to bring customers into their stores and in‐store labor to convert that traffic into sales. Thus, a common trade‐off that retail store managers face concerns the allocation of a store's limited budget between advertising and labor to enhance store‐level sales. To explore that trade‐off, we develop a centralized model to allocate limited store budget between store labor and advertising with the objective of maximizing store sales. We find that a store's inherent potential to drive traffic plays an important role, among other factors, in the relative allocation between advertising and store labor. We also find that as advertising instruments become more effective in bringing traffic to stores, managers should not always capitalize this effectiveness by increasing their existing allocations to advertising. In addition, we discuss a decentralized setting where budget allocation decisions cannot be enforced by a store manager and present a simple mechanism that can achieve the centralized solution. In an extension, we address the budget allocation problem in the presence of marketing efforts to shift store traffic from peak to off peak hours and show that our initial findings are robust. Further, we illustrate how the solution from the budget allocation model can be used to facilitate store level sales force planning/scheduling decisions. Based on the results of our model, we present several insights that can help managers in budget allocation and sales force planning.     

Estimation of the mean quality-adjusted survival using a multistate model for the sojourn times

In clinical trials, it may be of interest taking into account physical and emotional well-being in addition to survival when comparing treatments. Quality-adjusted survival time has the advantage of incorporating information about both survival time and quality-of-life. In this paper, we discuss the estimation of the expected value of the quality-adjusted survival, based on multistate models for the sojourn times in health states. Semiparametric and parametric (with exponential distribution) approaches are considered. A simulation study is presented to evaluate the performance of the proposed estimator and the jackknife resampling method is used to compute bias and variance of the estimator.     

“The Past in the Present: Mills,Tocqueville and the Necessity of History”

Historical sociology has achieved a reasonable degree of respectability in the discipline, and there is much interesting work being produced. But a pronounced aspect of much of this work is an indifference to the question of the value of studying the past as a way to understanding the present. This article argues that, rather than trying to outdo the historians by producing “better,” more theoretically sophisticated history, sociologists would better advance the case for historical sociology by showing how any particular historical study helps illuminate contemporary concerns. The article draws upon the writings of C. Wright Mills and Alexis de Tocqueville to show not just the need for historical sociology but also as indications of how this might best be done.     

Robustness of tests for directional mean

In this paper we study the robustness of the likelihood ratio, circular mean and circular trimmed mean test functionals in the context of tests of hypotheses regarding the mean direction of circular normal and wrapped normal distributions. We compute the level and power breakdown properties of the three test functionals and compare them. We find that the circular trimmed mean test functional has the best robustness properties for both the above-mentioned distributions. The level and power properties of the test statistics corresponding to these functionals are also studied. Two examples with real data are given for illustration. We also consider the problem of testing the mean direction of the von-Mises–Fisher distribution on the unit sphere and explore the robustness properties of the spherical mean direction and likelihood ratio test functionals.