Performance and risk management

Abstract

Performance and risk management are seen by some as two ends of the same spectrum. Performance measurement and management is about steering an enterprise towards a profitable and viable future, whilst risk management is about avoiding the pitfalls that can overwhelm and ultimately put an enterprise out of business. But should the functions and processes of performance measurement and management be integrated with those of risk management? What are the consequences of this integration? How should this be done in practice? In this editorial we briefly chart the debate between those who propose it is important to keep the functions separate and those who advocate integration before presenting the empirical research that informs this conversation.     

Losses Disguised as Wins Affect Game Selection on Multiline Slots

Multiline slots are exciting games that contain features which make them alluring. One such feature is a loss disguised as a win (LDW); wherein, players win less than they wager (e.g., bet 2 dollars, win back 50 cents), but this net loss is disguised by flashing graphics and winning sounds. Research to date concludes that LDWs are both rewarding and reinforcing. Here, we investigated whether LDWs affect players’ game selection. Thirty-two undergraduate students with experience playing slot machines played 100 spins on four games—two had positive payback percentages (115%) and two had negative payback percentages (85%) after 100 spins. For each payback percentage condition, there was a game with no LDWs and a game with a moderate number of LDWs. For the 100 spins, players could choose to play whichever game they wished. They then rated their preference for each game following the 100-spins and chose a game to continue playing. The majority of players preferred playing the positive payback percentage game with LDWs and chose to continue playing this game over the three other games. We conclude that in addition to LDWs being reinforcing and rewarding, LDWs do in fact influence game selection. We conclude that responsible gambling initiatives should educate players about LDWs.     

Posttraumatic stress disorder (PTSD) symptoms among firefighters: Roles of resilience and locus of control

Firefighting is a an extremely stressful occupation that risks exposure to traumatic events as part of the job. Despite this, the literature on stress and trauma pays little attention to this occupation and its generalization to other, high risk occupations. This study examined resilience and work locus of control as predictors of posttraumatic stress disorder (PTSD) symptoms among Nigerian firefighters. Participants were 116 paid, professional firefighters (98 males and 18 females) who completed the Post-Traumatic Stress Disorder Checklist-Civilian Version (PCL-C), Resilience Scale (RS-14), and Work Locus of Control Scale (WLCS) and provided vital demographic information. Multiple regression analysis was used to analyze the data. Results showed that resilience negatively predicted PTSD symptoms such that higher resilience was associated with fewer symptoms of PTSD. Work locus of control was a positive predictor of PTSD symptoms, indicating that externality of control beliefs in the workplace was associated with more PTSD symptoms. Relevant demographic factors especially higher years of service, being a senior firefighter, and higher educational status were associated with lower PTSD symptoms. Findings underscore the potential value of resilience training and implementing behavioral health programs to modify firefighters’ external locus of control beliefs. Interventions should consider resilience and locus of control focused interventions as protective factors for PTSD.     

Predicting users’ privacy boundary management strategies on Facebook

This study examines the process by which Facebook users regulate their interpersonal privacy and information sharing. By tracing the influence of gender, Facebook usage, and privacy-protecting behaviors that are determined by knowledge and attitude, this research identifies a dynamic management process through which Facebook users maintain personal and interpersonal boundaries. Two distinct strategies are used – a privacy-setting control and a self-disclosure control. Based on data collected in a survey of 432 college students conducted in Hong Kong, our results suggest that different uses of Facebook activities (i.e., social interaction, social browsing, and entertainment) can be used to predict different boundary management strategies. Gender and privacy-related psychological factors (i.e., privacy literacy and concern about privacy) also showed significant effects. We concluded that the privacy setting options available on social networking sites such as Facebook were useful in providing users with a base point and a psychological sense of security, but they had little influence on the actual patterns of self-disclosure. To regulate their privacy boundaries, users were more likely to rely on frequently changing their privacy settings and on controlling their levels of self-disclosure.     

Model selection with missing covariates for policy considerations in fox enclosures

Foxhound training enclosures are facilities where wild-trapped foxes are placed into large fenced areas for dog training purposes. Although the purpose of these facilities is to train dogs without harming foxes, dog-related mortality has been reported to be an issue in some enclosures. Using data from a fox enclosure in Virginia, we investigate factors that influence fox survival in these dog training facilities and propose a set of policies to improve fox survival. In particular, a Bayesian hierarchical model is formulated to compute fox survival probabilities based on a fox's time in the enclosure and the number of dogs allowed in the enclosure at one time. These calculations are complicated by missing information on the number of dogs in the enclosure for many days during the study. We elicit expert knowledge for a prior on the number of dogs to account for the uncertainty in the missing data. Reversible jump Markov Chain Monte Carlo is used for model selection in the presence of missing covariates. We then use our model to examine possible changes to foxhound training enclosure policy and what effect those changes may have on fox survival.     

Bayesian estimation of extropy and goodness of fit tests

Extropy, a complementary dual of entropy, is considered in this paper. A Bayesian approach based on the Dirichlet process is proposed for the estimation of extropy. A goodness of fit test is also developed. Many theoretical properties of the procedure are derived. Several examples are discussed to illustrate the approach.