RESOURCE ALLOCATION TO IMPROVE SERVICE QUALITY PERCEPTIONS IN MULTISTAGE SERVICE SYSTEMS

Service quality improvement has become an imperative in today's service firms. In this paper, we present a modeling framework that combines marketing and operations viewpoints for resource allocation. The framework can be used to allocate resources to the different stages of a multistage service system, where the manager's goal is to improve customers' perceptions of service quality, given some budget. Optimal allocation guidelines are provided, and the interplay of three factors on the resulting allocation scheme is captured. These factors are the current level of customers' perceptions of service quality at each stage, the cost of implementing a service quality improvement at each stage, and the importance placed by customers at each stage. Sensitivity analysis to provide additional managerial insights is also performed. We demonstrate the applicability of the modeling framework, using data from a real life health care environment. Model limitations and future research are also discussed.     

Free,free, set them free? Are programmes effective that allow job centres considerable freedom to choose the exact design?

Active labour market programmes are expected to be quite effective if job centres have a substantial degree of freedom to deliver tailor‐made individual services. For Germany, we studied the effectiveness of Schemes for Activation and Integration (SAI), which were introduced in 2009 to grant such freedoms to implement short training and private placement services. We estimated SAI participation effects on welfare recipients’ earnings and employment rate using propensity score matching and rich administrative data. We distinguished between participation in in‐firm training or training in other settings, and considered effect heterogeneity by gender, region and non‐employment duration. Participation substantially improved the participants’ earnings and employment rate, in‐firm training more so than training in other settings. Our employment effect estimates were not considerably larger than those previously found for comparable pre‐reform programmes. A lack of experience with SAI and a still inadequate client focus in the period studied might explain this.     

Productive organizational energy mediates the impact of organizational structure on absorptive capacity

The ability of an organization to cope with radical technological change is regarded to be heavily dependent on its ability to absorb and apply knowledge from its environment. This study investigates the role of organizational structure in driving absorptive capacity and uncovers the role of the emergent phenomenon of organizational energy as the enabler of this relationship. A field study was conducted among firms that are challenged by the disruptive nature of Cloud computing. Our results show that organizational design affects the degree of mobilization of an organization's affective, cognitive and behavioral resources, which in turn influence the effectiveness of learning processes related to the absorption and exchange of knowledge within the organization. Furthermore, they reveal the positive relationship between the enactment of absorptive capacity and the successful adoption of Cloud technology for incumbent firms. The findings contribute to our understanding of the micro-foundations of absorptive capacity and how positive organizational phenomena facilitate effective adoption and implementation of emerging technologies.     

CONSPICUOUS SPENDING AND THE INCOME DISTRIBUTION OF SOCIAL GROUPS

Using South African household expenditure data, we analyze how the spending of a household on visible goods, such as jewelry and clothes, depends on the distribution of income within its social group. We find that this spending is positively correlated with the share of peers who possess a similar income level to the household, what we dub the “local income share.” Moreover, we find that the spending of a household on visible goods is positively correlated with the average income of peers that are poorer than this household. We interpret this as evidence for cascade effects through which income changes among the poorest in the social group can trigger adjustments in the visible spending patterns of the wealthy. In line with previous research (Charles et al. 2009), we also find that visible spending of a household is negatively correlated with the average income of its social group. We present a simple model of status competition based on Hopkins and Kornienko (2004) that synthesizes these effects and can account for our results. (JEL D12, D31, O12)     

Oxidative stress increases continuously with BMI and age with unfavourable profiles in males

Oxidative stress is a risk factor for chronic diseases and was previously shown to be independently associated with obesity. The authors investigated the relationship between body mass index (BMI), age and oxidative stress on 2190 subjects undergoing a health care examination. Total antioxidant status (TAS), total peroxides (TOC) and autoantibodies against oxidized LDL (oLAb) were used as oxidative stress biomarkers in addition to serum lipoproteins, bilirubin and uric acid. Gender-specific differences were observed for age, BMI, serum concentrations of bilirubin, low-density lipoprotein (LDL), uric acid and TAS, all of which were higher in males (p < 0.001), while high-density lipoprotein (HDL), HDL/LDL ratio and TOC were higher in females (p < 0.001). Total cholesterol (p < 0.05) and LDL were increased (p < 0.05), while HDL was decreased (p < 0.05) in overweight and obese subjects. This was accompanied by increased uric acid and TAS concentrations. Lowest oLAb titers were detected in obese subjects. In extremely obese subjects, increased TOC and decreased TAS were observed in spite of high uric acid levels. These results demonstrate that oxidative stress increases with increasing BMI and age, as a sequel to an impaired antioxidant status, the consumption of oLAbs, an increase of peroxides and uric acid and a disadvantaged lipid profile.     

Expertise and experience: a deliberative system of a functional division of labor for post-normal risk governance

Public policy is increasingly facing human-made risks in various domains (technology, environment, energy, food, health, security, etc.) that pose new challenge for risk governance. These risks induce cognitive, evaluative and normative challenges that result from uncertainty and ambiguity. This necessitates a new interplay between the state, experts, stakeholder groups, and the public at large. We confront the notion of risk governance with theories of deliberative democracy: How can societies develop deliberative institutions and processes for governing risks more effectively and how can society be better involved in risk governance? We argue that a deliberative system with a functional division of labor that assigns specific tasks to and recognizes specific competences in experts, stakeholder groups, and citizens facilitates an appropriate integration of scientific and experiential substance. We argue that the integration of expertise and experience can be conveyed by differentiated deliberation by expert, stakeholders, and the public, which produces better outcomes than the classical risk analysis approach in many regulatory systems. To this end, we combine theory, normative conceptualization, and institutional practicability.     

Sozialer Status und prosoziales Handeln: Ein Quasi-Experiment im Krankenhaus

Sociological, social psychological and economic research on the nexus between socioeconomic status and prosociality has so far provided contradictory findings. Some studies suggest that actors with a high socioeconomic status act more egoistically than actors with a lower socioeconomic status. Other studies find the opposite to be true. In contrast to previous research, which has worked with one-dimensional measures for socioeconomic status, this study examines prosocial behavior among occupational groups that have regular real-life contact in their workspace. About 150 hospital employees (physicians, nursing staff and nursing students) participated in experiments on altruistic giving in dictator games. The findings are surprisingly strong and clear-cut: Actors with higher social status act more prosocial than low-status actors. Furthermore, we find hardly any in-group effects, which have been repeatedly postulated. Our findings support the claim that high status promotes prosocial behavior. Also, they indicate that the inconclusive and in part contradictory findings provided by previous research stem to a considerable degree from deficient measures of social status and problematic experimental designs.     

Endangering one’s health to improve performance?

Background: Companies are increasingly applying both goal- and performance-oriented leadership practices. For employees, such indirect control practices make higher self-regulatory demands: They become responsible for their work outcomes and have to bear the consequences of failure just like the self-employed. The current study focuses on the concept of “self-endangering work behaviors” as representing a possible negative effect of indirect control and a possible mediator between work demands and negative outcomes. Method: An online survey was conducted with 607 employees, who reported to work in an indirect control setting. It assessed extension of working hours, intensification of working hours, sickness presenteeism, and faking as possible self-endangering work behaviors together with exhaustion as a subjective well-being measure. The lavaan package was used to test the mediation hypothesis with a structural equation model. Results: Results supported the assumption that self-endangering work behaviors might partly explain the association between work demands and exhaustion. A mediation effect was found for extension of working hours, intensification of working hours, and for faking. However, sickness presenteeism delivered no statistically significant mediation effect in the association between work demands and exhaustion. Discussion: As a mechanism for coping with high work demands, the new concept of self-endangering work behaviors offers one possible explanation for the negative association between high work demands and both subjective well-being and health. The concept needs to be addressed in occupational health prevention initiatives. Such interventions should balance the negative and positive effects of indirect control and take self-endangering work behavior into account.