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.     

PRODUCTION FLOW CONTROL FOR A MANUFACTURING SYSTEM WITH FLEXIBLE ROUTINGS

We study the dynamic routing problem for a flexible manufacturing system consisting of two unreliable machines and a finite buffer. One product-type is produced which requires two operations in sequence. The demand rate is assumed to be constant. Each machine is capable of performing both operations. The objective is to trace the demand while keeping the work-in-process low and the cycle-time short. An optimal control formulation is established for the dynamic routing problem. A production flow control algorithm is developed based on a combination of mathematical modeling and heuristics. The control policy is simulated and a comparison with the numerical optimal solution shows that it performs well for the instances under consideration.     

Sociotechnical Systems and Unions: Nicety or Necessity

Sociotechnical systems (STS) theorists havelargely ignored the role of unions both in theirtheoretical framework and in STS implementation. Thisoversight weakens the potential application anddissemination of STS theory and practice. STS democracy isfrequently seen by its proponents as preferable to uniondemocracy except when they come to the same conclusion.Unions have historically played a role in the development and success of seminal STSinitiatives but are not seen as a critical specificationfor success. Many practitioners have noted theinstrumental importance of unions in unionized settings without acknowledging class, conflict, or unionvalues. As such, many unions have dismissed or resistedSTS innovations. Despite these serious shortcomings, thelabor process argument has failed to produce a credible alternative to STS principles. Insome cases, the union role has been central to STSreforms and examples like these have prompted somenational union movements to promote work reform with an STS base. Recently, the American labor movementhas endorsed work reform approaches akin to STSapproaches. STS changes are seen not just as ways tochange managerial practices but also to alter unionstructures and functioning. As such, a union-rooted STSapproach provides greater societal and workplace impactbenefitting employees, employers, trade unions, and thesociety.     

The “Three Waves” of Industrial Group Work: Historical Reflections on Current Research on Group Work

This paper deals with the three waves of the discourse on group work in social science and industrial practice that have helped pave the way for the current boom in the introduction of group work in companies. These waves are represented by the human relations approach, the sociotechnical systems approach, and the lean management debate. They are reviewed in two perspectives. The first relates to their concepts of work design and group work, following four questions: (a) What emphasis is put on work factors or on subjective orientations, on the design of working conditions or symbolic strategies? (b) How do the various approaches address the relationship between efficiency and control? (c) Which concepts of participation or democracy are involved? (d) How is the role of the social scientist in the process of industrial modernization conceptualized, explicitly or implicitly? The second perspective from a sociology of science relates to the context of production and utilization of social scientific knowledge. In general, two theses are put forward. The first states that a gap exists between the aspirations and reality of group work because the basic conflict of efficiency and control has been overlooked for ideological reasons. The second postulates that there is no linear progress in the theory and practice of group work. It seems that the socioeconomical context determines reasonably which group concept and ideology dominates certain historical phases of industrial modernization.     

Agencies,normative personalities and the Viable Systems Model

Abstract

Modelling the organization to enable purposeful analysis and diagnosis of its ills is often problematic. Beer's use of the Viable Systems Model (VSM) and its development as a methodology for analysis and diagnosis of organizational pathologies has been successful in exploring this, but viewing the organization as a personality provides additions control perspectives that are distinct from those identified by Beer. In this article the notion of normative personality is defined in terms of socio-cognitive processes operating through trait controls, and the resulting model is then related to the VSM.     

Beyond control? The mechanics and dynamics of ‘informal’ remittances between Europe and Africa

Abstract Policy making usually assumes that the best way to harness migrant remittances for development is by shifting them into the regulated money transfer sector. However, much research evidence concludes that alternative methods are often cheaper and more reliable, accessible and convenient. In this article, we explore this tension between policy objectives and evidence. Based on a review of remittance mechanisms in seven sub‐Saharan African countries, we question the validity of the distinction between ‘formal’ and ‘informal’ remittances. We conclude that the formalization of remittance systems should not be approached as a regulatory task carried out from the top down, but as a bottom‐up evolutionary and organic process that should be encouraged. We suggest that the current regulatory thrust in this area is likely to be counterproductive, since it risks undermining the many vibrant institutions emerging through the movement of migrants and their money, together with their potential to enhance much needed economic and social development.     

The multipolar regionalization of cities in multinational firms' networks

This article identifies the most cohesive multi‐polar regions of the network of world cities, which differ from the unipolar centre–periphery model largely created by the high weight of central city connections. We use a community detection algorithm that outlines the high densities of city networks (in relative weights). Various patterns of industries and services, which are divided into two skill levels, are identified. We use a global database of the network of 1.2 million direct and indirect ownership links between the 800,000 subsidiaries of the top 3000 multinational groups in 2013, allowing us to build four comparable networks of 503 metropolitan areas. Comparing the obtained partitions with continental, regional and economic benchmarks, classes of cities partially correspond to free trade zones (FTZs) but exhibit interesting cross‐continental patterns. A few cities, changing their classes according to the activities, are discussed in the light of the multinational firms' strategies.     

COORDINATION ALTERNATIVES IN A MANUFACTURER/DEALER INVENTORY SYSTEM UNDER STOCHASTIC DEMAND

This paper introduces a stochastic model of a distribution system where the stocking location is owned by a dealer (or retailer) and the product is supplied by a manufacturer. Inventory is managed by the dealer, and the manufacturer is responsible for delivery of the product through both regular replenishment and expedite shipment modes. The dealer and the manufacturer share the goal of providing a high level of customer service. Demand, moreover, is a function of the service level offered to the market by the dealer. We develop optimal stock control policies for the cases where each decision maker in turn is dominant and acts unilaterally while being constrained by the supply/demand linkages of the system. We also develop an optimum policy for the case where both levels are managed under centralized control (i.e., both levels cooperate). Results indicate that the expected profit for a dominant dealer (or dominant manufacturer) is higher under decentralized control than the optimal solution for either under centralized control. However, the centralized solution is a global-optimal solution and therefore will guarantee longterm stability. Differences between the various solutions are analyzed explicitly to estimate the cost of coordination.     

Structural changes in the 2003–2009 global hyperlink network

In this study, we examined the structure of the international hyperlink network as a global communication system at two different points in time (2003 and 2009). Research was carried out on the web‐based network linking country code top‐level domains (ccTLDs) that represent countries, using hyperlink connectivity by the means of network analysis. The results indicate that the 2009 international hyperlink network was completely interconnected. G7 countries and Spain were at the centre of the network. At the periphery were poorer countries from Africa, Asia, and Latin America. In addition, several regional clusters based on geography, language and culture emerged. A comparison of the 2003 and 2009 results showed that the level of centralization and diversification among semi‐peripheral countries increased. We discuss the results from the perspective of world‐systems theory. We propose methodological procedures to overcome potential bias in international hyperlink data.