London Business School

About: London Business School is a education organization based out in London, England, United Kingdom. It is known for research contribution in the topics: Portfolio & Equity (finance). The organization has 1138 authors who have published 5118 publications receiving 437980 citations. The organization is also known as: LBS.

Designing the Boundaries of the Firm: From Make, Buy, or Ally to the Dynamic Benefits of Vertical Architecture

Abstract: The concept of vertical architecture defines the scope of a firm and the extent to which it is open to final and intermediate markets; it describes the configurations of transactional choices along a firms value chain. A firm can make or buy inputs, and transfer outputs downstream or sell them. Permeable vertical architectures are partly integrated and partly open to the markets along a firms value chain. Increased permeability enables more effective use of resources and capacities, better matching of capabilities with market needs, and benchmarking to improve efficiency. Partial integration promotes a more dynamic, open innovation platform and enhances strategic capabilities by linking key parts of the value chain. This permeable vertical architecture, accompanied by appropriate transfer prices and incentive design, facilitates resource allocation and guides a firms growth process. Our longitudinal study of a major European manufacturer suggests that to understand how firm boundaries are set and what their impacts are, we need to complement the microanalytic focus on transactions with a systemic analysis at the level of the firm. It also shows how, over and above transactional alignment, decisions about boundaries and vertical architectures can transform a firms strategic and productive capabilities and prospects.

National Institutions and Subnational Development in Africa

Abstract: We investigate the role of national institutions on subnational African development in a novel framework that accounts both for local geography and cultural-genetic traits. We exploit the fact that the political boundaries in the eve of African independence partitioned more than two hundred ethnic groups across adjacent countries subjecting similar cultures, residing in homogeneous geographic areas, to different formal institutions. Using both a matching-type and a spatial regression discontinuity approach we show that differences in countrywide institutional structures across the national border do not explain within-ethnicity differences in economic performance, as captured by satellite images of light density. The average non-effect of national institutions on ethnic development masks considerable heterogeneity partially driven by the diminishing role of national institutions in areas further from the capital cities.

Action research: a new paradigm for research in production andoperations management

Abstract: The continuing debate on production and operations management (POM) research has led to a new emphasis on empirical methods. Claims that, while surveys and case research are increasingly recommended to POM researchers, action research has been relatively neglected. The distinct characteristic of action research is the intervention by the researcher in the situation under study. The nature of the intervention, and of action research outputs, differs however from consulting or from the applications reported by APICS. Explains these differences and offers a simple model of action research. Action research is particularly valuable for theory building, as has been seen in the fields of organization behaviour (OB) and management information systems (MIS), where qualitative methods have often been employed rather than traditional scientific methods. POM researchers can learn from the experience of other disciplines and use action research to create new theory. Since many POM researchers will be unfamiliar with action research, explores some practical aspects of conducting such investigations with illustrations from the author′s own research experience. Concludes by showing that a properly conducted action research project can be as rigorous as other methods.

Managing Product Variety: An Integrative Review and Research Directions

Abstract: Rapidly evolving technologies, global competition, and sophisticated customers have contributed to an increase in product variety in many industries. However, simply increasing variety does not guarantee an increase in long run profits, and can in fact worsen a firm's competitiveness. This makes variety management a crucial dimension of successful business practice. In this paper, I first provide a framework for managerial decisions about variety. Variety decisions can be viewed as variety-creation decisions that determine the amount, type, and timing of end-product variety, and variety-implementation decisions, which focus on the design and operation of internal processes and a supply chain to support a firm's variety-creation strategy. I sort the gamut of variety-related decisions into four key decision themes in variety creation: 1) dimensions of variety, 2) product architecture, 3) degree of customization, and 4) timing, and three key decision themes in variety implementation: 1) process capabilities, 2) points of variegation, and 3) day-to-day decisions. I describe each theme, and then review the relevant literature on each theme, with a focus on research that adds insight on problems faced in practice. Finally, I identify untapped avenues for future research that would be of value to the practicing manager, paying special attention to interdependencies among decision themes.

Modeling Industrial Lot Sizing Problems: A Review

Abstract: In this paper we give an overview of recent developments in the field of modeling deterministic single-level dynamic lot sizing problems. The focus of this paper is on the modeling of various industrial extensions and not on the solution approaches. The timeliness of such a review stems from the growing industry need to solve more realistic and comprehensive production planning problems. First, several different basic lot sizing problems are defined. Many extensions of these problems have been proposed and the research basically expands in two opposite directions. The first line of research focuses on modeling the operational aspects in more detail. The discussion is organized around five aspects: the set ups, the characteristics of the production process, the inventory, demand side and rolling horizon. The second direction is towards more tactical and strategic models in which the lot sizing problem is a core substructure, such as integrated production-distribution planning or supplier selection. Recent advances in both directions are discussed. Finally, we give some concluding remarks and point out interesting areas for future research.