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Showing papers in "IEEE Transactions on Engineering Management in 2014"


Journal ArticleDOI
TL;DR: This work uses a k-means clustering algorithm to partition national electricity demand data for Great Britain and applies a novel profiling method to obtain a set of representative demand profiles for each year over the period 1994-2005, yielding 50-fold gains in terms of computational speed.
Abstract: We use a k-means clustering algorithm to partition national electricity demand data for Great Britain and apply a novel profiling method to obtain a set of representative demand profiles for each year over the period 1994-2005. We then use a simulated dispatch model to assess the accuracy of these daily profiles against the complete dataset on a year-to-year basis. We find that the use of data partitioning does not compromise the accuracy of the simulations for most of the main variables considered, even when simulating significant intermittent wind generation. This technique yields 50-fold gains in terms of computational speed, allowing complex Monte Carlo simulations and sensitivity analyses to be performed with modest computing resource.

118 citations


Journal ArticleDOI
TL;DR: The results indicate that competitive hostility has a positive effect on the organization-wide approach to quality, and that both have positive effects on SCQI, and highlight internal quality integration as a core strategic resource for quality improvement.
Abstract: This study extends quality management from an individual company perspective to a supply chain perspective. We propose a concept of supply chain quality integration (SCQI) that consists of internal, supplier, and customer integration for quality improvement, and develop a model that specifies the relationships among competitive hostility, the organization-wide approach to quality, three types of SCQI, and quality-related performance. We test the model using data collected from 291 high-performance manufacturing plants from ten countries. The results indicate that competitive hostility has a positive effect on the organization-wide approach to quality, and that both have positive effects on SCQI. In addition, internal quality integration significantly enhances external quality integration with both suppliers and customers. Further, internal quality integration significantly improves all quality-related performance (i.e., product quality, cost, delivery, and flexibility), and both supplier and customer quality integration significantly improve cost performance. Whereas customer quality integration significantly improves delivery performance and supplier quality integration significantly improves quality performance, only internal quality integration can improve flexibility performance. The findings reveal how different types of SCQI are related to quality-related performance and highlight internal quality integration as a core strategic resource for quality improvement. As such, they provide important managerial insights for supply chain quality managers to improve quality-related performance.

79 citations


Journal ArticleDOI
TL;DR: The results of this study show that performance benefits from the internalization of ISO 9000 standards occur mainly through the development of human and organizational capital, and the consequent improvement in business processes.
Abstract: This study presents an investigation of the relationship between internalization of ISO 9000 practices and the development of intellectual capital within organizations. We posit that intellectual capital, which comprises of human capital, organizational capital, and social capital, leads to improved processes in an organization. Process improvement, in turn, results in superior operational performance. Using a sample of 321 ISO 9001 certified organizations, the hypothesized relationships are tested by means of the structural equation modeling technique. The results of this study lend strong support for the hypotheses and show that performance benefits from the internalization of ISO 9000 standards occur mainly through the development of human and organizational capital, and the consequent improvement in business processes. This study discusses theoretical and managerial implications, and presents directions for future research.

61 citations


Journal ArticleDOI
TL;DR: This research investigates how retail businesses may promote their products online to induce offline sales via social media-enabled online-to-offline (O2O) commerce in China, focusing on a country context where such an emerging e-commerce model is particularly prevalent.
Abstract: This research investigates how retail businesses may promote their products online to induce offline sales via social media-enabled online-to-offline (O2O) commerce. We focus on a country context where such an emerging e-commerce model is particularly prevalent, i.e., China. Key to leveraging this model is to attract consumer attention and stimulate their actions both online and offline, which may be achieved through information technology (IT)-enabled promotional approaches, such as administering banner adverts and digital coupons. The former focuses on communicating product attribute information, whereas the latter focuses on communicating incentives. Building on a collectivism cultural perspective, word-of-mouth (WOM) communication motives framework, and digital advertising literature, we hypothesize their different effects online (generating produce review) and offline (inducing sales). We first conducted a survey comparing consumers in China with their U.S. counterparts, and show that a cultural perspective is pertinent and valuable. We then collaborated with China's largest O2O social media website for restaurant reviews, and conducted a field investigation of consumer responses to the two promotional approaches. Our findings afford important insights for retail businesses seeking to leverage O2O commerce, and provide research implications to the areas of e-commerce and digital advertising.

60 citations


Journal ArticleDOI
TL;DR: A quantitative model using the evolution DSM and sensitivity DSM to measure the interaction strength between teams performing overlapped activities and results indicate that the clustered numerical DSM can reduce coordination time significantly.
Abstract: To gain competitive leverage, firms that design and develop complex products seek to optimize the organization structure in their new product development (PD) projects The overlapped process is a fundamental feature of concurrent engineering, which not only reduces project duration but also increases coordination, communication, and interaction between organizational units In order to reduce complexity of coordination, this paper proposes a design structure matrix (DSM) method for measuring interaction strength and clustering organizational units This paper analyzes the impact of overlapping on interaction strength between teams performing these overlapped activities Further, evolution DSM and sensitivity DSM are constructed for representing evolution degree and sensitivity degree Based on the concepts of overlapping ratio and relative coordination frequency, this paper proposes a quantitative model using the evolution DSM and sensitivity DSM to measure the interaction strength between teams performing overlapped activities The two-stage clustering criterion model is proposed for clustering numerical DSM, of which the first-stage clustering criterion is the maximization of the added average interaction strength of the selected organizational units and the second-stage clustering criterion is the minimization of the total coordination time of the PD project An industrial example is provided to illustrate the proposed model Results indicate that the clustered numerical DSM can reduce coordination time significantly The model yields and reinforces several managerial insights, including: how to analyze the interaction strength based on overlapping, the impact of interaction strength on clusters and coordination time

56 citations


Journal ArticleDOI
TL;DR: The nature of innovation is examined in terms of where it is generated and its degree of radicalness and an external environmental factor (dynamism) to identify the types of innovation that are more likely to succeed in different environments to find that in dynamic environments, the more radical and internally generated the innovations, the higher the company's perceived and objective performance.
Abstract: Innovation has become the cornerstone for achieving competitive advantage and is currently one of the principal topics of debate in the management literature. Innovations can be internally generated or can be adopted from external sources. Innovations also vary in terms of degree of radicalness. In this study, we examine the nature of innovation (in terms of where it is generated and its degree of radicalness) and an external environmental factor (dynamism) to identify the types of innovation that are more likely to succeed in different environments. Organizations expend substantial financial and human resources innovating. While some innovations succeed in enhancing organizational performance, many fail and may affect performance adversely in the short term. A sample of 381 Spanish firms was used to analyze how organizations, in order to be competitive, need to identify the appropriate type of strategies-in terms of innovation generation versus adoption, and extent of radicalness-that are consistent with the environmental conditions that they operate in. First, we find that in dynamic environments, the more radical and internally generated the innovations, the higher the company's perceived and objective performance. Second, we find that in stable environments, the less radical and more internally generated the innovations, higher the company's objective performance. Implications for theory and practice are discussed.

52 citations


Journal ArticleDOI
TL;DR: This paper presents an integrated framework for quantifying and monitoring project value in terms of the key attributes that matter to its stakeholders, and distinguishes four types of project value: desired, goal, likely, and actual.
Abstract: Projects should create value. That is the desire and plan, but uncertainties cloud the paths to this destination. All project work should add value in terms of both the resources consumed and the benefits provided (e.g., scope, quality, technical performance, features, and functions), yet adding value is not always straightforward. Conventional techniques such as earned value management focus on time and cost but do not address quality, uncertainty, risk, and opportunity. An integrated approach is needed to account for all of these. This paper presents an integrated framework for quantifying and monitoring project value in terms of the key attributes that matter to its stakeholders. The framework distinguishes four types of project value: desired , goal , likely , and actual . Project management is value management. Project goals, capabilities, risks, and opportunities are evaluated with respect to each key attribute of the desired value. The project value, risk, and opportunity framework is useful for project planning, monitoring, control, and tradeoff decision support. An example project, developing a drone aircraft, demonstrates the framework's application to project planning and monitoring, including setting project goals that balance risk and opportunity. New indices for risk, opportunity, and learning are introduced to track project progress and operationalize new constructs for researchers.

51 citations


Journal ArticleDOI
TL;DR: This work conducted an in-depth case study of a console game creation project to examine decision-making mechanisms and to explore how business models are formulated and how each mechanism influences subsequent tactics during the new product creation process.
Abstract: Effectuation and causation are two contrasting approaches to new business development. We argue that these two approaches are generic decision-making mechanisms that can coexist with one another and that they are configured in specific ways during different phases in the process of new product creation. These decision-making mechanisms are influenced by internal and external market factors: the nature of activities of a phase and the interplay between the business model and tactics. Our research framework is a generic two-stage competitive process that separates business models from tactics. We conducted an in-depth case study of a console game creation project to examine these decision-making mechanisms and to explore how business models are formulated and how each mechanism influences subsequent tactics during the new product creation process. Our findings suggest the following four decision-making configurations with unique modes of interplay between business models and tactics: effectuation centric, discovery centric, causation centric, and tactic centric. The theoretical insights on the linkage between decision-making mechanisms and business models have important practical implications for new product creation.

50 citations


Journal ArticleDOI
TL;DR: The concept of user empowerment is introduced and its critical role in regulating IS infusion is demonstrated, which helps managers promote user empowerment and eventually achieve IS infusion in organizations.
Abstract: Information systems (IS) investments fail largely because a newly implemented system is not fully infused into its users’ everyday life at work. IS infusion beyond an organization's mandated usage requires that users are actively motivated to use it and that they hold authority over usage of the system. Psychological empowerment represents one's motivational orientation, as well as one's authority to tap into a system's maximum potential. This empowerment is likely an important mechanism underlying successful IS infusion. The main objectives of this study are to: 1) understand the antecedents of empowerment; and 2) examine the effect of empowerment on IS infusion. We developed a theoretical model that was empirically tested through a field study, which focused upon individuals’ use of a customer relationship management system. The results strongly support our theoretical model and reveal that the design of a work environment (i.e., IS, job, and social structure) affects the development of user empowerment. User empowerment in-turn plays a prominent role in regulating various aspects of IS infusion (i.e., extended use, integrative use, and emergent use). Overall, this paper contributes to postadoption research by introducing the concept of user empowerment and demonstrating its critical role in regulating IS infusion. It also helps managers promote user empowerment and eventually achieve IS infusion in organizations.

49 citations


Journal ArticleDOI
TL;DR: This paper introduces a novel multiple-objective algorithm, the chaotic initialized multiple objective differential evolution with adaptive-mutation strategy-based time-cost tradeoff, to determine the execution mode that best optimizes the time- cost balance.
Abstract: Concurrent minimization of project time and project cost is an important issue in construction planning and management. Tradeoff optimization between these two variables is necessary to maximize overall construction project benefit. This paper presents a two-phase differential evolution (DE) model to resolve these problems. This model is able to effectively consider both time-cost effects and resource constraints. First, we introduce a novel multiple-objective algorithm, the chaotic initialized multiple objective differential evolution with adaptive-mutation strategy-based time-cost tradeoff, to determine the execution mode that best optimizes the time-cost balance. Subsequently, we introduce a DE-based resource-constrained method to generate a feasible schedule. A real construction case study is then used to illustrate the application of the proposed algorithm. Performance comparisons done with the nondominated sorting genetic algorithm, multiple objective particle swarm optimization, and multiple objective differential evolution further verify the efficiency and effectiveness of the proposed algorithm.

47 citations


Journal ArticleDOI
TL;DR: This study investigates the usability of a multiattribute utility approach named fuzzy analytic hierarchy process in decision making in technology standards battles and shows that it is possible to model the process of standard selection.
Abstract: In many markets, battles are fought over technology standards. Often, these battles result in a single standard that achieves dominance. Decision making in standards battles is complex due to the lack of insights about the factors that influence the outcome of such battles. These include the characteristics of the standard, the stakeholders, the standard supporters, and the standard support strategies. The importance of these factors determines the dominance of a technology standard. This study investigates the usability of a multiattribute utility approach named fuzzy analytic hierarchy process in decision making in technology standards battles. Three technology standards battles are analyzed using a fuzzy analytic hierarchy process approach. The empirical results show that the outcome of these standards battles is not fully characterized by path dependency, but that factors for standard dominance can be used to explain the outcome of these battles. We show that it is possible to model the process of standard selection. The fuzzy analytic hierarchy process decision support tool is useful to determine the relative weight of factors for standard dominance, and can be successfully used in decision-making problems relating to standardization.

Journal ArticleDOI
TL;DR: A model of software-as-a-service (SaaS) in a competitive marketplace that brings clarity to the choices that competing vendors must make for pricing and quality strategy is proposed and what matters is not how much a vendor can enhance service quality, but instead how costly it will be to improve quality enough to attract sufficient customer interest to achieve profitability.
Abstract: We propose a model of software-as-a-service (SaaS) in a competitive marketplace that brings clarity to the choices that competing vendors must make for pricing and quality strategy. We focus on several features of SaaS competition, including differences in vendor offerings, incomplete information on application functionality, the potential lock-in risk of SaaS clients, and their cost of learning about what it will take to make the vendors’ software work well. Clients can sample the fit costs of adoption, but can switch to another vendor. We obtained several findings through the use of a game-theoretic model. First, a client's switching cost is important for its decision-making regarding SaaS adoption. With a relatively high switching cost, a more cost-efficient vendor of IT services will be able to drive the less cost-efficient competitor out of its market. Second, the impact of the client's switching cost on vendors works differently. An increase in switching cost enables one vendor to charge a higher price and achieve higher profit, while the other will be forced to charge a lower price and hardly make a profit. Third, what matters is not how much a vendor can enhance service quality, but instead how costly it will be to improve quality enough to attract sufficient customer interest to achieve profitability.

Journal ArticleDOI
TL;DR: A quantitative analysis to show consumer adoption behavior for cloud computing services, particularly infrastructure as a service (IaaS), finds that the service fee and stability are the most critical adoption factors.
Abstract: The emergence of cloud computing services has led to an increased interest in the technology among the general public and enterprises marketing these services. Although there is a need for studies with a managerial relevance for this emerging market, the lack of market analysis hampers such investigations. Therefore, this study focuses on the end-user market for cloud computing in Korea. We conduct a quantitative analysis to show consumer adoption behavior for these services, particularly infrastructure as a service (IaaS). Bayesian mixed logit model and the multivariate probit model are used to analyze the data collected by a conjoint survey. From this analysis, we find that the service fee and stability are the most critical adoption factors. We also present an analysis on the relationship between terminal devices and IaaS, classified by core attributes such as price, stability, and storage capacity. From these relationships, we find that larger storage capacity is more important for mobile devices such as laptops than desktops. Based on the results of the analysis, this study also recommends useful strategies to enable enterprise managers to focus on more appropriate service attributes, and to target suitable terminal device markets matching the features of the service.

Journal ArticleDOI
Jifeng Mu1
TL;DR: It is suggested that networking capability and network structure need to be simultaneously considered and integrated to better account for performance.
Abstract: Considering the strategic effects of networking relationships on firm performance, it is important to understand how networking capability drives and exerts its impact on network structural relationships, which in turn affect new product development (NPD) performance. Grounded on dynamic capability view of the firm, we theorized that networking capability fosters NPD and plays a significant role in developing and affecting network structural relationships on NPD performance. We disaggregate networking capability into network partner finding capability and network managing capability. We tested our theoretical predictions, and the findings offer novel insights into the ability of firms in building network structural relationships that enable the firms to successfully develop and commercialize new products. We find that strong ties and bridge ties positively affect NPD performance only when firms have adequate networking capability (managing). Also, we illustrate that strong ties and bridge ties, respectively, mediate the positive relationship between networking capability (finding) and NPD performance. In addition, the findings demonstrate that the synergy of strong ties and bridge ties has highest impact on NPD performance when networking capability (managing) is high. This study, thus, suggests that networking capability and network structure need to be simultaneously considered and integrated to better account for performance.

Journal ArticleDOI
TL;DR: The findings of this study provided some general principles to integrate environmental management system (EMS) in quality management system(QMS) development and suggested an implementation of Continuous Improvement, which addresses, analyzes, prioritizes, and measures activities within the Deming wheel.
Abstract: In the last decade, industrial research for sustainable development and environment has become more strategically oriented, due to increasing of environmental pressures coming from local laws, stakeholders, and final customers. The goal of this research is to create a methodical approach for integrating the development of environmental and quality audits by prioritizing corrective actions (CA). The work starts and develops within a firm that produces smartcards for mobile phones, where environmental audits have been integrated with quality audits by a fuzzy inference engine that addresses gravity determinations of environmental and quality nonconformities. The findings of this study provided some general principles to integrate environmental management system (EMS) in quality management system (QMS) development and suggested an implementation of Continuous Improvement, which addresses, analyzes, prioritizes, and measures activities within the Deming wheel.

Journal ArticleDOI
TL;DR: These findings support the relevance of considering portfolio management governance to explain higher innovation outcomes and show that formality and explicitness, information support, as well as partial review frequency have a strong impact on the innovativeness of the firm's product portfolio.
Abstract: Past strategy and innovation research has basically ignored potential effects of portfolio management governance issues on portfolio innovativeness, and thereby on innovation management results such as firm performance. Building on the dynamic capabilities view, we hypothesize that portfolio management governance enhances firm performance by enabling higher levels of portfolio innovativeness through market and technological aspects. Our findings support the relevance of considering portfolio management governance to explain higher innovation outcomes. In particular, we can show that formality and explicitness, information support, as well as partial review frequency have a strong impact on the innovativeness of the firm's product portfolio. Consequently, higher technological and market innovativeness drives firm performance. We derive implications for both managers and researchers.

Journal ArticleDOI
TL;DR: The findings support the premise that a diverse supplier base and deep familiarity with individual suppliers stimulate firms' exploration and exploitation activities and clarify how determinants of firms' supply chain portfolios influence the developmental paths in the firm's evolution of exploration and exploit activities.
Abstract: This study investigates the influence of supply chain portfolios on the paradox of exploration and exploitation within interfirm collaborations. This study deploys two supply chain portfolio characteristics, supplier diversity and repeated partnerships, to explain the evolution of technological innovations and supply chain portfolios. It tests a set of hypotheses using a longitudinal study of 76 Taiwanese high-tech companies between 2001 and 2005. The findings support the premise that a diverse supplier base and deep familiarity with individual suppliers stimulate firms' exploration and exploitation activities. This study also finds that the threshold effects of these two characteristics on exploration activities clarify how determinants of firms' supply chain portfolios influence the developmental paths in the firm's evolution of exploration and exploitation activities.

Journal ArticleDOI
TL;DR: The results indicate that the use of electronic knowledge repositories and succession planning reduce the negative effect of turnover on the project performance, while job enlargement does not have a significant mitigating effect.
Abstract: Team member turnover presents significant risks to the performance of information systems development (ISD) projects. While prior studies have identified various antecedents of turnover with the general objective of reducing its occurrence, turnover cannot be completely prevented in practice. This study examines practices for mitigating the negative impact of turnover when it occurs. Since ISD is knowledge intensive and turnover typically involves knowledge degradation, this study focuses on key practices for reducing such knowledge degradation, i.e., job enlargement, use of electronic knowledge repositories, and succession planning. Our model for explaining the effects of the practices, based on the human capital and organizational forgetting theories, is tested through a survey of 138 project managers of ISD teams experiencing turnover. The results indicate that the use of electronic knowledge repositories and succession planning reduce the negative effect of turnover on the project performance. In contrast, job enlargement does not have a significant mitigating effect. This study contributes to research by looking beyond the antecedents and prevention of turnover to understand how it can be managed effectively. The findings also offer pragmatic suggestions for alleviating the detrimental effects of team member turnover on the ISD project performance.

Journal ArticleDOI
TL;DR: The study reveals how IT departments can develop appropriate and positive organizational identity at various stages of organizational development and proposes an important concept, organizational identity of IT department which encourages organization members to achieve IT-enabled enterprise agility.
Abstract: An ongoing challenge that enterprises currently face is that of fostering agile mindsets and behaviors among employees as necessary to achieve enterprise agility by leveraging IT. Although existing studies focus on the shortening business processes and adopting agile methods of system implementation, little attention is directed toward the “people” factor as a critical factor in enterprise agility. As a means to inspire agile mindsets and behaviors in employees, our study proposes an important concept, organizational identity of IT department which encourages organization members to achieve IT-enabled enterprise agility. We term such an identity as IT organizational identity. As rapid environmental changes continue, a firm's IT department should develop different types of IT organizational identities to maintain agile behaviors and mindsets among its employees. Therefore, our study reveals how IT departments can develop appropriate and positive organizational identity at various stages of organizational development.

Journal ArticleDOI
TL;DR: The results show that the relationship between operational practices and safety outcomes is nuanced with just-in-time harming worker safety, an impact that can be mitigated by the adoption of team-based work up to a point.
Abstract: One of the most fundamental indicators of a facility's social sustainability is the health and safety of its workers. Yet the literature provides little guidance for engineering managers, workers or researchers trying to understand how practices designed to enhance productivity will impact the safety of operational workers. The present research addresses that gap by simultaneously examining operational “best” practices such as quality management and just-in-time and performance outcomes such as productivity and worker safety. To control for the myriad of potential problems with self-reports of worker safety performance, we match secondary data provided by the state of Oregon with managers' self-reported responses to operational practices. The results show that the relationship between operational practices and safety outcomes is nuanced with just-in-time harming worker safety, an impact that can be mitigated by the adoption of team-based work up to a point, as the relationship between JIT and team-based work is U-shaped.

Journal ArticleDOI
TL;DR: The HR challenges are examined and the complex realities of enacting product-service (PS) strategies in practice are revealed, revealing that even where services have proved profitable, firms may still encounter various HR challenges, and struggle to fully exploit their service strategies.
Abstract: Many global engineering organizations have gradually shifted away from the provision of tangible products toward the provision of high-value-combined product-service solutions. This business paradigm is purported to represent a key strategic opportunity for such firms, and has attracted the attention of practitioners, consultants, and researchers. However, it has also been recognized that many firms fail to generate increased financial returns, the so-called the “service paradox.” Despite an emerging international research literature which alludes to cultural and human resource challenges, few studies have explicitly explored such issues from a human resource (HR) perspective. Informed by two in-depth case studies of global engineering organizations in the U. K., this paper examines the HR challenges and reveals the complex realities of enacting product-service (PS) strategies in practice. It reveals that even where services have proved profitable, firms may still encounter various HR challenges, and struggle to fully exploit their service strategies. Addressing such challenges may represent a key enabler in delivering integrated product-services in organizations attempting to mesh distinctive engineering and service paradigms.

Journal ArticleDOI
TL;DR: An investigation of the appropriability regimes adopted by Australian firms through an empirical analysis of innovation-related data was undertaken and found that the relationship between two indicators of openness and the scope of Appropriability regimes employed by a firm exhibits a nonlinear inverse-U (∩) form.
Abstract: The adoption of open innovation creates a dilemma for firms. On one hand, a commitment to openness facilitates the flow of knowledge between firms, with this flow (generally) unconstrained by royalties and other appropriation mechanisms. However, openness has also led to unintended knowledge spillovers, limiting firms' abilities to protect their core knowledge. This dilemma has created a need to consider the relationship between openness and firms' appropriability regimes. In order to explore this “paradox of openness,” an investigation of the appropriability regimes adopted by Australian firms through an empirical analysis of innovation-related data from 4 322 businesses was undertaken. It was found that the relationship between two indicators of openness (the breadth of external knowledge sources and the scope of interorganizational collaborations) and the scope of appropriability regimes employed by a firm exhibits a nonlinear inverse-U (∩) form. The results also indicated that open innovators actually increase controls on their intellectual property through informal appropriability regimes rather than loosening appropriability mechanisms to promote knowledge spillovers as open innovation theories suggest.

Journal ArticleDOI
TL;DR: The results suggest that serious incentive misalignments may impede supply-chain-wide information sharing, even though it maximizes the value to the supply chain, and that a mechanism to distribute the overall surplus equitably may become essential.
Abstract: This paper studies the incentive issues that arise when firms in a multilevel supply chain create value jointly by investing in information sharing. We consider three types of information sharing: (1) supply-chain-wide information sharing; (2) downstream information sharing; and (3) upstream information sharing. We showed that the value of information sharing is higher for the upstream firms than for downstream firms regardless of information sharing type. Furthermore, the value of information sharing for any firm is higher under downstream information sharing than upstream information sharing, and the incremental value of information sharing to a firm decreases when more downstream firms share information. Therefore, if there is a cost associated with information sharing, then upstream firms have an incentive to free ride on downstream firms' information sharing efforts. These results suggest that serious incentive misalignments may impede supply-chain-wide information sharing, even though it maximizes the value to the supply chain, and that a mechanism to distribute the overall surplus equitably may become essential. If a contract distributes the surplus according to each firm's incremental contribution to it, then firms that are in the middle levels of the supply chain receive a higher share than those that are in either end of the supply chain. That is, interestingly, neither the firm that possesses the information that is propagated throughout the supply chain by information sharing nor the most upstream firm realizes the highest value from information sharing obtains the maximum share of the surplus generated under such a contract.

Journal ArticleDOI
TL;DR: A novel soft-computing approach based on the vibration theory called vibration damping optimization (VDO) to solve the RQLAP and develops a multiobjective version of the VDO called multi objective VDO (MOVDO) based onThe fast nondominated sorting and crowding distance concepts in the literature.
Abstract: Redundancy queuing-location-allocation problems (RQLAPs) involve the economical allocation of facilities, each with a number of servers, to suitable locations with appropriate levels of redundancy or reliability. The goal in RQLAPs is to find the facilities which are both inexpensive and reliable. We take into consideration the congestion of the system by modeling each facility as an M/M/m queuing system and formulate the problem as a multiobjective nonlinear mixed integer programming problem. However, these problems are nondeterministic polynomial-time hard (NP-hard) problems where an exact solution cannot be produced in polynomial time. We propose a novel soft-computing approach based on the vibration theory called vibration damping optimization (VDO) to solve the RQLAP. We develop a multiobjective version of the VDO called multiobjective VDO (MOVDO) based on the fast nondominated sorting and crowding distance concepts in the literature. The performance of the proposed MOVDO is statistically compared with two other commonly used metaheuristic algorithms called the nondominated sorting genetic algorithm and multiobjective simulated annealing. A comparison of the results based on different problem sizes favors the MOVDO method proposed in this study.

Journal ArticleDOI
TL;DR: A new approach to identify emerging customer needs in the growing popular online interactive environment with customer participation is reported, using the Bayes factor to calculate the likelihood that current offering cannot meet the customer's requirements whenever a new specification is incorporated.
Abstract: Rapid changes of new technologies, market dynamics, and swift fluctuation of customer tastes acerbate the needs for companies to identifying the emerging customer requirements and incorporate them in the conceptual design stage. Discovering emerging customer needs has great potential to create new product opportunities for the success of business. However, identifying customers' requirements in an early design stage has not been well addressed in the traditional design methodology. Because emerging needs are usually not obvious at the budding stage, the related observations are rare in dataset. Traditional methods fall short of providing enough support of eliciting the below-the-radar needs. This paper reports a new approach to identify emerging customer needs in the growing popular online interactive environment with customer participation. The Bayes factor, a methodology to quantify the occurrence possibility of a certain event, is used to calculate the likelihood that current offering cannot meet the customer's requirements whenever a new specification is incorporated. With the sequential input from customers, a series of the Bayes factor value can then be calculated as the weight of evidence that emerging customer needs appear. We show that the decreased value will be the potentially emerging needs which cannot be satisfied by the current product family. Numerical and analytical results are derived to demonstrate the viability and effectiveness of the proposed approach.

Journal ArticleDOI
TL;DR: This study addresses the understudied question of how content integrity for digital goods is signaled ex-ante in the absence of centralized oversight in self-organizing platforms by building on signaling theory to theorize three classes of signals to explain how they influence platform user behavior.
Abstract: This study addresses the understudied question of how content integrity for digital goods is signaled ex-ante in the absence of centralized oversight in self-organizing platforms. We build on signaling theory to theorize three classes of signals to explain how and why they influence platform user behavior. Experimental data from 380 users show that in the absence of centralized oversight in platforms a portfolio of signaling mechanisms is used to assess content integrity. Platform users differentially weigh platform, content, and contributor signals but simultaneously triangulate them to form holistic inferences about risk vis-a-vis benefit to spot potential “lemons” in a platform market. Implications for practice, especially for platform design, are also discussed.

Journal ArticleDOI
TL;DR: This research aims to investigate the supply chain scenarios for their relevant performance at the conceptual design stage and shows that the decentralized supply chain scenario is advantageous for the time performance of the supply network network, whereas the centralized supply chain situation demonstrates superiority on the cost performance.
Abstract: Design for supply chain has become an essential consideration while designing a new product. Previous studies pointed out that early supplier involvement can contribute to the success of the product development and enhance the competitive advantage of the enterprise. However, most of the studies coordinating supplier selection and supply chain configuration make these decisions during the detail design stage, which is the last phase of product design. This research aims to investigate the supply chain scenarios for their relevant performance at the conceptual design stage. The performance of different supply chain scenarios (i.e., centralized and decentralized), are compared and discussed. The results show that the decentralized supply chain scenario is advantageous for the time performance of the supply chain network, whereas the centralized supply chain scenario demonstrates superiority on the cost performance.

Journal ArticleDOI
TL;DR: The remanufacturing cost threshold at which the re manufacturing option is exercised is derived, and extensive sensitivity analysis is performed to examine how the reManufacturing cost uncertainty and other factors influence the re Manufacturing decision.
Abstract: In this paper, we consider a firm that leases a single product to a service provider under the assumption that this firm can decide when to replace the leased product and remanufacture it. The cost of remanufacturing is assumed to follow a geometric Brownian motion process, which is characterized by its drift and volatility. Under these assumptions, we construct and analyze a basic real options model for product remanufacturing. Specifically, we derive the remanufacturing cost threshold at which the remanufacturing option is exercised. We also perform extensive sensitivity analysis to examine how the remanufacturing cost uncertainty and other factors influence the remanufacturing decision. Furthermore, we present an extension where a remanufacturing subsidy and a disposal fee by the government are considered. The impacts of these economic instruments on the remanufacturing decision as well as on the environment are investigated.

Journal ArticleDOI
TL;DR: Empirical results obtained from a survey of small- and medium-sized technology-based manufacturing firms in Korea show that while relative exploration generally remains lower in mature firms than in new firms, it more rapidly increases in maturity firms when they operate in adverse environments.
Abstract: This study investigates how firm age and environmental adversity influence exploration and exploitation and whether the balance between them increases new product development. We also examine if new product development in new and mature firms leads to equivalent growth rates. Empirical results obtained from a survey of small- and medium-sized technology-based manufacturing firms in Korea show that while relative exploration generally remains lower in mature firms than in new firms, it more rapidly increases in mature firms when they operate in adverse environments. Interestingly, our results show that mature firms achieve lower growth rates through new product development than new firms in adverse environments. These empirical findings advance our understanding of the age-dependent antecedents and consequences of new product development.

Journal ArticleDOI
TL;DR: The clustering method can tailor a clustered matrix for specific change requests and handle two types of matrices, and the utility and flexibility of the proposed method to manage matrix-based change propagation are supported.
Abstract: Due to the presence of dependence linkages, changing one element of a product (e.g., functions and components) can trigger changes to other related elements and lead to numerous possible propagation paths (i.e., the “snowball effect”). To address this issue, this paper proposes the matrix-based clustering method. Two matrix models are considered in this research: design structure matrix for the linkages of components and domain mapping matrix for the linkages of functions and parameters. After denoting some product elements as “target” representing the initial changes, the clustering method is used to form and classify the clusters according to the change impacts from target elements. The interfaces between the clusters are also identified to manage the propagation process. The purpose of this method is to provide the cluster and interface information for implementing change requests. In view of the methodical advancement, the clustering method can tailor a clustered matrix for specific change requests and handle two types of matrices. Two examples have been used to demonstrate and support the utility and flexibility of the proposed method to manage matrix-based change propagation.