Business education in operations management

This paper examines trends in the practice of Operations Management and in teaching the field in major Business Schools. Operations Management has been defined as the design and management of transformation processes that create value for society. The operations function is the one function directly involved in that transformation, and hence is directly responsible for the activities that justify the existence of the firm, both economically and as a value-creating organization in society. The top rated schools in Operations Management are the top-rated research-intensive Business Schools in the world. Operations Management is an area that has been undergoing rapid change in response to changes in business practices worldwide. It is at the heart of changes of which the AACSB report Management Education at Risk, August 2002 (p 20), comments of Business Schools in general: ‘With regard to global relevance (of Business Schools), the complex opportunities and challenges that emanate from the world scope of operations, outsourcing, supply chains, partnerships, and financial and consumer markets – all linked in real time through the Internet – are not reflected adequately in curricula and learning approaches.’ Products, and even services, depend increasingly on advanced technology. This is true globally and especially so for countries in South East and East Asia, from which Australian Universities draw a significant number of students. Services operations management has become much more important, while there are both educational and industrial needs in management science or operations research.

Crocodile farms and management of saltwater crocodiles in Northern Territory: Results of a survey of NT crocodile farmers plus analysis of secondary information

After outlining some relevant background information about the NT crocodile farming industry and explaining the purpose of our survey of NT crocodile farmers conducted in the first half of 2005, this paper reports the results of the survey. The information received from the survey is supplemented by secondary data and by information from secondary sources. This report covers the location of respondents; the size of crocodile farms; farmers’ stated knowledge of and attitudes towards the NT Crocodile Management Plan; the involvement of farms in the harvesting of crocodile eggs and the costs involved; views of crocodile farmers about whether the NT Crocodile Management Plan encourages landholders to conserve crocodiles and their perceptions of the benefits to landholders; predicted production trends and trends in the number of farms operating in NT; economic characteristics of crocodile farms producing in NT including the economic advantages and disadvantages of crocodile farming in NT. Concluding comments provide, amongst other things, an overview of the structure of the crocodile farming industry in the NT gleaned from a consideration of data available from the NT Government’s Department of Business, Industry and Resource Development.

Constraints to organizational learning during major change at a mental health services facility

This paper explains what happened during a three years long qualitative study at a mental health services organization. The study focuses on differences between espoused theory and theory in use during the implementation of a new service delivery model. This major organizational change occurred in a National policy environment of major health budget cutbacks. Primarily as a result of poor resourcing provided to bring about policy change and poor implementation of a series of termination plans, a number of constraints to learning contributed to the difficulties in implementing the new service delivery model. The study explores what occurred during the change process. Rather than blame participants of change for the poor outcomes, the study is set in a broader context of a policy environment—that of major health cutbacks.

Perceptions of organisational subculture and their significance for organisational commitment

This paper investigates the relationship between perceptions of organisational culture, organisational subculture, leadership style, and commitment. The impact of culture and leadership style on commitment has been previously noted, but there is a lack of detail regarding how different types of culture and leadership styles relate to commitment. The paper particularly addresses the notion of organisational subcultures and how the perception of those cultures relates to commitment, subculture being a neglected variable in the commitment literature. These issues were addressed in a survey of 258 nurses drawn from a range of hospital settings and wards within the Sydney metropolitan region. Results indicate that perceived organisational subculture has a strong relationship with commitment. Furthermore, the results identify the relative strength of specific types of leadership style and specific types of subculture with commitment. Both innovative and supportive subcultures have a clear positive relationship, while bureaucratic subcultures have a negative relationship. In terms of leadership style, a consideration style had a stronger relationship with commitment than a structuring style. Regression analysis was used to investigate the possible role of subculture as a mediator for the influence of leadership on commitment. Both direct and indirect effects of leadership on commitment were found. Implications for practice and for further research are discussed.

Business communication in interactions between mainland Chinese and western firms through Hong Kong Chinese intermediaries

Purpose-The paper aims to analyse the nature of business communication and its influence on relationships development between Hong Kong Chinese intermediaries sourcing from Mainland Chinese sellers involved in manufacturing for sale to Western buyer firms. Design/methodology/approach-A case study-driven methodology with purposeful sampling is applied to yield maximum variation in the sampling to elicit underlying tendencies and generative mechanisms that exist within and across the multiple cases of relationships. Findings-The paper finds that Mainland Chinese sellers and Hong Kong Chinese intermediaries tend not to have the close ties that might be expected. Mainland Chinese sellers constrained their use of social information, requiring Hong Kong Chinese intermediaries to use commercial information transfers to evaluate the trustworthiness of their Mainland Chinese partners. An ingroup/outgroup bias exacerbates the modesty bias of the Mainland Chinese and also hinders learning through the transfer of technical information within these Chinese interactions. On the other hand, Western buyers tend not to prefer social information interactions with their Hong Kong Chinese intermediaries, requiring these intermediaries to emphasise commercial information interactions to evaluate the trustworthiness of their Western buyers. Research limitations/implications-This research uses a restricted sample of case study respondents. Representative sampling across multiple contexts will assist in testing the generality of the findings. Practical implications-For the West to source increasingly attractive manufactures from Mainland China, Hong Kong intermediaries will remain fundamentally important even though this creates further interactions. The aggregate of these multiple exchange arrangements is less problematic than would be the case if Western business were to deal directly with the Mainland Chinese. Originality/value-This article sheds light on the nature of business communication interactions in a group of relationships between Hong Kong Chinese intermediaries and Mainland sellers, and buyers from the West. Implications for relationships development among the Chinese and Western actors are identified with propositions framed to guide further investigation.

Accounting for management costs in sensitivity analyses of matrix population models

Traditional sensitivity and elasticity analyses of matrix population models have been used to p inform management decisions, but they ignore the economic costs of manipulating vital rates. For exam le, the growth rate of a population is often most sensitive to changes in adult survival rate, but this does not mean that increasing that rate is the best option for managing the population because it may be much more expensive than other options. To explore how managers should optimize their manipulation of vital rates, we incorporated the cost of changing those rates into matrix population models. We derived analytic expressions for locations in parameter space where managers should shift between management of fecundity and survival, for the balance between fecundity and survival management at those boundaries, and for the allocation of management resources to sustain that optimal balance. For simple matrices, the optimal budget allocation can often be expressed as simple functions of vital rates and the relative costs of changing them. We applied our method to management of the Helmeted Honeyeater (Lichenostomus melanops cassidix; an endangered Australian bird) and the koala (Phascolarctos cinereus) as examples. Our method showed that cost-efficient management of the Helmeted Honeyeater should focus on increasing fecundity via nest protection, whereas optimal koala management should focus on manipulating both fecundity and survival simultaneously, These findings are contrary to the cost-negligent recommendations of elasticity analysis, which would suggest focusing on managing survival in both cases. A further investigation of Helmeted Honeyeater management options, based on an individual-based model incorporating density dependence, spatial structure, and environmental stochasticity, confirmed that fecundity management was the most cost-effective strategy. Our results demonstrate that decisions that ignore economic factors will reduce management efficiency.