Managing Quality under Heterogeneous Consumer Demand and Product Quality, October 2005

Based on accepted advances in the marketing, economics, consumer behavior, and satisfaction literatures, we develop a micro-foundations model of a firm that needs to manage the quality of a product that is inherently heterogeneous in the presence of varying customer tastes or expectations for quality. Our model blends elements of the returns to quality, customer lifetime value, and service profit chain approaches to marketing. The model is then used to explain several empirical results pertaining to the marketing literature by explicitly articulating the trade-offs between customer satisfaction and costs (including opportunity costs) of quality. In this environment firms will find it optimal to allow some customers to go unsatisfied. We show that the relationship between the expected number of repeated purchases by an individual customer is endogenous to the choice of quality by the firm, indicating that the number of purchases cannot be chosen freely to estimate a customer’s lifetime value.

Quality and Competition: An Empirical Analysis across Industries, March 2006

This paper empirically explores the link between quality and concentration in a cross-section of manufactured goods. Using concentration data and product quality indicators, an ordered probit estimation explores the impact of concentration on quality that is defined as an index of quality characteristics. The results demonstrate that market concentration and quality are positively correlated across different industries. When industry concentration increases, the likelihood of the product being higher quality increases and the likelihood of observing a lower quality decreases.

Labeling Regulations and Segregation of First- and, Second-Generation Genetically Modified Products: Innovation Incentives and Welfare Effects, April 2005

We review some of the most significant issues and results on the economic effects of genetically modified (GM) product innovation, with emphasis on the question of GM labeling and the need for costly segregation and identity preservation activities. The analysis is organized around an explicit model that can accommodate the features of both first-generation and second-generation GM products. The model accounts for the proprietary nature of GM innovations and for the critical role of consumer preferences vis-à-vis GM products, as well as for the impacts of segregation and identity preservation and the effects of a mandatory GM labeling regulation. We also investigate briefly a novel question in this setting, the choice of “research direction”when both cost-reducing and quality-enhancing GM innovations are feasible.

Vertical Product Differentiation, Entry-Deterrence Strategies, and Entry Qualities, September 2005

We analyze the entry of a new product into a vertically differentiated market in which an entrant and an incumbent compete in prices. Here the entry-deterrence strategies of the incumbent firm rely on “limit qualities.” With a sequential choice of quality, a quality-dependent marginal production cost, and a fixed entry cost, we relate the entry-quality decision and the entry-deterrence strategies to the level of entry cost and the degree of consumer heterogeneity. Quality-dependent marginal production costs in the model entail the possibility of inferior-quality entry as well as an incumbent’s aggressive entry-deterrence strategies of increasing its quality level toward potential entry. Welfare evaluation confirms that social welfare is not necessarily improved when entry is encouraged rather than deterred.

Field Evaluation of Timber Preservation Treatments for Highway Applications Final Report, December 2007

Timber material repair and replacement cost for timber bridges is a considerable expense to highway agencies in Iowa, especially to county road departments. To address these needs, the objectives of this investigation was to study the field effectiveness of various treatment alternatives used on Iowa roadway projects and to determine if the current specifications and testing are adequate for providing proper wood preservation. To satisfy the research needs, the project scope involved a literature review, identification of metrics, questionnaire survey of Iowa counties, onsite inspections, and a review of current specifications and testing procedures. Based on the preservative information obtained, the following general conclusions were made: Copper naphthenate is recommended as the plant-applied preservative treatment for timber bridges. Best Management Practices should be followed to ensure quality treatment of timber materials. Bridge maintenance programs need to be developed and implemented. The Iowa Department of Transportation specifications for preservative treatment are the regulating specification for bridges constructed with state or federal funding in Iowa and are also recommended for all other bridges.

Testing Guide for Implementing Concrete Paving Quality Control Procedures, March 2008

Construction of portland cement concrete pavements is a complex process. A small fraction of the concrete pavements constructed in the United States over the last few decades have either failed prematurely or exhibited moderate to severe distress. In an effort to prevent future premature failures, 17 state transportation agencies pooled their resources, and a pooled fund research project, Material and Construction Optimization for Prevention of Premature Pavement Distress in PCC Pavements, was undertaken in 2003. Its purpose was to evaluate existing quality control tests, and then select and advance the state-of-the-practice of those tests most useful for optimizing concrete pavements during mix design, mix verification, and construction. This testing guide is one product of that project. The guide provides three recommended testing schemes (Levels A, B, and C, depending on a pavement’s design life and traffic volumes, etc.) that balance the costs of testing with the risk of failure for various project types. The recommended tests are all part of a comprehensive suite of tests described in detail in this guide.

Asphalt Cement Concrete Longitudinal Joint Adhesive Crafco PN 34524 (Iowa DOT New Product C-98-7), HR-2084, 2000

The joint between two lanes of asphalt pavement is often the first area of a roadway which shows signs of deterioration and requires maintenance. As the final lift of hot asphalt is being placed in a construction project, it is being forced p against the adjoining lane of cold asphalt, forming the longitudinal joint. The mating of the two lanes, to form a high quality seal, is often not fully successful and later results in premature stripping or raveling as water enters the unsealed joint. The application of a hot poured rubberized asphaltic joint sealant along the joint face in the final stage of construction should help to form a watertight joint seal. A new product, especially formulated for the longitudinal joint in asphalt pavements was proposed to improve joint sealing. The following describes the experimental application of the new product, Crafco, PN 34524.

Field Evaluation of Quality Management Concrete, MLR-97-3, 1998

Quality management concrete allows the contractor to develop the mix design for the portland cement concrete. This research was initiated to gain knowledge about contractor mix designs. An experiment was done to determine the variation in cylinders, beams, and cores that could be used to test the strength of the contractor's mix. In addition, the contractor's cylinder strengths and gradations were analyzed for statistical stability and process capability. This research supports the following conclusions: (1) The mold type used to cast the concrete cylinders had an effect on the compressive strength of the concrete. The 4.5-in. by 9-in. (11.43-cm by 22.86-cm) cylinders had lower strength at a 95% confidence interval than the 4-in. by 8-in. (10.16-cm by 20.32-cm) and 6-in. by 12-in. (15.24-cm by 30.48-cm) cylinders. (2) The low vibration consolidation effort had the lowest strength of the three consolidation efforts. In particular, an interaction occurred between the low vibration effort and the 4.5-in. by 9-in. (11.43-cm by 22.86-cm) mold. This interaction produced very low compressive strengths when compared with the other consolidation efforts. (3) A correlation of 0.64 R-squared was found between the 28 day cylinder and 28 day compressive strengths. (4) The compressive strength results of the process control testing were not in statistical control. The aggregate gradations were mostly in statistical control. The gradation process was capable of meeting specification requirements. However, many of the sieves were off target. (5) The fineness modulus of the aggregate gradations did not correlate well with the strength of the concrete. However, this is not surprising considering that the gradation tests and the strength tests did not represent the same material. In addition, the concrete still has many other variables that will affect its strength that were not controlled.

Assessment of Nondestructive Testing Technologies for Quality Control/Quality Assurance of Asphalt Mixtures, TR-653, 2015

Asphalt pavements suffer various failures due to insufficient quality within their design lives. The American Association of State Highway and Transportation Officials (AASHTO) Mechanistic-Empirical Pavement Design Guide (MEPDG) has been proposed to improve pavement quality through quantitative performance prediction. Evaluation of the actual performance (quality) of pavements requires in situ nondestructive testing (NDT) techniques that can accurately measure the most critical, objective, and sensitive properties of pavement systems. The purpose of this study is to assess existing as well as promising new NDT technologies for quality control/quality assurance (QC/QA) of asphalt mixtures. Specifically, this study examined field measurements of density via the PaveTracker electromagnetic gage, shear-wave velocity via surface-wave testing methods, and dynamic stiffness via the Humboldt GeoGauge for five representative paving projects covering a range of mixes and traffic loads. The in situ tests were compared against laboratory measurements of core density and dynamic modulus. The in situ PaveTracker density had a low correlation with laboratory density and was not sensitive to variations in temperature or asphalt mix type. The in situ shear-wave velocity measured by surface-wave methods was most sensitive to variations in temperature and asphalt mix type. The in situ density and in situ shear-wave velocity were combined to calculate an in situ dynamic modulus, which is a performance-based quality measurement. The in situ GeoGauge stiffness measured on hot asphalt mixtures several hours after paving had a high correlation with the in situ dynamic modulus and the laboratory density, whereas the stiffness measurement of asphalt mixtures cooled with dry ice or at ambient temperature one or more days after paving had a very low correlation with the other measurements. To transform the in situ moduli from surface-wave testing into quantitative quality measurements, a QC/QA procedure was developed to first correct the in situ moduli measured at different field temperatures to the moduli at a common reference temperature based on master curves from laboratory dynamic modulus tests. The corrected in situ moduli can then be compared against the design moduli for an assessment of the actual pavement performance. A preliminary study of microelectromechanical systems- (MEMS)-based sensors for QC/QA and health monitoring of asphalt pavements was also performed.

Investigation of High Density Polyethylene Pipe for Highway Applications, HR-373, Phase 1, 1996

In the past, culvert pipes were made only of corrugated metal or reinforced concrete. In recent years, several manufacturers have made pipe of lightweight plastic - for example, high density polyethylene (HDPE) - which is considered to be viscoelastic in its structural behavior. It appears that there are several highway applications in which HDPE pipe would be an economically favorable alternative. However, the newness of plastic pipe requires the evaluation of its performance, integrity, and durability; A review of the Iowa Department of Transportation Standard Specifications for Highway and Bridge Construction reveals limited information on the use of plastic pipe for state projects. The objective of this study was to review and evaluate the use of HDPE pipe in roadway applications. Structural performance, soil-structure interaction, and the sensitivity of the pipe to installation was investigated. Comprehensive computerized literature searches were undertaken to define the state-of-the-art in the design and use of HDPE pipe in highway applications. A questionnaire was developed and sent to all Iowa county engineers to learn of their use of HDPE pipe. Responses indicated that the majority of county engineers were aware of the product but were not confident in its ability to perform as well as conventional materials. Counties currently using HDPE pipe in general only use it in driveway crossings. Originally, we intended to survey states as to their usage of HDPE pipe. However, a few weeks after initiation of the project, it was learned that the Tennessee DOT was in the process of making a similar survey of state DOT's. Results of the Tennessee survey of states have been obtained and included in this report. In an effort to develop more confidence in the pipe's performance parameters, this research included laboratory tests to determine the ring and flexural stiffness of HDPE pipe provided by various manufacturers. Parallel plate tests verified all specimens were in compliance with ASTM specifications. Flexural testing revealed that pipe profile had a significant effect on the longitudinal stiffness and that strength could not be accurately predicted on the basis of diameter alone. Realizing that the soil around a buried HDPE pipe contributes to the pipe stiffness, the research team completed a limited series of tests on buried 3 ft-diameter HDPE pipe. The tests simulated the effects of truck wheel loads above the pipe and were conducted with two feet of cover. These tests indicated that the type and quality of backfill significantly influences the performance of HDPE pipe. The tests revealed that the soil envelope does significantly affect the performance of HDPE pipe in situ, and after a certain point, no additional strength is realized by increasing the quality of the backfill.

Evaluation of the Consolid System of Soil Stabilization, MLR-86-10, 1987

The Consolid System by American Consolid Inc. is a three product system that, according to product literature, "enables any soil, found anywhere, to be upgraded to achieve better characteristics necessary in improving road life and quality". Consolid was evaluated along with mixes of cement-fly ash and hydrated lime on two soils. The soils were an A-2-4(0) with zero plasticity index and an A-7-8(18) with a 31 plasticity index. American Consolid Inc. recommended an application rate of 0.10% Consolid 444 and 1.00% Conservex by dry soil weight. The application rate chosen for cement-fly ash was 5% cement and 15% fly ash and for hydrated lime it was 6.5%. Testing involved triaxial testing of specimens after water soaking, unconfined compressive strength of specimens before and after water soaking, and freeze and thaw testing of specimens after water soaking. All specimens were compacted to standard proctor at optimum moisture. The cement-fly ash treated mixes had the highest strength and durability followed by the hydrated lime treated mixes.

Embankment Quality Phase IV: Application to Unsuitable Soils, TR-492, 2007

The Quality Management Earthwork (QM-E) special provision was implemented on a pilot project to evaluate quality control (QC) and quality assurance (QA) testing in predominately unsuitable soils. Control limits implemented on this pilot project included the following: 95% relative compaction, moisture content not exceeding +/- 2% of optimum moisture content, soil strength not exceeding a dynamic cone penetrometer (DCP) index of 70 mm/blow, vertical uniformity not exceeding a variation in DCP index of 40 mm/blow, and lift thickness not exceeding depth determined through construction of control strips. Four-point moving averages were used to allow for some variability in the measured parameter values. Management of the QC/QA data proved to be one of the most challenging aspects of the pilot project. Implementing use of the G-RAD data collection system has considerable potential to reduce the time required to develop and maintain QC/QA records for projects using the QM-E special provision. In many cases, results of a single Proctor test were used to establish control limits that were used for several months without retesting. While the data collected for the pilot project indicated that the DCP index control limits could be set more tightly, there is not enough evidence to support making a change. In situ borings, sampling, and testing in natural unsuitable cut material and compacted fill material revealed that the compacted fill had similar strength characteristics to that of the natural cut material after less than three months from the start of construction.

Evaluation of Deicing Materials and Corrosion Reducing Treatments for Deicing Salts, TR-471, 2007

Effective winter maintenance makes use of freezing-point-depressant chemicals (also known as ice-control products) to prevent the formation of the bond between snow and ice and the highway pavement. In performing such winter maintenance, the selection of appropriate ice-control products for the bond prevention task involves consideration of a number of factors, as indicated in Nixon and Williams (2001). The factors are in essence performance measurements of the ice-control products, and as such can be easily incorporated into a specification document to allow for selection of the best ice-control products for a given agency to use in its winter maintenance activities. Once performance measures for de-icing or anti-icing chemicals have been specified, this allows the creation of a quality control program for the acceptance of those chemicals. This study presents a series of performance measurement tests for ice-control products, and discusses the role that they can play in such a quality control program. Some tests are simple and rapid enough that they can be performed on every load of icecontrol products received, while for others, a sampling technique must be used. An appropriate sampling technique is presented. Further, each test is categorized as to whether it should be applied to every load of ice-control products or on a sampling basis. The study includes a detailed literature review that considers the performance of ice-control products in three areas: temperature related performance, product consistency, and negative side effects. The negative side effects are further broken down into three areas, namely operational side effects (such as chemical slipperiness), environmental side effects, and infrastructural side effects (such as corrosion of vehicles and damage to concrete). The review indicated that in the area of side effects the field performance of ice-control products is currently so difficult to model in the laboratory that no particular specification tests can be recommended at this time. A study of the impact of ice-control products on concrete was performed by Professor Wang of Iowa State University as a sub-contract to this study, and has been presented to the Iowa Highway Research Board prior to this report.