Using DEA and simulation in guiding operating units to improved performance

The potential for the use of DEA and simulation in a mutually supporting role in guiding operating units to improved performance is presented. An analysis following a three-stage process is suggested. Stage one involves obtaining the data for the DEA analysis. This can be sourced from historical data, simulated data or a combination of the two. Stage two involves the DEA analysis that identifies benchmark operating units. In the third stage simulation can now be used in order to offer practical guidance to operating units towards improved performance. This can be achieved by the use of sensitivity analysis of the benchmark unit using a simulation model to offer direct support as to the feasibility and efficiency of any variations in operating practices to be tested. Alternatively, the simulation can be used as a mechanism to transmit the practices of the benchmark unit to weaker performing units by building a simulation model of the weaker unit to the process design of the benchmark unit. The model can then compare performance of the current and benchmark process designs. Quantifying improvement in this way provides a useful driver to any process change initiative that is required to bring the performance of weaker units up to the best in class. © 2005 Operational Research Society Ltd. All rights reserved.

Proposing a systems vision of knowledge management in emergency care

This paper makes a case for taking a systems view of knowledge management within health-care provision, concentrating on the emergency care process in the UK National Health Service. It draws upon research in two casestudy organizations (a hospital and an ambulance service). The case-study organizations appear to be approaching knowledge (and information) management in a somewhat fragmented way. They are trying to think more holistically, but (perhaps) because of the ways their organizations and their work are structured, they cannot ‘see’ the whole of the care process. The paper explores the complexity of knowledge management in emergency health care and draws the distinction for knowledge management between managing local and operational knowledge, and global and clinical knowledge.

Integrated analytic hierarchy process and its applications:a literature review

Due to its wide applicability and ease of use, the analytic hierarchy process (AHP) has been studied extensively for the last 20 years. Recently, it is observed that the focus has been confined to the applications of the integrated AHPs rather than the stand-alone AHP. The five tools that commonly combined with the AHP include mathematical programming, quality function deployment (QFD), meta-heuristics, SWOT analysis, and data envelopment analysis (DEA). This paper reviews the literature of the applications of the integrated AHPs. Related articles appearing in the international journals from 1997 to 2006 are gathered and analyzed so that the following three questions can be answered: (i) which type of the integrated AHPs was paid most attention to? (ii) which area the integrated AHPs were prevalently applied to? (iii) is there any inadequacy of the approaches? Based on the inadequacy, if any, some improvements and possible future work are recommended. This research not only provides evidence that the integrated AHPs are better than the stand-alone AHP, but also aids the researchers and decision makers in applying the integrated AHPs effectively.

Multi-criteria decision making approaches for supplier evaluation and selection:a literature review

Supplier evaluation and selection problem has been studied extensively. Various decision making approaches have been proposed to tackle the problem. In contemporary supply chain management, the performance of potential suppliers is evaluated against multiple criteria rather than considering a single factor-cost. This paper reviews the literature of the multi-criteria decision making approaches for supplier evaluation and selection. Related articles appearing in the international journals from 2000 to 2008 are gathered and analyzed so that the following three questions can be answered: (i) Which approaches were prevalently applied? (ii) Which evaluating criteria were paid more attention to? (iii) Is there any inadequacy of the approaches? Based on the inadequacy, if any, some improvements and possible future work are recommended. This research not only provides evidence that the multi-criteria decision making approaches are better than the traditional cost-based approach, but also aids the researchers and decision makers in applying the approaches effectively.

A multi-depot travelling salesman problem and its iterative and integrated approaches

This paper formulates a logistics distribution problem as the multi-depot travelling salesman problem (MDTSP). The decision makers not only have to determine the travelling sequence of the salesman for delivering finished products from a warehouse or depot to a customer, but also need to determine which depot stores which type of products so that the total travelling distance is minimised. The MDTSP is similar to the combination of the travelling salesman and quadratic assignment problems. In this paper, the two individual hard problems or models are formulated first. Then, the problems are integrated together, that is, the MDTSP. The MDTSP is constructed as both integer nonlinear and linear programming models. After formulating the models, we verify the integrated models using commercial packages, and most importantly, investigate whether an iterative approach, that is, solving the individual models repeatedly, can generate an optimal solution to the MDTSP. Copyright © 2006 Inderscience Enterprises Ltd.

The optimum prepaid monetary incentives for mail surveys

Increasing mail-survey response using monetary incentives is a proven, but not always cost-effective method in every population. This paper tackles the questions of whether it is worth using monetary incentives and the size of the inducement by testing a logit model of the impact of prepaid monetary incentives on response rates in consumer and organizational mail surveys. The results support their use and show that the inducement value makes a significant impact on the effect size. Importantly, no significant differences were found between consumer and organizational populations. A cost-benefit model is developed to estimate the optimum incentive when attempting to minimize overall survey costs for a given sample size. © 2006 Operational Research Society Ltd. All rights reserved.

The determinants of firms' performance:can finance constraints improve technical efficiency?

This paper analyses the mechanisms through which binding finance constraints can induce debt-constrained firms to improve technical efficiency to guarantee positive profits. This hypothesis is tested on a sample of firms belonging to the Italian manufacturing. Technical efficiency scores are computed by estimating parametric production frontiers using the one stage approach as in Battese and Coelli [Battese, G., Coelli, T., 1995. A model for technical efficiency effects in a stochastic frontier production function for panel data. Empirical Economics 20, 325-332]. The results support the hypothesis that a restriction in the availability of financial resources can affect positively efficiency. © 2004 Elsevier B.V. All rights reserved.

Comparing knowledge management between organisations:searching for good practice

This paper reports ongoing work that is attempting to find out ‘what is good practice for knowledge management’. The data we have to analyse this issue is 109 maps of knowledge (on knowledge management) which were built during 18 group workshops with 152 people from 15 different organisations. The maps contain data on the aspirations and action plans which UK managers have to improve knowledge management practices in their organisation. So far we have attempted a number of approaches to analysing this data, both inductive and deductive, but we still feel there is more to be learned from the rich data set we have. The paper presents a flavour of the work we have done, have considered doing, and have resisted doing. The aim of the paper is to stimulate debate on the strengths of our analyses and, more importantly, on amassing views of how it can be further strengthened, and the difficulties and dilemmas which might need to be overcome.

Knowledge management: a review of the field and of OR's contribution

This paper examines the field of knowledge management (KM) and identifies the role of operational research (OR) in key milestones and in KM's future. With the presence of the OR Society journal Knowledge Management Research and Practice and with the INFORMS journal Organization Science, OR may be assumed to have an explicit and a leading role in KM. Unfortunately, the origins and the evidence of recent research efforts do not fully support this assumption. We argue that while OR has been inside many of the milestones there is no explicit recognition of its role and while OR research on KM has considerably increased in the last 5 years, it still forms a rather modest explicit contribution to KM research. Nevertheless, the depth of OR's experience in decision-making models and decision support systems, soft systems with hard systems and in risk management suggests that OR is uniquely placed to lead future KM developments. We suggest that a limiting aspect of whether OR will be seen to have a significant profile will be the extent to which developments are recognized as being informed by OR.

Evaluating electronic workshops through analysing the 'brainstormed' ideas

This paper explores how participants work in a new format of brainstorm, called an 'incubated gathering'. The paper explores brainstorm-type activities, where senior managers share occupational knowledge in the generation of a solution to a problem in which they have an embedded interest. The findings suggest that participants perceive great worth in the incubated gathering, and (compared to other formats of gathering) it allows participants to consider a significantly wider range of issues, and in more detail. They also suggest that an outcome from an incubated gathering will be informed by a more rich consideration of the pertinent issues than that from other formats of brainstorming. This paper substantiates these claims with evidence from a suite of new approaches to gauge the ability of participants to share knowledge during group brainstorming-type activities.

Quid pro quo:reflections on the value of problem structuring workshops

Attracting clients who are willing to invest in using a problem structuring method (PSM) can be particularly difficult for the emerging generation of modellers. There are many reasons for this, not least that the benefits of a problem structuring intervention are vague and evidence of benefits are often anecdotal for example, claims of constructing a deeper understanding of the problem or building the commitment of a group to implementing an outcome. This paper contributes to the evaluation of problem structuring methods by reflecting on the quid pro quo that a client and problem structuring modeller can enjoy from collaboration. The paper reflects on 21 cases, where Journey Making (a problem structuring method) was used with 16 organizations to help managers agree a suite of actions to tackle a complex strategic issue. The reflections are clustered around those benefits that pertain to: PSMs in general; PSMs that use computer-supported workshops; the Journey Making methodology.

Where next for PSMs - a grass-roots revolution?

Over the last 30 years, the field of problem structuring methods (PSMs) has been pioneered by a handful of 'gurus'—the most visible of whom have contributed other viewpoints to this special issue. As this generation slowly retires, it is opportune to survey the field and their legacy. We focus on the progress the community has made up to 2000, as work that started afterwards is ongoing and its impact on the field will probably only become apparent in 5–10 years time. We believe that up to 2000, research into PSMs was stagnating. We believe that this was partly due to a lack of new researchers penetrating what we call the 'grass-roots community'—the community which takes an active role in developing the theory and application of problem structuring. Evidence for this stagnation (or lack of development) is that, in 2000, many PSMs still relied heavily on the same basic methods proposed by the originators nearly 30 years earlier—perhaps only supporting those methods with computer software as a sign of development. Furthermore, no new methods had been integrated into the literature which suggests that revolutionary development, at least by academics, has stalled. We are pleased to suggest that from papers in this double special issue on PSMs this trend seems over because new authors report new PSMs and extend existing PSMs in new directions. Despite these recent developments of the methods, it is important to examine why this apparent stagnation took place. In the following sections, we identify and elaborate a number of reasons for it. We also consider the trends, challenges and opportunities that the PSM community will continue to face. Our aim is to evaluate the pre-2000 PSM community to encourage its revolutionary development post-2006 and offer directions for the long term sustainability of the field.

Problem structuring methods for large group interventions

Problem structuring methods (PSMs) aim to build shared understanding in a group of decision makers. This shared understanding is used as a basis for them to negotiate an agreed action plan that they are prepared to help implement. Engaging in a social process of negotiation with a large number of people is difficult, and so PSMs have typically focused on small groups of less than 20. This paper explores the legitimacy of deploying PSMs in large groups of people (50–1000), where the aim is to negotiate action and build commitment to its implementation. We review the difficulties of facilitating large groups with PSMs, drawing heavily on our experience of working with over 25 large groups. We offer a range of lessons learned and suggest concrete approaches to facilitating large groups to achieve the objectives of PSMs. This paper contributes to the evaluation and development of PSMs.