Maintenance Strategies for used equipment under lease

Abstract: Purpose – The aim of this research is to determine the optimal upgrade and preventive maintenance actions that minimize the total expected cost (maintenance costs+penalty costs). Design/methodology/approach – The problem is a four-parameter optimization with two parameters being k-dimensional. The optimal solution is obtained by using a four-stage approach where at each stage a one-parameter optimization is solved. Findings – Upgrading action is an extra option before the lease of used equipment, in addition to preventive maintenance action. Upgrading action makes equipment younger and preventive maintenance action lowers the ROCOF. Practical implications – There is a growing trend towards leasing equipment rather than owning it. The lease contract contains penalties if the equipment fails often and repairs are done within reasonable time period. This implies that the lessor needs to look at optimal preventive maintenance strategies in the case of new equipment lease, and upgrade actions plus preventive maintenance in the case of used equipment lease. The paper deals with this topic and is of great significant to business involved with leasing equipment. Originality/value – Nowadays many organizations are interested in leasing equipment and outsourcing maintenance. The model in this paper addresses the preventive maintenance problem for leased equipment. It provides an approach to dealing with this problem.

Paying for housework: Resources, demand and attitudes

A number of recent studies have suggested that households in western countries are increasingly turning to paid household help to perform a range of domestic tasks formerly carried out by women at home. But while expenditure on meal services, in the form of eating out or buying take out food has undoubtedly increased in recent years, the percentage of households that employ paid help with routine everyday housework activities, such as cleaning, appears to be comparatively low in many western countries. In Australia our data indicate that only 19 per cent of couple households pay someone to do domestic work, and only 11 per cent of couple households employ paid help with routine house cleaning. In this paper we use data from the Negotiating the Life Course survey, 1997 to investigate why some households use paid help with domestic labour while others do not. We examine hypotheses relating to level of resources, level of demand and gender role attitudes. We also examine attitudes about whether paid domestic help is viewed as an efficient strategy for dealing with domestic tasks. We find that although resources, demand and gender role attitudes provide the parameters within which employing household help is made possible or desirable, beliefs about the effectiveness of this strategy are also very significant. The paper concludes that domestic outsourcing is doing little to relieve women's double burden of paid and unpaid work.

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.

A INFLUÊNCIA DAS TEORIAS ECONÔMICAS NA DECISÃO DE TERCEIRIZAR O DESPACHO ADUANEIRO NO SETOR DE COMÉRCIO ATACADISTA NA CIDADE DE SÃO PAULO

O objetivo central deste trabalho é verificar a influência das teorias econômicas na decisão das empresas de comércio atacadista em terceirizar o despacho aduaneiro na cidade de São Paulo. Para isso, a história da terceirização é apresentada brevemente, seguida do levantamento e estudos sobre terceirização e fundamentação das teorias econômicas que mostram possíveis influências na decisão das empresas em terceirizar o despacho aduaneiro: a Teoria do Custo das Transações, a Teoria da Agência, a Teoria do Resource-Based View (RBV) e a Teoria das Competências Essenciais. Além de contextualizar o comércio exterior brasileiro, levando em conta sua história e representatividade econômica, foram apresentadas as atividades ligadas ao despacho aduaneiro, que podem levar as empresas a terceirizar este serviço na cidade de São Paulo. Após a explanação sobre o tema, por meio de pesquisa empírica valendo-se de questionário de perguntas fechadas, aplicado a uma amostra não probabilística por conveniência, verificou-se a relação existente entre as teorias mencionadas acima e o quanto elas influenciam o processo das empresas importadoras e exportadoras do comércio atacadista para terceirizarem o despacho aduaneiro, foi usado o teste ANOVA e possíveis complementações como o do Teste de Dunnett T3 e do Teste de Tukey que constataram a diferença de respostas entre os respondentes que terceirizam totalmente, parcialmente ou não terceirizam esta atividade, além da diferença entre estes níveis de terceirização verificou-se que todas as teorias econômicas apresentadas neste trabalho possuem alguma influência sobre a terceirização do despacho aduaneiro.

GESTÃO DO CONHECIMENTO TÁCITO: ESTUDO DE CASOS MÚLTIPLOS NA ÁREA DE DESENVOLVIMENTO DE PRODUTOS DE EMPRESAS DO SETOR AUTOMOBILÍSTICO DO ABC PAULISTA.

O presente estudo buscou a compreensão dos motivos que levam as empresas pesquisadas do setor automobilístico a gerir o conhecimento tácito, mediados pela gestão do conhecimento, na área de gestão de desenvolvimento de produtos. As questões de pesquisa que este estudo objetivou responder foram: Como empresas estudadas utilizam o conhecimento tácito para se tornarem mais eficientes e eficazes nas atividades/ operações? De que forma o conhecimento tácito é percebido na organização por parte dos funcionários e gestores? Para responder a estas perguntas houve a investigação de duas empresas do setor automobilístico, na área de desenvolvimento de produtos. Como base teórica para o desenvolvimento do presente estudo autores como Davenport e Prusak (1998), Nonaka e Takeuchi (1997) e Choo (2006) orientam esta pesquisa. A pesquisa abrange duas empresas do ramo automobilístico na região do ABC Paulista, com equivalência no número de funcionários e porte. Dentre os entrevistados há funcionários e gestores de áreas de gestão de projetos e produtos. A metodologia aplicada ao estudo foi de caráter qualitativo por meio de pesquisa exploratória-descritiva, sendo que o método de coleta de dados se deu a partir de entrevistas semiestruturadas. O estudo investigou quais as práticas usadas para a conversão do conhecimento, fatores facilitadores e fatores dificultadores para a conversão do conhecimento e as principais contribuições da aplicação das práticas e iniciativas voltadas gerir o conhecimento tácito, sob a ótica dos gestores e funcionários. Através do presente estudo pode-se verificar que existe a preocupação com a gestão do conhecimento nas empresas estudadas e que há práticas diversas relativas ao conhecimento tácito e que as formas de disseminação deste conhecimento são distintas. Algumas das práticas são os cursos de especialização, brainstorming e lesson learned e conversas informais. Nos fatores facilitadores há a troca de informação entre os pares, reuniões semanais, equipes multidisciplinares/ multifuncionais. Nos fatores dificultadores há a indicação de questões comportamentais, acúmulo de funções e tempo para partilhar informações.

A study of strategic HR issues in an Asian context

Examines five strategic human resource management (HRM) issues using a qualitative methodology. Two of these are related to the central organisational-level constructs of structure and culture. The other three pertain to HR strategy, HR competencies, and HR outsourcing. The study employed the multiple-case design method proposed by Yin, with a view to extending theory in strategic HRM research. Semi-structured interviews were conducted with 35 managers (CEOs, line managers, and HR managers) of nine companies from two major industries in the manufacturing sector – electronic products and machinery/equipment. The research found that top management enlightenment and level of HR competencies together determine the role and status of the HR function in organisations, and that the companies studied pursue four types of HR strategies: informal and not communicated; informal and communicated; formal but not communicated; and formal and communicated. HR strategy was found to affect both vertical and horizontal fits of the HR function. Culture, HR strategy and HR competencies influenced organisational propensity to outsource HR activities.

The dynamics of HRM systems in Indian BPO firms

This paper highlights the context within which business process outsourcing (BPO) has rapidly grown in India and the critical need to investigate the dynamics of human resource management (HRM) practices and systems in this sector. Using a mixed-method approach involving both in-depth interviews and self-completing questionnaires, we analyze the nature of HRM systems in BPO organizations operating in India. The analysis is based on a sample of 51 BPO companies, a majority of which are located near the capital of New Delhi. The results focus on the nature and structure of work and organization of Indian BPOs, as well as the strategic role played by HRM in such organizations. Furthermore, the findings highlight the way specific HRM practices such as recruitment, performance appraisal, training and development, and compensations are implemented. Our study suggests the existence of formal, structured, and rationalized HRM systems in Indian BPOs. A number of insights related to HRM policies and practices are shared by the HR managers interviewed shedding more light on the inner workings of the Indian BPO companies and their challenges. The analysis provides original and useful information to both academics and practitioners and opens avenues for future research on the nature of HRM systems and practices in the Indian BPO industry.

People management issues in Indian KPOs

Purpose: The business process outsourcing (BPO) industry in India is evolving rapidly, and one of the key characteristics of this industry is the emergence of high-end services offered by knowledge processing outsourcing (KPO) organizations. These organizations are set to grow at a tremendous pace. Given the people-intensive nature of this industry, efficient employee management is bound to play a critical role. The literature lacks studies offering insights into the HR challenges involved and the ways in which they are addressed by KPOs. The purpose of this paper is to attempt to fill this gap by presenting findings from an in-depth case study of a KPO organization. Design/methodology/ approach: To achieve the research objective we adopted an in-depth case study approach. The research setting was that of a KPO organization in India, which specialises in offering complex analytics, accounting and support services to the real estate and financial services industries. Findings: The results of this study highlight the differences in the nature of work characteristics in such organizations as compared to call centres. The study also highlights some of the key people management challenges that these organizations face like attracting and retaining talent. The case company adopts formal, structured, transparent and innovative human resource practices. The study also highlights that such enlightened human resource practices stand on the foundations laid by an open work environment and facilitative leadership. Research limitations/implications: One of the key limitations is that the analysis is based on primary data from a single case study and only 18 interviews. The analysis contributes to the fields of KPO, HRM and India and has key messages for policy makers. Originality/value: The literature on outsourcing has in general focused on call centres established in the developed world. However, the booming BPO industry in India is also beginning to offer high-end services, which are far above the typical call centres. These KPOs and their people management challenges are relatively unexplored territories in the literature. By conducting this study in an emerging market (India) and focusing on people-related challenges in KPOs, this study attempts to provide a fresh perspective to the extant BPO literature. © Emerald Group Publishing Limited.

Managing from the inside out:drawing on 'receptivity' to explain variation in strategy implementation

With the rise of 'New Public Management' (NPM), government policy has encouraged public-sector organizations to downsize and outsource their services. There is, however, local variation in the use of outsourcing - this is 'managing from the inside out'. This paper draws on the notion of receptivity for organizational change to explain variation in strategy implementation. Four receptivity factors are identified which seem to explain the success of two contrasting English local government outsourcing strategies: ideological vision, leading change, institutional politics and implementation capacity. The organization level of change is interconnected with two other levels of change (the public service and environment levels) to illustrate the dynamic nature of change.

Managing the dynamic configuration of enterprises

Due to environmental changes and business trends such as globalisation, outsourcing and virtualisation, more and more companies get involved in business activities that are outside their direct control. This typically occurs by entering into collaborative relationships and joint ventures with specialised companies in order to fulfil the demands of customers quickly (DiMaggio, 2001). Organisational structures that results from such collaborative relationships and joint ventures are referred to in this paper as enterprises and the management of them known as enterprise management. The authors use the definition of the European Commission (2003) that defines an enterprise as “… an entity, regardless of its legal form … including partnerships or associations regularly engaged in economic activities.” Therefore in its most simple form an enterprise could be a single integrated company. However, findings from this research show that enterprises can also be made up of parts of different companies and the structure of the enterprise is contingent upon a variety of different factors. The success of the enterprise as a collaborative venture depends on the ability of companies to intermediate their internal core competencies into other participating companies’ value streams and simultaneously outsource their own peripheral activities to companies that can perform them quicker, cheaper, and more effectively (Lal et al., 1995). In other words, the peripheral activities of one member-company must be complemented by a core competence of another member-company within an overall enterprise.

Economists' perceptions versus managers' decisions:an experiment in transaction cost analysis

Are the perceptions of professional economists on transaction costs consistent with make-or-buy decisions made within firms? The answer may have important implications for transaction cost research. Data on firms' outsourcing during the new product development process are taken from a largescale survey of UK, German and Irish manufacturing plants, and we test the consistency of these outsourcing decisions with the predictions derived from the transaction cost perceptions of a panel of economists. Little consistency is evident between actual outsourcing patterns and the predictions of the (Williamsonian) transactions cost model derived from the panel of economists. There is, however, evidence of a systematic pattern to the differences, suggesting that a competence or resource-based approach may be relevant to understanding firm outsourcing, and that firms are adopting a strategic approach to managing their external relationships. © Cambridge Political Economy Society 2005; all rights reserved.

Insights into the Indian call centre industry:can internal marketing help tackle high employee turnover?

Purpose – Increasing turnover of frontline staff in call centres is detrimental to the delivery of quality service to customers. This paper aims to present the context for the rapid growth of the business process outsourcing (BPO) sector in India, and to address a critical issue faced by call centre organisations in this sector – the high employee turnover. Design/methodology/approach – Following a triangulation approach, two separate empirical investigations are conducted to examine various aspects of high labour turnover rates in the call centre sector in India. Study one examines the research issue via 51 in-depth interviews in as many units. Study two reports results from a questionnaire survey with 204 frontline agents across 11 call centres regarding employee turnover. Findings – This research reveals a range of reasons – from monotonous work, stressful work environment, adverse working conditions, lack of career development opportunities; to better job opportunities elsewhere, which emerge as the key causes of increasing attrition rates in the Indian call centre industry. Research limitations/implications – The research suggests that there are several issues that need to be handled carefully by management of call centres in India to overcome the problem of increasing employee turnover, and that this also demands support from the Indian government. Originality/value – The contributions of this study untangle the issues underlying a key problem in the call centre industry, i.e. employee turnover in the Indian call centre industry context. Adopting an internal marketing approach, it provides useful information for both academics and practitioners and suggests internal marketing interventions, and avenues for future research to combat the problem of employee turnover.

The impact of organizational change on the perceptions of UK managers change

Redundancy, delayering, downsizing, and various other forms of organizational change have become increasingly prevalent. This article focuses on the impact of different forms of organizational change on managers' perceptions of the organizations they work within and the comparison between changes that involve redundancy and/or delayering and those that do not involve such changes. The literature has many accounts of the negative effects associated with redundancy and delayering, but are these effects unique to these types of change or are they a consequence of negative experiences of a range of organizational changes? Hypotheses were tested to assess, first, whether there are differences between different levels of management, notably between directors and nondirectors in the way they perceive organizational change, second, to assess how change has affected managers' perceptions of their organizations and their working lives, and third, to explore if different forms of change are associated with differences in managers' perceptions of their organizations “as a place to work”. Hypotheses were tested with data from a cross-sectional survey with 830 managers from the UK. Organizational changes include cost reduction and culture change programmes, delayering, mergers/demergers, outsourcing, redundancy programmes, and contract/ temporary workers. The analyses reported here indicate clearly that specific forms of change are associated with managers' reports of their experiences at work; some forms of change (notably redundancy and delayering) seem to have particularly damaging implications for managers' experiences in the workplace. The analyses also show that there is a difference in the way directors and nondirectors perceive the changes. Finally, the article considers strategies for ameliorating the effects of change including the role of HR.

The future of offshoring FDI in high-tech sectors

This paper examines what is still a relatively new phenomenon in the literature, the outsourcing/offshoring of high-technology manufacturing and services. This has become a concern for both policy makers and academics for two reasons. Firstly, policy makers have become concerned that the offshoring of high-technology sectors in the West will follow the more labour intensive sectors, and move to lower cost locations. Secondly, international business theory has tended to view low costs, and high levels of indigenous technological development as being the two main drivers of location advantage in the attraction of FDI. We show that this may not be the case for offshored high-technology manufacturing or services.

Offshoring:a multi-country study of FDI in high-technology sectors

This paper examines what is still a relatively new phenomenon in the literature, the outsourcing / offshoring of high technology manufacturing and services. This has become a concern for both policy makers and academics for two reasons. Firstly, policy makers have become concerned that the offshoring of high technology sectors in the West will follow the more labour intensive sectors, and move to lower cost locations. Secondly, international business theory has tended to view low costs, and high levels of indigenous technological development as being the two main drivers of location advantage in the attraction of FDI. We show that this may not be the case for offshored high technology manufacturing or services.