Essays in Empirical Operations Management: Bayesian Learning of Service Quality and Structural Estimation of Complementary Product Pricing and Inventory Management

This dissertation contributes to the rapidly growing empirical research area in the field of operations management. It contains two essays, tackling two different sets of operations management questions which are motivated by and built on field data sets from two very different industries --- air cargo logistics and retailing.

The first essay, based on the data set obtained from a world leading third-party logistics company, develops a novel and general Bayesian hierarchical learning framework for estimating customers' spillover learning, that is, customers' learning about the quality of a service (or product) from their previous experiences with similar yet not identical services. We then apply our model to the data set to study how customers' experiences from shipping on a particular route affect their future decisions about shipping not only on that route, but also on other routes serviced by the same logistics company. We find that customers indeed borrow experiences from similar but different services to update their quality beliefs that determine future purchase decisions. Also, service quality beliefs have a significant impact on their future purchasing decisions. Moreover, customers are risk averse; they are averse to not only experience variability but also belief uncertainty (i.e., customer's uncertainty about their beliefs). Finally, belief uncertainty affects customers' utilities more compared to experience variability.

The second essay is based on a data set obtained from a large Chinese supermarket chain, which contains sales as well as both wholesale and retail prices of un-packaged perishable vegetables. Recognizing the special characteristics of this particularly product category, we develop a structural estimation model in a discrete-continuous choice model framework. Building on this framework, we then study an optimization model for joint pricing and inventory management strategies of multiple products, which aims at improving the company's profit from direct sales and at the same time reducing food waste and thus improving social welfare.

Collectively, the studies in this dissertation provide useful modeling ideas, decision tools, insights, and guidance for firms to utilize vast sales and operations data to devise more effective business strategies.

Poverty Dynamics: Empirical Evidence for Canada (Working Paper 29)

Poverty (low income) dynamics are explored using tax filer data covering the period 1992 to 1996. The distributions of short-and long-term episodes are identified, and reveal substantial differences by sex and family type. Entry and exit models explore the relationships between poverty transitions and sex, family status and other personal and situational attributes. Duration effects on exiting and re-entering poverty are found to be important, and models including past poverty experiences point to strong "occurrence dependence" for poverty entry and incidence. Fixed-effect panel data models confirm the above, and reveal asymmetries in the impacts of household transitions on poverty.

Student Loans : Empirical Evidence and Policy Implications (Working Paper 7)

This paper first summarizes the results of an empirical investigation of borrowing and repayment patterns of post-secondary graduates, then addresses a number of related policy issues, including i) the need for further research to generate the information needed to fully evaluate the student loan system, ii) the advantages of extending the assistance available for those facing problems with their debt burdens in the post-schooling period, iii) the need to increase borrowing limits, iii) the efficiency and equity advantages of providing assistance to post-secondary students through loans rather than the grants which many have been calling for, and iii) a proposal for revitalising the cash-strapped post-secondary system with infusions from both federal and provincial governments and students themselves of equal parts, the latter facilitated by the appropriate changes in the loan system (higher limits and more support for those who run into trouble with repayment).

Student Loans : the Empirical Record (Working Paper 6)

Student loan programmes have been the target of a good deal of attention in recent years and one important set of concerns has focussed on the levels of borrowing and the associated debt loads. This paper presents the results of an empirical investigation of borrowing and repayment patterns of four recent cohorts of post-secondary graduates based on the National Graduates Survey (NGS) databases. The paper should be relevant to those interested in access to post-secondary education and the well-being of students, the financing of the higher education more generally, and a range of related issues.

What do school principals do? Leadership practices in Spain drawn from PISA and TALIS international studies

Principals play a key role in schools. Their actions affect the efficacy of schools and indirectly on the students’ academic performance. Numerous studies describe the different activities that principals perform in their daily practice, grouping them in dimensions, not existing unanimity neither around the practices carried out nor the dimensions. In Spain, the new educational law, LOMCE, emphasizes the importance of looking into what international research says regarding the field of education to support the need for change and justify the ones that are being made, and develops an extended list of competences of the principal. This study is a synthesis of a narrative research with the following analysis unit: the results of the PISA (Programme for International Student Assessment) and TALIS (Teaching and Learning International Study) international reports, and the data provided on school leadership and their practices, from which conclusions are inferred, comparing them with the competences stated in the LOMCE. The comparative analysis of the leadership practices presented depicts a still uneven and heterogeneous scenario, not existing agreement neither for the setting of boundaries for the leadership dimensions, nor for the number of practices that constitute them. Such a scenario points towards the need for further empirical research, in order to accurately obtain a homogeneous catalogue of the actions carried out by principal, that may open the door to the development of the role of principal, and to the improvement of effectiveness and performance of schools, as it is suggested internationally, and it is an objective of the new educational law.

Target language use : An empirical study of the target language use in the Swedish 4-6 grade classroom

A consistent use of the target language during English lessons is beneficial for pupils’ linguistic development, but also challenging for both teachers and pupils. The main purpose for pupils to learn English is to be able to use it in communication, which requires that they develop the ability to comprehend input, produce output and use language strategies. Several researchers claim that a consistent use of the target language is necessary in order to develop these abilities. Therefore, the aim of this study is to examine the target language use during English lessons in Swedish grades 4-6, and what pupils’ opinions regarding target language use are. The methods used to collect data consisted of a pupil questionnaire with 42 respondents and an observation of two teachers’ English lessons during a week’s time. The results from the observations show that the teachers use plenty of target language during lessons, but the first language as well to explain things that pupils might experience difficult to understand otherwise. The results from the questionnaire mainly show that the pupils seem to enjoy English and like to both speak and hear the target language during lessons. The main input comes from listening to a CD with dialogues and exercises in the textbook and the workbook, and from the teacher speaking. The results also show that a majority of the pupils use the target language in their spare time. A conclusion that can be drawn from this study is that the TL should be used to a large extent in order to support pupils’ linguistic development. However, teachers may sometimes need to use L1 in order to facilitate understanding of the things that many pupils find difficult, for example grammar. Suggestions for further research in this area include similar studies conducted on a larger scale.

Stumbling Blocks in Empirical Legal Research: Case Study Research

This article examines the main assumptions and theoretical underpinnings of case study method in legal studies. It considers the importance of research design, including the crucial roles of the academic literature review, the research question and the use of rival theories to develop hypotheses and the practice of identifying the observable implications of those hypotheses. It considers the selection of data sources and modes of analysis to allow for valid analytical inferences to be drawn in respect of them. In doing so it considers, in brief, the importance of case study selection and variations such as single or multi case approaches. Finally it provides thoughts about the strengths and weaknesses associated with undertaking socio-legal and comparative legal research via a case study method, addressing frequent stumbling blocks encountered by legal researchers, as well as ways to militate them. It is written with those new to the method in mind.

An Empirical Analysis of Performance Impacts Resulting From Conversion to Franchise Operations

Franchising is an important form of organizational control. Possible benefits of franchising include its ability to reduce agency costs that increase with costly monitoring, and provide incentives for the use of local information by onsite managers. However, these benefits may come at a cost, as franchisees may reduce quality by choosing to free ride. While many studies have investigated the reasons for franchising, few studies have documented the impacts of franchising on unit level operating performance. Using time-series data from a number of lodging properties that were converted to franchisee control from company control, this study documents the performance impacts of franchising. The analysis reveals that conversion results in a modest decline in financial performance and an immediate sharp decline in quality.

The role of new information and communication technologies (ICTs) in information and communication in science. A conceptual framework and empirical study

Problem This dissertation presents a literature-based framework for communication in science (with the elements partners, purposes, message, and channel), which it then applies in and amends through an empirical study of how geoscientists use two social computing technologies (SCTs), blogging and Twitter (both general use and tweeting from conferences). How are these technologies used and what value do scientists derive from them? Method The empirical part used a two-pronged qualitative study, using (1) purposive samples of ~400 blog posts and ~1000 tweets and (2) a purposive sample of 8 geoscientist interviews. Blog posts, tweets, and interviews were coded using the framework, adding new codes as needed. The results were aggregated into 8 geoscientist case studies, and general patterns were derived through cross-case analysis. Results A detailed picture of how geoscientists use blogs and twitter emerged, including a number of new functions not served by traditional channels. Some highlights: Geoscientists use SCTs for communication among themselves as well as with the public. Blogs serve persuasion and personal knowledge management; Twitter often amplifies the signal of traditional communications such as journal articles. Blogs include tutorials for peers, reviews of basic science concepts, and book reviews. Twitter includes links to readings, requests for assistance, and discussions of politics and religion. Twitter at conferences provides live coverage of sessions. Conclusions Both blogs and Twitter are routine parts of scientists' communication toolbox, blogs for in-depth, well-prepared essays, Twitter for faster and broader interactions. Both have important roles in supporting community building, mentoring, and learning and teaching. The Framework of Communication in Science was a useful tool in studying these two SCTs in this domain. The results should encourage science administrators to facilitate SCT use of scientists in their organization and information providers to search SCT documents as an important source of information.

Three Essays in Empirical Asset Pricing

The financial crisis of 2007-2008 led to extraordinary government intervention in firms and markets. The scope and depth of government action rivaled that of the Great Depression. Many traded markets experienced dramatic declines in liquidity leading to the existence of conditions normally assumed to be promptly removed via the actions of profit seeking arbitrageurs. These extreme events motivate the three essays in this work. The first essay seeks and fails to find evidence of investor behavior consistent with the broad 'Too Big To Fail' policies enacted during the crisis by government agents. Only in limited circumstances, where government guarantees such as deposit insurance or U.S. Treasury lending lines already existed, did investors impart a premium to the debt security prices of firms under stress. The second essay introduces the Inflation Indexed Swap Basis (IIS Basis) in examining the large differences between cash and derivative markets based upon future U.S. inflation as measured by the Consumer Price Index (CPI). It reports the consistent positive value of this measure as well as the very large positive values it reached in the fourth quarter of 2008 after Lehman Brothers went bankrupt. It concludes that the IIS Basis continues to exist due to limitations in market liquidity and hedging alternatives. The third essay explores the methodology of performing debt based event studies utilizing credit default swaps (CDS). It provides practical implementation advice to researchers to address limited source data and/or small target firm sample size.

The age of studies and reports: selected elements concerning the background of encounters defining the power of education

In the present paper, we discuss the time before the “age of reports”. Besides the Coleman Report in the period of Coleman, the Lady Plowden Report also appeared, while there were important studies in France (Bourdieu & Passeron, 1964; Peyre, 1959) and studies that inaugurated comprehensive education in Nordic countries. We focus on the period after the World War II, which was marked by rising economic nationalism, on the one hand, and by the second wave of mass education, on the other, bearing the promise of more equality and a reduction of several social inequalities, both supposed to be ensured by school. It was a period of great expectations related to the power of education and the rise of educational meritocracy. On this background, in the second part of the paper, the authors attempt to explore the phenomenon of the aforementioned reports, which significantly questioned the power of education and, at the same time, enabled the formation of evidence-based education policies. In this part of the paper, the central place is devoted to the case of socialist Yugoslavia/Slovenia and its striving for more equality and equity through education. Through the socialist ideology of more education for all, socialist Yugoslavia, with its exaggerated stress on the unified school and its overemphasised belief in simple equality, overstepped the line between relying on comprehensive education as an important mechanism for increasing the possibility of more equal and just education, on the one hand, and the myth of the almighty unified school capable of eradicating social inequalities, especially class inequalities, on the other. With this radical approach to the reduction of inequalities, socialist policy in the then Yugoslavia paradoxically reduced the opportunity for greater equality, and even more so for more equitable education. (DIPF/Orig.)

The dangers of theorizing before analysis : four case studies about argumentation and cognition

International audience

AN EMPIRICAL ASSESSMENT OF USER ONLINE SECURITY BEHAVIOR: EVIDENCE FROM A UNIVERSITY

The ever-increasing number and severity of cybersecurity breaches makes it vital to understand the factors that make organizations vulnerable. Since humans are considered the weakest link in the cybersecurity chain of an organization, this study evaluates users’ individual differences (demographic factors, risk-taking preferences, decision-making styles and personality traits) to understand online security behavior. This thesis studies four different yet tightly related online security behaviors that influence organizational cybersecurity: device securement, password generation, proactive awareness and updating. A survey (N=369) of students, faculty and staff in a large mid-Atlantic U.S. public university identifies individual characteristics that relate to online security behavior and characterizes the higher-risk individuals that pose threats to the university’s cybersecurity. Based on these findings and insights from interviews with phishing victims, the study concludes with recommendations to help similat organizations increase end-user cybersecurity compliance and mitigate the risks caused by humans in the organizational cybersecurity chain.

Paradigms lost:integrating history and organization studies

This article reviews recent attempts at mapping research paradigms in Management and Organizational History and argues that the old distinctions between supplementarist, integrationist, and reorientationist approaches have been superseded by attempts at integrating historical research in organization studies. A typology of these integrationist approaches differentiates between pluralist and unitary integration, as well as between models based on either historical theory or organization theory. Each has distinct weaknesses and strengths, but essentially all limit their integration of historical research paradigms to only a few. As a result, there is a danger that history might become reduced to a methodology, an empirical endeavor, narrative representations, or indeed be considered the subject of research rather than a research approach in its own right. I argue that all of these present an impoverished picture of the rich research traditions available in the discipline of history, which has unique insights and approaches to offer to the study of organizations.

“A long-term mortality analysis of subsidized firms in rural areas: an empirical study in the Portuguese Alentejo region”

Studies have demonstrated that public policies to support private firms’ investment have the ability to promote entrepreneurship, but the sustainability of subsidized firms has not often been analysed. This paper aims to examine this dimension specifically through evaluating the mortality of subsidized firms in the long-term. The analysis focuses on a case study of the LEADER+ Programme in the Alentejo region of Portugal. With this purpose, the paper examines the activity status (active or not active) of 154 private, rural, for-profit firms in Alentejo that had received a subsidy to support investment between 2002 and 2008 under the LEADER+ Programme. The methodology is based on binary choice models in order to study the probability of these firms still being active. The explanatory variables used are the following: (1) the characteristics of entrepreneurs and managers’ strategic decisions, (2) firm profile and characteristics, (3) regional economic environment. Data assessment showed that the cumulative mortality rate of firms on 31st December 2013 is over 20 %. Interpretation of the regression model revealed that he probability of firms’ survival increases with higher investment, firm age and regional business concentration, whereas the number of applications made by firms has a negative impact on their survival. So it seems that for subsidized firms the amount of investment is as important as its frequency.