Local Traits and Securitized Commercial Mortgage Default

We expand on the standard commercial mortgage default model and create a new model by looking beyond the usual factors of option value, insolvency, property type, region, originator type, state foreclosure laws and macroeconomic measures. The new model incorporates measures of local economic conditions, specifically MSA-level commercial property market conditions, county level unemployment, and local home price appreciation. We estimate our new model using a dataset containing the performance histories of over 30,000 CMBS loans that were originated between 1998 and 2012. We find that those local trait variables affect the default rate of CMBS loans significantly and provide improved explanatory power over the standard model. We further explore the impact of local home price measures by comparing the explanatory power of lagged and contemporaneous home price indexes, comparing the power of home price indexes at the state, county, and zip-code level, examining the interaction of home price indexes with commercial property type, looking at the impact of home price indexes over time, and at the impact of introducing local commercial land price indexes. We find that local residential house price-related measures provide a high quality and high frequency signal of local market conditions.     

HRM in project‐intensive firms: Changes and challenges

One of the most profound organizational changes currently under way is the application of project‐based structures within and between firms. This change is happening in both growth and mature industries. Several management scholars have taken interest in the reasons why firms adopt proj‐ect‐based ways of working. However, the effect of project‐based organizing on the firm's HRM is a recurrent problem and a challenge to many companies. We develop a framework for the analysis of HRM in project‐intensive firms. Based on a study of four companies and the transformation of their organizational structures and processes, we identify four managerial issues and a number of questions that must be addressed to improve HRM in proj‐ect‐intensive firms. © 2006 Wiley Periodicals, Inc.     

Making space for sex work: female street prostitution and the production of urban space

This article explores the processes by which distinctive red‐light districts are created in western cities, focusing on the changing location of female prostitution in Birmingham (UK). Adapting Henri Lefebvre's ideas on the production of space, as well as Michel de Certeau's distinction between strategies and tactics, the article argues that the changing location of prostitution in the city is the result of a constant interplay between the ordering strategies enacted by the police, council and community protestors and the resistive tactics adopted by sex workers. The net outcome of this process, it is argued, is that a space is created for prostitution so that its resistive potential can be contained within a heterosexually‐ordered city. The article therefore concurs with Lefebvre when he argues that conceptualized space tends to overcode and dominate lived space, but concludes that sex work always threatens to create new ‘spaces of representation’ that challenge the heterosexual ordering of society. En examinant les processus par lesquels se créent des quartiers ‘chauds’ caractérisés dans les villes occidentales, cet article s'intéresse à la délocalisation de la prostitution féminine à Birmingham (Royaume‐Uni). A partir des idées d'Henri Lefebvre sur la production d'espace, et de la distinction établie par Michel de Certeau entre stratégies et tactiques, il est démontré que le changement d'implantation de la prostitution dans la ville résulte d'une interaction permanente entre, d'une part, les stratégies autoritaires décrétées par la police, la municipalité et les opposants membres de la communauté et, d'autre part, les tactiques de résistance adoptées par les travailleuses du sexe. Cette combinaison se solde par la création d'un espace pour la prostitution de sorte que sa ‘résistivité’ puisse être maîtrisée dans le cadre d'une ville régie par un ordre hétérosexuel. L'article rejoint ainsi Lefebvre lorsqu'il affirme qu'un espace conceptualisé tend à sur‐codifier et dominer l'espace vécu ; toutefois, il conclut que le travail du sexe menace constamment de générer de nouveaux ‘espaces de représentation’ défiant l'ordre hétérosexuel de la société.     

Social embeddedness and job performance of tenured and non‐tenured professionals

This study examines how different employment relationships in academic settings, ie tenured versus non‐tenured appointments, are associated with different types of job performance efforts. The social embeddedness model contends that employees' efforts to perform well depend on embeddedness in the social environment. Adopting this perspective, we ask what types of embeddedness are likely to improve job performance efforts, namely compliance and contextual performance, under the condition of different employment relationships. Regression analyses on the responses of both tenured and non‐tenured faculty members show that employees' efforts to perform well can be explained by social embeddedness. Temporal embeddedness appears to be important in explaining the job performance efforts of tenured faculty members, while, in contrast, network embeddedness seems important in explaining the efforts of nontenured faculty members; and institutional embeddedness explained the efforts of both groups of faculty members.     

Internal audit outsourcing in Australia

The present study investigates the determinants of internal audit outsourcing using survey data on 99 companies listed on the Australian Stock Exchange, where 54.5 per cent fully rely on in‐house facilities and 45.5 per cent outsource some or all of their internal audit function. Results from logistic regression analyses suggest that internal audit outsourcing is associated with perceived cost savings and the technical competence of the external provider. For a subsample of firms that have previously undertaken internal audit activities before outsourcing, contrary to expectations, the larger the organization the greater the propensity to outsource. In addition, smaller firms are found to be adopting internal audit for the first time, through outsourcing. These results suggest that internal audit outsourcing is an expanding business opportunity for professional accountants; but with 75 per cent of firms outsourcing to their external auditor, there are implications for external auditor independence.     

Making an effort for free – volunteers' roles in destination-based storytelling

Many destinations are dependent on volunteers. Storytelling is one of the areas to which volunteers are increasingly contributing; however, the role of volunteers has been offered only sporadic attention. The aim of this study is to provide insights into volunteer involvement by studying volunteers as destination stakeholders with focus on their roles, influence, and contribution. A cross-case analysis of three Nordic cases is undertaken. A theoretical framework is developed based on volunteer tourism, stakeholder theory, and marketing literature on storytelling. A three-phase model of the storytelling process is developed. Findings show substantial variation. Unsurprisingly, early inclusion of volunteers result in substantial influence on the storytelling concept, however, this does not guarantee volunteer involvement later on. Conversely, late inclusion of volunteers does not necessarily hinder engagement among volunteers in the execution of the stories. All cases demonstrate that developing a strong concept that can tie together the efforts of stakeholders across professional and volunteer divides is a major challenge. The results point at the importance of strategic goals coordinating storytelling activities, volunteer inclusion, and ‘use’ of volunteers' local knowledge and enthusiasm in all phases of the destination-based storytelling process planned along with strategic goals such as ‘selling place’ or ‘building community’.     

The environmental challenge

We now come to the ultimate question of whether we should be optimistic or pessimistic about our environmental future, and indeed our survival. If we believe human beings to be rational and thus ultimately acting in their own self-interest, there is no reason to believe that the environmental challenges confronting us as individuals and as a society are not resolvable in a manner that allows both economic development and a reasonable quality of life for human beings. Indeed, we see, at least in the developed world, recognition of the magnitude of the problems that we face and movements toward solutions. Yet our nemesis is time. Irretrievable seconds are ticking away as we struggle against ignorance and economic self-interest. Our concern must be not whether we will act, but whether we will act in time to forestall environmental catastrophe for our civilization. The ultimate solution to our environmental problems must come from a fundamental change in the self-serving psychology that produced the tragedy of the commons. Self-interest must be sublimated not only to the greater needs of society, but to the needs of our posterity. The tragedy of the commons can only be avoided if our time horizon shifts from the short- to long-term. In addition, there must be a shift in values from obsession with economic development to concern for the quality of human life. These shifts dictate that in the future our economic, political, and social system must be built upon a foundation of "sustainable" growth. This means that "industries (and nations, for that matter) cannot thrive if they sacrifice future quality of life for present economic gain. In the long run, the principles of economic growth and environmental quality reinforce each other." How do we make this esoteric speculation relevant to our job each day as materiel managers in health care delivery organizations? We can do this by first understanding the problems that we confront and how we are a part of these problems. Next, we must assume a leadership role in confronting and resolving these problems. This means being an advocate for the environment and championing initiatives within the institution to resolve problems and advance environmental responsibility. Finally, we must remember that every day, with each purchase order we issue, we vote for or against the environment.     

War and peace: Third-party intervention in conflict

This paper develops a simple sequential-move game to characterize the endogeneity of third-party intervention in conflict. We show how a third party's “intervention technology” interacts with the canonical “conflict technologies” of two rival parties in affecting the sub-game perfect Nash equilibrium outcome. From the perspective of deterrence strategy, we find that it is more costly for a third party to support an ally to deter a challenger from attacking (i.e., to maintain peace or acquiescence), as compared to the alternative case when the third party supports the ally to gain a disputed territory by attacking (i.e., to create war), ceteris paribus. However, an optimally intervening third party can be either “peace-making”, “peace-breaking”, or neither depending on the characteristics of the conflict and the stakes the third party holds with each of the rival parties.     

Material Accounting in a Macroeconomic Framework: Forecast of Waste Generated in Manufacturing Industries in Norway

This paper analyses the generation of waste inproduction processes using a technique based onthe physical law of conservation of mass.According to this law, mass going into aproduction process must equal the mass comingout of the same process. The paper uses thismass balance perspective to refine a previouslydeveloped technique for forecasting wastequantities. A macroeconomic model predicts theuse of intermediate inputs and production inmonetary units, and by multiplying thesevariables with weight conversion factors weestimate physical amounts going into and out ofproduction. The difference between input andoutput, the residual, consists of discharges toland, water and air. We predict a growth in theresiduals from manufacturing industries of 74%from 1993 to 2010. This growth is partly explained by an anticipated growth in material intensity.