A real-time information system for multivariate statistical process control

Statistical process control (SPC) is widely used in process industries to monitor variations in process attributes. Typically, automatic devices capture a multitude of measurements on process and product characteristics every few seconds. Operators and engineers commonly monitor only a small subset of these. Multivariate SPC has been proposed to fully utilize the available data, however, interpretation of multivariate information is often too complex for most line operators. This paper describes the design and implementation of a real-time multivariate process control system that features a graphical user interface (GUI) and provides useful information for both line operators and engineers. The information system described in this paper should provide large-scale manufacturers with better access to information for identifying opportunities in continuing to improve processes performance and business competitiveness.     

Household food demand in Turkey: A two-step demand system approach

Demands for sixteen food products are investigated, using data from the Turkish Household Expenditure Survey. The linear approximate almost ideal demand system (LAIDS) is estimated with Shonkwiler and Yen’s two-step procedure. All own-price elasticities are negative and expenditure elasticities positive. Bread, other cereals, bovine, mutton, giblets, and cheese have high expenditure elasticities. Mutton, bovine, and several other protein-rich products are price elastic. Results suggest a mix of gross substitutes and complements, while net substitution is the dominant pattern. Demographic characteristics also play important roles in shaping food demand. The elasticity estimates can inform policy deliberations.     

A network approach to modeling the multi-echelon spare-part inventory system with backorders and interval-valued demand

A multi-echelon inventory system implies the existence of a hierarchy of stocking locations, and the dependence and interaction between them. We consider a multi-echelon, spare-part inventory management problem with outsourcing and backordering. The problem is characterized by deterministic repair time/cost, and supply and demand that lie within prescribed intervals and that vary over time. The objective is to minimize the total inventory and transportation costs. We develop a network model for problem analysis and present a network flow algorithm for solving the problem. We prove that the Wagner-Whitin property, known for the lot-sizing problem, can be extended to the spare-part inventory management problem under study.     

Enterprise modeling and integration: A stochastic management approach

Recently, my book by Matsui has been published in Japanese, and the title is “Management of Manufacturing Enterprise: Profit Maximization and Factory Science.” Enterprise/Factory Science means the system science of the 3M & I, in which is the complex of huMan, Material/Machine, Money and Information, and would contribute to enterprise modeling and integration issues. This paper presents the problem of enterprise/factory science, and discusses a class of 3M & I system by a stochastic management approach. First, the 3M & I system is defined, and a variety vs. structure is introduced. Next, the two structures of management are distinguished, and the demand-to-supply and process-cycle management are discussed by structural modeling.     

Evaluating shop floor input control using rapid modeling

A simple, spreadsheet-based rapid modeling approach to analysis of input control is developed. This approach uses relationships which allow decomposition of a job shop queuing network. Order release is based on a minimum release time interval, dictated by the bottleneck machine utilization. The objectives are to develop insights into how input control affects work flow and how rapid models can help in achieving this. The rapid model performs well and the order release mechanism is shown to be robust. Economic analysis based on throughput, inventory and lead time tradeoffs is provided. The value of input control is shown to be dependent on the cost structure. The impact on profitability is small, however, relative to the impact of operating at the optimal utilization level.     

Performance evaluation of production systems monitored by statistical process control and off-line inspections

Quality and productivity performance measures are very often considered in separate phases of the production system design process. However, the production system architecture affects the efficiency of the quality control system as well as the quality control configuration has an impact on the performance of the production system.The paper proposes a new analytical method for evaluating the performance of production systems in which statistical process control (SPC) techniques are implemented. Machines behaviour is monitored by measuring quality characteristics of the produced parts through off-line inspection devices and sampling inspections. The numerical results show the good accuracy of the proposed method, provide new insight in the relations among the two areas and pave the way to the joint design of production logistics and quality control systems.     

Achieving requisite variety in modeling firms' strategy heterogeneities: Explaining paradoxical firm-market performances

This study responds to the view that the crucial problem in strategic management (research) is firm heterogeneity—why firms adopt different strategies and structures, why heterogeneity persists, and why competitors perform differently. The present study applies complexity theory tenets and a “neo-configurational perspective” in proposing firms' complex antecedent conditions affecting firms' complex outcome conditions. The complex outcome conditions include firms with high financial performances in declining markets and firms with low financial performances in growing markets—the study focuses on seemingly paradoxical firm-market outcomes. Based on an analysis of firm strategies and outcomes for separate samples of cross sectional data of 1120 Finish and Hungarian manufacturing firms, this study bridges theory and practice in strategic management of complex firm-orientation configurations and complex firm-performance-capabilities. The study contributes by showing how executives can use “computing-with-words” (CWW) (Zadeh, 1966) for achieving requisite variety in explaining and predicting paradoxical firm performance outcomes.     

Explaining geospatial variation in mobile phone ownership among rural women of Bangladesh: A multi-level and multidimensional approach

Despite significant progress in Information and communication technologies (ICTs), rural dwellers of Bangladesh are still less fortunate when it comes to availing the improved ICT facilities compared to their urban counterparts, and this digital divide is more evident in the case of women. Mobile phone ownership (MPO) can play a key role in bridging this digital divide and achieving the Sustainable Development Goals of “End poverty in all its forms everywhere”, “Achieve gender equality and empower all women and girls”, and “Ensure healthy lives and promote well-being for all at all ages”. Administrative district-level infrastructural and societal readiness to women's MPO in rural settings of Bangladesh may also influence the geospatial variation in their MPO status, which is still unexplained. In the context of rural Bangladesh, household heads substantially exert influence over women's decision-making process. However, the role of household heads' age and education on women's MPO is mostly unexplored. As in developing countries, women's MPO does not ensure its usage, investigating the possibilities of women's MPO on its usage has immense importance. Therefore, this study aims to revisit the correlates of rural women's MPO in Bangladesh and explain the administrative district-level geospatial variation in their MPO by controlling the effect of individual and household-level sociodemographic correlates of MPO. Further, this study attempts to investigate the possibilities of MPO on the extent of its usage. This study used the latest nationally representative cross-sectional data from Bangladesh Multiple Indicator Cluster Survey 2019. This study reveals that the district-level readiness was a potential source of geospatial variation in the prevalence of rural women's MPO in Bangladesh. The lowest level of readiness was noticed in north-western Bangladesh. Comparatively elderly women with better education and media exposure had a considerably higher chance of MPO. Elderly household heads, especially male and less educated heads, hindered the MPO of women. This study identified MPO as a key determinant of its extent of usage. Moreover, to increase the MPO by a faster pace, strategies should target less empowered women, particularly those who lived in districts of lower readiness.     

Internet integration into the industrial selling process: A step-by-step approach

The Internet has evolved into an outstanding tool for industrial salespeople. Reps use the Internet to prospect new accounts more efficiently, serve existing customers more effectively, and build more enduring business buyer relationships. This paper examines these practices and possibilities in detail while offering ways to facilitate and augment WWW usage. Each phase in the selling process is addressed by proposing specific websites, web-based tools, and techniques that industrial salespeople can use to further enhance their selling competitiveness and effectiveness. Examples of how the Internet is used by salespeople in a variety of industries are described. A series of propositions and a new conceptual model summarizes the positive effects of the increased Internet utilization on individual selling effort. The paper concludes with a discussion of managerial implications for sales management and recommendations for future research.     

Consumer valuation of health attributes for soy-based food: A choice modeling approach

Given that soy foods possess health-promoting attributes that offer the promise of reducing heart-related chronic diseases, this article employs choice experiments to estimate marginal willingness to pay (WTP) for soy attributes including taste, contents of soy protein, and health claim. Random parameter logit (RPL) models were estimated in consideration of potential heterogeneity across individuals in their preferences for soy food. Standard deviation parameters in the RPL models are highly significant, indicating that individuals have widely varying preferences for soy-based food products. Results suggest that, while taste is the dominating attribute that drives consumers’ WTP for soy food products, consumers do respond to the information provided in the health claim. Yet, consumers do not seem to be recognizing soy protein as the link to health benefits of soy foods.     

Analyzing firm behavior in restructured electricity markets: Empirical challenges with a residual demand analysis

Using data from Alberta’s wholesale electricity market, we demonstrate the challenges that can arise when characterizing a firm’s unilateral expected profit-maximizing offer curve. We illustrate that the residual demand curves faced by firms can be highly non-linear, resulting in non-monotonic, downward sloping, optimal best-response offer curves violating common restrictions imposed on bidding behavior. This can have important implications on the conclusions drawn from such empirical analyses. We identify features of residual demand curves that can lead to these problems, providing guidance to researchers utilizing these methods. We find that a simplified monotonic smoothing of the unconstrained ex-post optimal offer curve can achieve the majority of the expected profits, offering an alternative to calculating the ex-ante expected profit-maximizing offer curve that can be computationally burdensome.     

Assessing the contribution of artisanal fisheries to food security: A bio-economic modeling approach

Artisanal fisheries are an important food source in many developing regions. Quantitative bio-economic models are needed that comprehensively assess artisanal fisheries’ contribution to food security. Our model combines standard resource economics theory with the literature on food systems. It explains impacts of environmental variations and market development on output, prices and ultimately food security. The application to the Senegalese purse-seine fishery reveals that total sector rents account for 2% of per capita yearly food expenditures for the coastal inhabitants. We examine the relative importance of main drivers and the vulnerability of different regions. Market development plays a crucial role: The resource is of far greater relevance for remote regions.     

Explaining servitization failure and deservitization: A knowledge-based perspective

The literature on servitization suggests that manufacturers benefit from moving towards solution provision and closer integration with customers. Yet, empirical evidence indicates two notable deviations from this accepted wisdom: servitization failure and deservitization. This conceptual article seeks to explain these observed deviations by developing a knowledge-based perspective on servitization. Drawing on literature on knowledge-based theory, organizational search, organizational learning, and organizational capabilities, the article analyses the interorganizational structure of production between the solution provider and its customer. Reconceptualizing the integrated solution offering as a bundle of knowledge components, a coherent theoretical framework is developed for understanding servitization. This framework provides insight into the antecedents and consequences of servitization and offers multiple explanations for servitization failure and deservitization. The knowledge-based perspective also points towards several new avenues for future research on servitization.     

Pricing behavior in United States manufacturing industries: A statistical study using disaggregated data

We investigate the relationship between industrial market structure and price flexibility (the administered-pricing hypothesis) across United States manufacturing industries by embedding market-structure variables in a model relating relative price variability (dispersion) and inflation. While we find support for a positive relationship between variability and inflation, we do not find that high seller concentration lessens the impact of inflation on price variability. We do find that the larger the efficient-sized plant, the lower the impact of inflation on variability. We also find strong effects of input prices and degree of product durability on relative price variability.     

A new look at residential electricity demand using household expenditure data

Many electricity demand estimates have been obtained based on the assumption that consumers optimize with respect to known marginal prices, but increasing empirical evidence suggests that consumers are more likely to respond to average prices. Under this assumption, this paper develops a new strategy based on Generalized Method of Moments to estimate household electricity demand. Our demand estimation approach uses publicly available expenditure data and utility-level consumption data from several major U.S. cities, complementing studies that use individual billing data which are richer yet often proprietary. We estimate the price elasticity near − 0.50, which is at the upper end (in magnitude) among the estimates from previous studies. This could have important implications for policy analysis such as those on climate policies that may affect electricity prices.     

A new look at factors influencing total quality management failure: work process control or workforce control?

By drawing on multi-case data, there is some evidence to suggest that total quality management (TQM) effectiveness can be viewed as a direct function of the controlling mechanisms that senior managers created prior to TQM implementation. More importantly, control tools of TQM were not used by non-managerial employees, with which they could reduce variability or achieve uniformity; rather, they were regarded as a weapon used by their managers against them.     

A methodological approach to the marketing process in the biotechnology-based companies

The article addresses the commercialization activities of biotechnology-based companies in a European context and discusses whether these companies are able to gain adequate market perceptions and set adequate marketing processes, taking into account three analytical steps: strategic marketing definition, marketing implementation, and evolution of strategy and implementation. A methodological approach was developed, considering the specific nature of the technology and the companies. The case of Portuguese companies was used to test this methodology.The findings support the hypothesis that marketing issues constitute a problem for these companies, since most of them had serious difficulties in going through the marketing process. Marketing deficiencies were largely connected to the access to human resources with relevant management and marketing capabilities and were particularly felt by companies introducing discontinuous innovations.The research confirms that this methodology is useful in the assessment of the marketing management process in biotechnology-based companies.