Sustainable Supply Chain Management Integration: A Qualitative Analysis of the German Manufacturing Industry

Firms are increasingly integrating sustainability into their supply chain management (SCM) practices. The goal is to achieve sustainable flows of products, services, information and capital to provide maximum value to all corporate stakeholders. Prior research on SCM integration has insufficiently addressed sustainability. The objective of this research is to provide for a coherent and testable model of sustainable supply chain management integration (SSCMI). By drawing on four cases from the German manufacturing industry, we seek to identify the most important factors that enable or impede the integration of sustainability into SCM.     

Granularity of Services

Service-oriented architectures are widely discussed as a design principle for application and enterprise architectures. Nevertheless, an adequate granularity of services has not yet been researched sufficiently from an economic perspective. The finer the granularity to realize the functions of a process, the higher the number of services is, and the more effort has to be directed towards composing them. In contrast, very coarse-grained services bear the disadvantages of higher implementation costs and lower reuse potential (e.g., in different processes). The aim of the decision model proposed in this paper is to determine an adequate granularity of services from an economical perspective. Thus, degrees of freedom, which often exist for the choice of granularity after a domain analysis, can be leveraged to realize a cost-efficient solution. We illustrate the applicability and practical benefits of the decision model with an example from the context of a financial services provider.     

Airport alliances and mergers – Structural change in the airport industry?

Recent years have seen a global trend towards the emergence of multi-airport companies operating at a global scale. This paper employs industrial and transaction costs economics to identify the main drivers that shape the patterns of international cross-ownership structures that have emerged in the airport industry. In addition, implications for competition and competition policy are drawn.     

Improving the Sustainable Development of Firms: The Role of Employees

Stakeholders have been found to be an important driver of organizations' sustainable development. In particular, customers, governments and non‐governmental organizations push firms towards sustainability. But to what extent is sustainability really and deeply embedded within an organization's structures and processes? And what is the role of an important, but frequently neglected, stakeholder group for successful sustainability implementation: employees? The objective of this research is to better understand the impact that organizational change for sustainability has on firm performance. Also, this study seeks to understand how the consideration of employees into the process of organizational change for sustainability moderates the organizational change and performance relationship. Using data from 92 German companies from the manufacturing and services sector, the study finds that the structural implementation of sustainability is positively related to firm performance and that employee integration moderates this relationship to some extent. Copyright © 2012 John Wiley & Sons, Ltd and ERP Environment.     

Cross-Hedging: Basis Risk and Choice of the Optimal Hedging Vehicle

The basis between a futures contract and its underlying instrument is an important measure of the cost of using the futures contract to hedge. In a cross-hedge, the relative size of the basis of alternative hedging vehicles often plays a decisive role in the selection of the optimal hedging vehicle. After adjusting hedge ratios for basis risk, a genuine risk-cost trade-off is seen in hedging 90-day certificates of deposit with either the Treasury bill contract or the Eurodollar contract. The Eurodollar contract was not uniformly superior as generally believed.     

Differential and More Favorable Treatment of Developing Countries and the International Trading System

This article argues that "differential and more favourable treatment"of developing countries in the General Agreement on Tariffsand Trade (GATT) has been a logical consequence of their owninward-looking policies and the GATT's implicit mercantilism,the latter implying that liberalization, being costly, shouldnot be demanded of relatively poor countries. Time has, however,reduced both the appeal of the protectionist model of developmentand the willingness of developed countries to accord differentialtreatment. The upshot has been pressure on more advanced developingcountries to "graduate" and a growing literature recommendingfuller and more equal participation of developing countriesin the GATT. The case for fuller and more equal participationis not self-evident. It needs to be assessed on its merits interms of the prospects for improved market access abroad andmore efficient policy at home. The analysis indicates that thepotential benefits should not be oversold. On balance, however,the most advanced developing countries would probably gain fromactive and more equal participation in both GATT and the multilateraltrade negotiations while the remaining developing countrieswould benefit from graduation by the more advanced.     

Aggregate liquidity shortages, idiosyncratic liquidity smoothing and banking regulation

This paper develops a model of banking fragility driven by aggregate liquidity shortages. Inefficiencies arise from a failure of the interbank market to smooth the available liquidity in such a shortage. We find that a standard lender of last resort policy is ineffective in restoring efficiency as it leads to offsetting changes in the banks’ supply of liquidity. In contrast, subsidizing the purchase of assets from troubled banks increases welfare by improving the banks’ liquidity holdings. The first best, however, is achieved by redistributing existing liquidity from healthy to troubled banks in a crisis.