Showing 1 - 10 of 41
We developed a system for managing inventory at Jeppesen Sanderson, Inc., a major provider of aviation-information products. The system determines order quantities for charts used in flight manuals. These charts contain essential safety information that changes frequently, making standard...
Persistent link: https://www.econbiz.de/10014028286
Jeppesen Sanderson, Inc. maintains, manufactures, and distributes flight manuals containing safety information for over 300,000 pilots and 400 airlines worldwide. Its service deteriorated when a growing line of over 100,000 aviation charts overwhelmed its production system. We developed...
Persistent link: https://www.econbiz.de/10014028288
We introduce a heuristic method for finding good, feasible solutions for multiproduct lot sizing problems with general assembly structures, multiple constrained resources, and nonzero setup costs and setup times. We evaluate the performance of this heuristic by comparing its solutions to optimal...
Persistent link: https://www.econbiz.de/10014028284
We consider the reorder point, order quantity inventory model where the demand, D, and the lead time, L, are independently and identically distributed (iid) randiom variables. This model is analytically intractable because of order crossover. However, we show how to resolve the intractability by...
Persistent link: https://www.econbiz.de/10012722383
We investigate the claim that auctions in procurement are detrimental to the buyer- seller relationship, which is expressed by less trust by the buyer and more oppor- tunistic behavior by the supplier after the sourcing. To do so, we compare exper- imentally a standard auction and a...
Persistent link: https://www.econbiz.de/10011301503
Supply chains today routinely use third parties for many strategic activities, such as manufacturing, R&D, or software development. These activities often include relationship-specific investment on the part of the vendor, while final outcomes can be uncertain. Therefore, writing complete...
Persistent link: https://www.econbiz.de/10012502875
We present results of several experiments that deal with endogenous entry in auctions and auction valuation. One observation that is constant across all of the experiments we report is that laboratory subjects have a difficult time evaluating potential gains from auctions. Even after they are...
Persistent link: https://www.econbiz.de/10005076087
Standard economic theory does not capture trust among anonymous Internet traders. But when traders are allowed to have social preferences, uncertainty about a seller's morals opens the door for trust, reward, exploitation and reputation building. We report experiments suggesting that sellers'...
Persistent link: https://www.econbiz.de/10005572274
Electronic reputation or "feedback" mechanisms aim to mitigate the moral hazard problems associated with exchange among strangers by providing the type of information available in more traditional close-knit groups, where members are frequently involved in one another's dealings. In this paper,...
Persistent link: https://www.econbiz.de/10005704396
ABSTRACT. Popular procurement auction formats vary along two main dimensions: (1) whether the winner is determined by the lowest price or by the buyer, and (2) whether auctions are sealed bid or dynamic. The attractiveness of these formats critically depends on information available to bidders...
Persistent link: https://www.econbiz.de/10014224960