We document the propagation through supply chains of the most damaging cyberattack in history and the important role of banks in mitigating its impact. Customers of directly hit firms saw reductions in revenues, profitability, and trade credit relative to similar firms. The losses were larger...

In this paper, using newly available CDS positions data compiled from DTCC and the supply chain hierarchical position obtained from networking methodology, we examine whether and how investors can use CDS contracts to manage the heightened operational risk due to upstream supply chain...

We document the propagation effects through supply chains of the most damaging cyberattack in history and the important role of banks in mitigating its impact. Customers of directly hit firms saw reductions in revenues, profitability, and trade credit relative to similar firms. The losses...

Supply chain finance (SCF) has attracted considerable attention being an innovative business model that allows firms, especially small- and medium-sized enterprises (SMEs), to convert illiquid assets into cash without incurring additional liabilities. However, its effects on SME performance and...

The paid-incurred chain (PIC) reserving method is a claims reserving method in general insurance that allows to combine claims payments and incurred losses information in a mathematical consistent way. The main criticism on the original Bayesian log-normal PIC model presented in Merz-Wuthrich...

The classical newsvendor problem seeks to minimize the expected inventory cost or maximize the expected profit. But optimizing an expected value alone does not fully capture the stochastic nature of the newsvendor problem. Inspired by the higher-moment analyses explored in finance literature, we...

A model is built to study the impact of the variance of demand on the supply chain inventory and also to identify the best arrangement of the inventory policy across the supply chain. The basic objective of Inventory management by an entity is either to prevent stock out or lock up of working...

Ready meals contribute to the economic performance of the UK economy. However, in 2020, demand declined due to the COVID-19 pandemic; chilled ready meals declined by 3.6 per cent but frozen and ambient ready meals grew by 10.1 per cent and 5.6 per cent, respectively. This has implications for the...

We study a closed-loop supply chain in which used products can be collected by a manufacturer, a retailer, or a third-party for the purpose of recycling. Since the collection process can be noisy, the system dynamic is modeled by a stochastic differential equation. We formulate stochastic...

We develop a model of the joint capital structure decisions of banks and their borrowers. Strikingly high bank leverage emerges naturally from the interplay between two sets of forces. First, seniority and diversification reduce bank asset volatility by an order of magnitude relative to that of...