Using a novel data set from 75 stores of a department store retail chain that changed its incentive plan for store managers to spur greater cooperation among them and with the corporate office, we examine how incentives impact operational decisions and, consequently, store outcomes. We measure...

Excess inventory announcement is an important issue as it has a huge negative impact on stock returns of the announcing firm. Many firms claim that they announce the buildup of excess inventory because of external factors such as sluggish sales. In contrast, theoretical literature in operations...

Product drops occur when a retailer releases a limited-edition product line on a specific date for a short period of time. Due to limited inventory of the product and the short sales horizon, a resale market emerges where products may resell at higher prices once the firm stocks out. The firm...

We estimate the causal effects of responsible scheduling practices on store financial performance at the US retailer Gap, Inc. The randomized field experiment evaluated a multi-component intervention designed to improve dimensions of work schedules – inconsistency, unpredictability,...

Data-driven decision-making (DDD) is rapidly transforming modern operations. The availability of Big Data, advances in data analytics tool, and rapid gains in processing power enable firms to make decisions based on data, rather than intuition. Yet, most firms still allow managers to override...