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Recent operations management papers model customers as solving multiarmed bandit problems, positing that consumers use a particular heuristic when choosing among suppliers. These papers then analyze the resulting competition among suppliers and mathematically characterize the equilibrium...
Persistent link: https://www.econbiz.de/10009218510
Telephone call centers are an integral part of many businesses, and their economic role is significant and growing. They are also fascinating sociotechnical systems in which the behavior of customers and employees is closely intertwined with physical performance measures. In these environments...
Persistent link: https://www.econbiz.de/10009218593
The observed behavior of customers and managers often does not fit the assumptions of theoretical models used in the operations management (OM) literature. New research in behavioral OM is emerging to bridge the gap between traditional models and these newer observational findings. This work is...
Persistent link: https://www.econbiz.de/10009218665
Companies may choose to outsource parts, but not all, of their call-center operations. In some cases, they classify customers as high or low value, serving the former with their in-house operations and routing the latter to an outsourcer. Typically, they impose service-level constraints on the...
Persistent link: https://www.econbiz.de/10009218862
To mitigate the threat that terrorists smuggle weapons of mass destruction into the United States through maritime containers, the U.S. Bureau of Customs and Border Protection (CBP) inspects containers upon entry to domestic ports. Inspection-driven congestion is costly, and CBP provides...
Persistent link: https://www.econbiz.de/10009203997
A U.S. law mandating nonintrusive imaging and radiation detection for 100% of U.S.-bound containers at international ports has provoked widespread concern that the resulting congestion would hinder trade significantly. Using detailed data on container movements, gathered from two large...
Persistent link: https://www.econbiz.de/10009204086
We develop a model of customer choice in response to random variation in quality. The choice model yields closed-form expressions which reflect the effect of competing suppliers' service quality on the long-run fraction of purchases a customer makes at the various competitors. We then use the...
Persistent link: https://www.econbiz.de/10009204494
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