Problem Definition: We study the management of social responsibility in a three-tier supply chain in which a Tier 2 supplier sells to a Tier 1 supplier, which in turn sells to a Tier 0 buyer. The Tier 2 supplier may violate social and environmental standards, resulting in harm to all firms in...

This paper studies how asymmetric information over inputs affects workers' response to incentives and self-selection at the workplace. Using daily records from a Peruvian egg production plant, we exploit a sudden change in the worker salary structure and find that workers' effort, firm profits,...

We study the optimal policies of capacitated two-echelon serial inventory systems. For a system with smaller downstream capacity, we fully characterize the optimal policy using an intuitive backward induction. The key lies in two inductive assumptions: (a) if initially the stock level at the...

An organization's ability to exploit extreme events - such as exceptional opportunities - depends on its capacity strategy. The venture capital industry illustrates the interplay of expensive capacity and negative externalities from high utilization. The cost of adding a venture capitalist...

This paper studies if it matters whether a firm's products are produced jointly in one organizational unit or separately in multiple organizational units. We propose that spillovers between products (e.g., knowledge and information transfers) are more likely to occur when production takes place...

The paper provides a summary of the existing literature on corporate parenting styles and discovers the missing elements in the theoretical constructs. New theoretical constructs fill the gaps. The paper presents a continuum of corporate parenting styles from pure predator's (Cronos style) to...

In this paper, we compare two fundamentally different judgmental demand forecasting approaches used to estimate demand and their corresponding demand distributions. In the first approach, parameters are obtained from a linear regression and maximum likelihood estimation (MLE) based on team...

To investigate time compression dis-economies (TCD), this study estimated time-cost elasticities using 459 oil and gas global investment projects (1997-2010). Results show that the average cost of accelerating investments is negative: a firm could cut $6.3 million in costs of a single project by...

Belarusian Abstract: У публікацыі раскрыта паняцце эканамічнай бяспекі, як складовай часткі абароненасці краіны і грамадства ў цэлым, якое непарыўна звязана з фінансавай...

In a firm organized into business units, we show when profitability increases if procurement is delegated to the division in charge of production. We highlight that our results are driven by the business unit having a different objective function than Headquarters. The profitability of...