Debora Di Caprio, Francisco J. Santos-Arteaga and Madjid Tavana
The purpose of this paper is to study the optimal sequential information acquisition process of a rational decision maker (DM) when allowed to acquire n pieces of information from…
Abstract
Purpose
The purpose of this paper is to study the optimal sequential information acquisition process of a rational decision maker (DM) when allowed to acquire n pieces of information from a set of bi-dimensional products whose characteristics vary in a continuum set.
Design/methodology/approach
The authors incorporate a heuristic mechanism that makes the n-observation scenario faced by a DM tractable. This heuristic allows the DM to assimilate substantial amounts of information and define an acquisition strategy within a coherent analytical framework. Numerical simulations are introduced to illustrate the main results obtained.
Findings
The information acquisition behavior modeled in this paper corresponds to that of a perfectly rational DM, i.e. endowed with complete and transitive preferences, whose objective is to choose optimally among the products available subject to a heuristic assimilation constraint. The current paper opens the way for additional research on heuristic information acquisition and choice processes when considered from a satisficing perspective that accounts for cognitive limits in the information processing capacities of DMs.
Originality/value
The proposed information acquisition algorithm does not allow for the use of standard dynamic programming techniques. That is, after each observation is gathered, a rational DM must modify his information acquisition strategy and recalculate his or her expected payoffs in terms of the observations already acquired and the information still to be gathered.
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Madjid Tavana, Debora Di Caprio and Francisco J. Santos-Arteaga
The current paper aims to present a formal model illustrating how payoff imbalances among the members of a team of decision makers (DMs) who must undertake a project condition the…
Abstract
Purpose
The current paper aims to present a formal model illustrating how payoff imbalances among the members of a team of decision makers (DMs) who must undertake a project condition the final outcome obtained. This result builds on the fact that payoffs imbalances would lead to different performance levels among the employees and managers who compose a team. The analysis is applied to a strategic environment, where a project requiring coordination among the DMs within the team must be developed.
Design/methodology/approach
The intuition behind the strategic framework on which the results are based is twofold. The authors build on the literature on social comparisons and assume that employees and managers acquire information on the payoffs received by other members of the team while being affected by the resulting comparisons, and they follow the economic literature on firm boundaries determined via incomplete contracts. In this case, employees and managers may underperform if they feel aggrieved by the outcome of the contract giving place to deadweight losses when developing the project.
Findings
The authors illustrate how a team-based performance reward structure may lead to a coordinated equilibrium even when team managers and employees receive different payoffs and exhibit shading incentives based on the payoff differentials between them. The authors will also illustrate how identical shading intensities by both groups of DMs imply that shading by the managers imposes a lower cost on the profit structure of the firm because it leads to a lower decrease in the cooperation incentives of the other members of the team. Finally, the authors show how differences in shading intensity between both types of DMs trigger a strategic defect mechanism within the team that determines the outcome of the project.
Originality/value
The novel environment of team cooperation and defection through shading introduced in this paper is designed to deal with the strategic decisions taken by DMs when undertaking a project within a group. In particular, the intensity of shading applied by the DMs will be endogenously determined by the relative payoffs received, which allows to account for different scenarios, where relative payoff differentials among DMs determine the outcome of the project.
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Aidan O’Connor, Francisco J. Santos-Arteaga and Madjid Tavana
The purpose of this paper is to propose a game-theoretical model for commercial bank foreign direct investment strategy, government policy and domestic banking industry…
Abstract
Purpose
The purpose of this paper is to propose a game-theoretical model for commercial bank foreign direct investment strategy, government policy and domestic banking industry interactions in emerging market economies and demonstrate the application of this strategy to the banking system. Government policy and domestic banking industry interactions in emerging market economies and demonstrate the application of this strategy to the banking system.
Design/methodology/approach
The paper develops a game-theoretical model to analyze the optimality of the limiting entry strategy followed by a given domestic institutional sector when considering the entry applications of foreign banks in the domestic financial system. The model analyzes the strategic options available to an emerging market country with a relatively underdeveloped banking system when deciding whether or not and to what extent allow for the entrance of better reputed and more technologically advanced foreign banks in its domestic financial system.
Findings
The paper shows that the progressive liberalization of entry restrictions would define the perfect Bayesian equilibria of the subsequent set of continuation games and the respective payoffs derived from this liberalization as the domestic economy integrates and competes within the global financial system.
Originality/value
Banks operating in the international financial market have incentives to invest directly in emerging market economies and governments have incentives in allowing foreign banks entry to their market. As banking systems in these economies are generally underdeveloped, opening the financial system to foreign competitors could lead to a decrease in the market share of local banks. Eventually foreign banks could control the banking system and could de facto control the money supply.
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Amer Jazairy, Emil Persson, Mazen Brho, Robin von Haartman and Per Hilletofth
This study presents a systematic literature review (SLR) of the interdisciplinary literature on drones in last-mile delivery (LMD) to extrapolate pertinent insights from and into…
Abstract
Purpose
This study presents a systematic literature review (SLR) of the interdisciplinary literature on drones in last-mile delivery (LMD) to extrapolate pertinent insights from and into the logistics management field.
Design/methodology/approach
Rooting their analytical categories in the LMD literature, the authors performed a deductive, theory refinement SLR on 307 interdisciplinary journal articles published during 2015–2022 to integrate this emergent phenomenon into the field.
Findings
The authors derived the potentials, challenges and solutions of drone deliveries in relation to 12 LMD criteria dispersed across four stakeholder groups: senders, receivers, regulators and societies. Relationships between these criteria were also identified.
Research limitations/implications
This review contributes to logistics management by offering a current, nuanced and multifaceted discussion of drones' potential to improve the LMD process together with the challenges and solutions involved.
Practical implications
The authors provide logistics managers with a holistic roadmap to help them make informed decisions about adopting drones in their delivery systems. Regulators and society members also gain insights into the prospects, requirements and repercussions of drone deliveries.
Originality/value
This is one of the first SLRs on drone applications in LMD from a logistics management perspective.
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The purpose of this paper is to provide a structured literature review (SLR) and systematic insight into logistics outsourcing research, in order to identify gaps in knowledge…
Abstract
Purpose
The purpose of this paper is to provide a structured literature review (SLR) and systematic insight into logistics outsourcing research, in order to identify gaps in knowledge, and provide future research direction in the logistics outsourcing discipline.
Design/methodology/approach
This paper identifies and synthesises information from academic journals and examines research designs and methods, data analysis techniques, geographic locations, industry engagements, year of publication, publishers, university and author affiliations. A collection of online databases from 1991 to 2016 were explored, using the keywords “third-party”, “logistics” and “outsourcing” in their title and/or abstract, to deliver an inclusive listing of journal articles in this discipline area. Based on this approach, a total of 263 articles were found and data were derived from a succession of variables.
Findings
There has been a significant increase and concentration by researchers over the past 25 years focussing on logistics outsourcing. A need to implement best practice has been universally identified, owing to increasing global supply chain complexity. This analysis shows that only seven literature reviews were published in the logistics outsourcing discipline. Additionally, this study revealed that 42 per cent of the work in this field was found to be survey based and this trend in research indicates the development of the structural equation modelling and multi-criterion decision-making methods. Investigations between 2010–2012 and 2015–2016 accounted for 151 of the total 263 articles published. Finally, reverse logistics is an area that requires special attention.
Research limitations/implications
This paper is limited to a review of academic articles obtainable from online databases, containing the words “logistics” and “outsourcing” in the title and/or abstract. Additionally, only papers from high quality, peer-reviewed journals were evaluated. Other academic sources such as books and conference papers were not included in this study.
Originality/value
This review will provide an increased understanding of the existing state of current research, trends and future research directions in the logistics outsourcing discipline.
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María Teresa Sánchez-Polo, Juan-Gabriel Cegarra-Navarro, Valentina Cillo and Anthony Wensley
The purpose of this study is to explore the role of continuous learning and the mitigation or elimination of knowledge barriers affecting information technology (IT) assimilation…
Abstract
Purpose
The purpose of this study is to explore the role of continuous learning and the mitigation or elimination of knowledge barriers affecting information technology (IT) assimilation in the health-care sector. Most of the problems with IT assimilations stem from a poor understanding of the nature of suitable information, the lack of trust, cultural differences, the lack of appropriate training and hierarchical bureaucratic structures and procedures. To overcome these barriers, this study provides evidence that a continuous learning process can play a part in overcoming some of the obstacles to the assimilation of IT.
Design/methodology/approach
This study investigates how a continuous learning environment can counteract the presence of knowledge barriers, and, along with such an environment, can, in turn, facilitate IT assimilation. The study uses ADANCO 2.0.1 Professional for Windows and involves the collection and analysis of data provided by 210 health-care end users.
Findings
The study provides evidence in support of the proposition that continuous learning may facilitate the assimilation of IT by health-care end users through the mitigation of knowledge barriers (e.g. lack of trust or resistance to change). The mitigation of these barriers requires the gathering and utilization of new knowledge and knowledge structures. The results support the hypothesis that one way in which this can be achieved is through continuous learning (i.e. through assessing the situation, consulting experts, seeking feedback and tracking progress).
Research limitations/implications
A limitation of the study is the relatively simple statistical method that has been used for the analysis. However, the results provided here will serve as a preliminary basis for more sophisticated analysis which is currently underway.
Practical implications
The study provides useful insights into ways of using continuous learning to facilitate IT assimilation by end users in the health-care domain. This can be of use to hospitals seeking to implement end user IT technologies and, in particular, telemedicine technologies. It can also be used to develop awareness of knowledge barriers and possible approaches to mitigate the effects of such barriers. Such an awareness can assist hospital staff in finding creative solutions for using technology tools. This potentially augments the ability of hospital staff to work with patients and carers, encouraging them to take initiative (make choices and solve problems relevant to them). This, in turn, allows hospitals to avoid negative and thus de-motivating experiences involving themselves and their end users (patients) and improving IT assimilation. This is liable to lead to improved morale and improved assimilation of IT by end users (patients).
Social implications
As ICT systems and services should entail participation of a wide range of users, developers and stakeholders, including medical doctors, nurses, social workers, patients and programmers and interaction designers, the study provides useful social implication for health management and people well-being.
Originality/value
The paper contributes to a better understanding of the nature and impacts of continuous learning. Although previous studies in the field of knowledge management have shown that knowledge management procedures and routines can provide support to IT assimilation, few studies, if any, have explored the relationship between continuous learning and IT assimilation with particular emphasis on knowledge barriers in the health-care domain.