2015 Informs Annual Meeting

SD62

INFORMS Philadelphia – 2015

3 - Educational Mismatch, Work Outcomes, and Entry into Entrepreneurship

2 - Optimization of Maintenance Policy in the Presence of Competing Risks Nilofar Varzgani, PhD Student, Rutgers Business School, 1 Washington Park, Newark, NJ, 07102, United States of America, nilofarv@scarletmail.rutgers.com, Michael Katehakis, Suresh Govindaraj We study the optimal replacement and maintenance policy for a single unit system which undergoes periodic inspection in order to decide if the system should be replaced or not. The system is subject to competing risks of deterioration; regular depreciation due to usage and random shocks. We model it as a discrete time semi-markovian process and use competing risk models to search for the existence of an optimal replacement and maintenance policy. 3 - Decision-Making for Portfolio Optimization using Information Entropy David Rogers, University of Cincinnati, Carl H. Lindner College of Business, Operations, Business Analytics, and IS, Cincinnati, OH, 45221-0130, United States of America, David.Rogers@UC.edu, George Polak Information entropy, a measure of the uncertainty based upon the probabilities encountered, is appropriate for decision makers wanting to proactively deal with risk. An optimization model for a risk-return trade-off will be examined with entropy as either the objective to minimize subject to a constraint on expected returns or expressed as an upper-bounded constraint for the objective of maximizing return. A comparison to other objectives will be assessed with a portfolio optimization setting. 4 - Why Classical Hybrids are so Risky for Entrepreneurs, and What to do About It Gaston De Los Reyes, Assistant Professor, George Washington University School of Business, 2201 G St. NW, Funger 615, Washington, DC, 20052, United States of America, gdlr@gwu.edu Williamson (1991) insufficiently characterized the institutions of hybrid governance, emphasizing forms that feature neoclassical devices to co-govern past contract close. Entrepreneurs, however, frequently resort to hybrids of classical form, lacking terms to protect from ‘lawful’ opportunism in case of disruption. I explicate the implications, drawing upon my dissertation study of contract law. I discuss a novel institutional solution and managerial strategies for the status quo. SD62 62-Room 112A, CC Transportation Contributed Session Chair: Mohammed Obeidat, Kansas State University, Manhattan, KS, 66502, United States of America, moh2001ie@yahoo.com 1 - Forecasting Bike Sharing Demand in New York City: A Study of Environmental Factors Stanislav Mamonov, Assistant Professor, Montclair State University, 1 Normal Ave, Montclair, NJ, 07043, United States of America, stanislav.mamonov@montclair.edu, Andrada Ivanescu Bike-sharing programs are universally praised for their potential to provide a sustainable and eco-friendly public transportation option. In a year since its launch, NYC Citi Bike program became the largest bike-sharing program in North America with over 100,000 annual members. In this study, we perform functional regression modeling of environmental factor (temperature, humidity, wind, rain, etc.) impact on the demand for Citi bikes in NYC to assist in system rebalancing efforts. 2 - Reliability-based Bridge Maintenance and Rehabilitation Budget Planning and Allocation Haotian Liu, Rutgers, The State University of New Jersey, 100 Brett Road, Piscataway, NJ, 08854-8018, United States of America, yunbai.cait@rutgers.edu, Ali Maher, Yun Bai This research develops a reliability-based model to mitigate infrastructure deterioration uncertainty for optimal planning and allocation of annual budgets for bridge maintenance and rehabilitation, a process that minimizes total social costs, the sum of agency- and user- costs, for a network of bridges. The risk of budget overruns can be reduced by explicitly considering budget variances quantified through our proposed model. 3 - A Hybrid Algorithm for Bicycle Network Design Chin Sum Shui, The University of Hong Kong, Seat 16, Room LG208, Composite Building, Pokfulam Road, Hong Kong, Hong Kong - PRC, samshui2004@hotmail.com, Wy Szeto This study introduces a bicycle network design problem that maximizes coverage and demand satisfaction within a limited budget. Two metaheuristics, Genetic Algorithm and Artificial Bee Colony Algorithm, are combined to solve this network design problem. Computational experiments are conducted and showed that this hybrid algorithm outperforms both GA and ABC in solving large-scale bicycle network design. The tradeoff between two objectives is investigated through varying the weighting factor.

Briana Sell, Georgia Institute of Technology, Atlanta, GA, United States of America, briana.sell@scheller.gatech.edu, Henry Sauermann

A growing body of research explores how employees’ organizational context shapes entrepreneurial activity. We contribute to this line of work by examining how “educational mismatch”– when a job does not utilize the skills an employee has acquired during formal education – relates to subsequent transitions into entrepreneurship. While prior research has focused on mismatch due to labor market frictions, workers may also enter mismatches for a variety of other reasons such as a change in career interests or family obligations. Different reasons, in turn, may relate in distinct ways to wages and job satisfaction and thus to the opportunity costs of entering entrepreneurship. Moreover, mismatch may also affect human capital development, including the formation of a broader range of skills that is beneficial in entrepreneurship. Using longitudinal data from over 22,000 scientists and engineers, we document a broad range of reasons for educational mismatch and show that the relationships between educational mismatch and wages, job satisfaction and skill variety differ significantly depending upon the reason for a mismatch. Mismatched individuals are more likely to enter into entrepreneurship in a subsequent period, an effect that goes beyond higher labor mobility per se. In addition to lower opportunity costs, greater skill variety appears to be an important factor linking educational mismatch to subsequent entrepreneurship. We discuss implications for research, managers, and policy makers.

SD60 60-Room 111A, CC Publications in Education Sponsor: INFORM-ED Sponsored Session

Chair: Susan Palocsay, Professor, James Madison University, CIS & BSAN Department, Harrisonburg, VA, 22807, United States of America, palocssw@jmu.edu 1 - Education Issues in the Wiley Encyclopedia of OR/MS Susan Palocsay, Professor, James Madison University, CIS & This presentation will give a synopsis of articles on Education Issues in the Wiley Encyclopedia of OR/MS. This topic area is aimed at providing a reference on pedagogical methods and instructional materials for teaching OR/MS. The process for developing a new article will be described with discussion of possible subjects. 2 - Panel Discussion: Publishing in Informs Transactions on Education Armann Ingolfsson, University of Alberta, University of Alberta, Edmonton, Canada, aingolfs@ualberta.ca, Moderator: Jill Wilson, Panelists: Anita Tucker, Jeroen BeliÎn The panelists include ITE editors and authors who have published recently in ITE. The authors will discuss their experiences with submitting articles to ITE. The editors will provide suggestions to authors who wish to submit their work to ITE—in particular, articles about case studies and about educational games. BSAN Department, Harrisonburg, VA, 22807, United States of America, palocssw@jmu.edu

SD61 61-Room 111B, CC Decision Analysis IV Contributed Session

Chair: David Rogers, University of Cincinnati, Carl H. Lindner College of Business, Operations, Business Analytics, and IS, Cincinnati, OH, 45221-0130, United States of America, David.Rogers@UC.edu 1 - Comparative Techno-economic Analysis of Biofuel Production Considering Logistic Settings Qi Li, Iowa State University, 0076 Black Engineering, Ames, IA, 50011, United States of America, qili@iastate.edu, Guiping Hu A new comparative techno-economic analysis methodology is introduced of commercial biorefinery by considering the practical logistic settings and constraints. This new method would give benefit for pathway selection and parameters estimation. A case study of Iowa is conducted to illustrate and validate the proposed methodology.

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