2015 Informs Annual Meeting

TD63

INFORMS Philadelphia – 2015

4 - A New Framework for Sustainability Measurement Anthony Afful-Dadzie, University of Ghana, P.O. Box LG 78, Legon, Accra, Ghana, atosarsah@gmail.com This presentation explores a new sustainability measurement and scoring system for assessing the efforts of organizations at meeting sustainability targets. Based on TOPSIS, the proposed measurement and scoring system incorporates all three sustainability dimensions and enables the establishment of a threshold below which an organization is considered to have failed a sustainability test. A time- independent threshold is also introduced to help compare performance over time. 5 - Government Intervention and Technovation Performance: An Empirical Study of Soes from Mainland China Huan Liu, PhD, Xi’an Jiaotong University, 28# Xianning West Road, Shaanxi Province, Xi’an, 710049, China, liuhuan-look@163.com, Jiannan Wu We use a comprehensive provincial-level panel data set of 30 provinces during 2005-2012. Our results show that project funding and tax break at the provincial level have no impact on new products sales. Project funding has a negative impact on invention patents, by constrast, tax break has a positive impact on invention patents. The interaction term of project funding and tax break has an invert U- shaped relationship with new products sales, but it has no impact on invention patent. TD61 61-Room 111B, CC Environmentally Responsible Operations Management Sponsor: ENRE – Environment I – Environment and Sustainability Sponsored Session Chair: Arda Yenipazarli, Assistant Professor of Operations Management, Georgia Southern University, COBA 2224, Statesboro, GA, 30460, United States of America, ayenipazarli@georgiasouthern.edu 1 - Competitive Positioning and Pricing of Green Products with Multiple Environmental Attributes Arda Yenipazarli, Assistant Professor of Operations Management, Georgia Southern University, COBA 2224, Statesboro, GA, 30460, United States of America, ayenipazarli@georgiasouthern.edu To address consumers’ sustainability-related product concerns, a thorough approach to improving the environmental profile of one’s products is required. Using one dimension of green may hide possible trade-offs and overlook the fact that consumers’ preferences exhibit different orders in different green attributes. We study a duopoly model that explicitly incorporates multiple environmental attributes into the green product positioning and pricing, along with the trade-offs among them. 2 - Product Line Design: The Impact of Consumers’ Varied Perceptions of Recycled Content Monire Jalili, University of Oregon, 1208 University of Oregon, Eugene, OR, United States of America, mjalili@uoregon.edu, Nagesh Murthy, Tolga Aydinliyim We consider a monopolist selling ordinary and green product versions to consumers whose differential (dis)utility vary by consumer type, and is a function of the firm’s quality decision (i.e., the amount of recycled content in the green version.) We discuss how the optimal quality and pricing decisions drive demand and profit and whether/when it is optimal for the firm to only offer the green version (go completely green). 3 - Replenishment Decisions of Perishable Products under Price and Emissions Sensitive Demand Gokce Palak, Assistant Professor Of Operations Management, Shenandoah University, Harry F. Byrd, Jr. School of Business, Winchester, VA, 22601, United States of America, gpalak@su.edu We extend economic lot sizing models for age dependent perishable products to maximize profit and minimize emissions. This model captures the tradeoffs between supplier and mode selection decisions, profits and emissions, and transportation lead time and remaining shelf life of products. We analyze impacts of price and emissions sensitive demand on the replenishment decisions.

4 - Maximizing Sustainability of Ecosystem Model through Socio-economic Policies Urmila Diwekar, President, Vishwamitra Research Institute, 2714 Crystal Way, Crystal Lake, IL, 60012, United States of America, urmila@vri-custom.org, Kirti Yenkie, Rohan Doshi, Pahola Benevades, Heriberto Cabezas Current practices in natural resources consumption are unsustainable and may eventually lead to ecosystem extinction. This paper uses a simple mathematical model of an integrated ecological and economic system representing our planet’s sectors. The aim of the project is to maximize the sustainability of this system, using Fisher Information as a measure of sustainability, and derive socio- economic policies using multivariable optimal control techniques. Optimization on Power Grid Application Cluster: Energy Systems: Design, Operation, Reliability and Maintenance Invited Session Chair: Chaoyue Zhao, Oklahoma State University, 322G Engineering North, Stillwater, OK, United States of America, chaoyue.zhao@okstate.edu 1 - Risk-based Admissibility Assessment of Wind Generation Integrated into a Bulk Power System Cheng Wang, Tsinghua University, 3-211, West Main Building, Beijing, China, shlwangcheng2008@163.com, Feng Liu, Wei Wei, Jianhui Wang, Shengwei Mei In this talk, a risk-based admissibility assessment approach is proposed to quantitatively evaluate how much wind generation can be accommodated by the bulk power system under a given UC strategy. Firstly, the operational risk brought by wind generation is developed as an admissibility measure. Then a risk- minimization model is established to mathematically characterize the admissible region. Simulations demonstrate the effectiveness and efficiency of the proposed methodology. 2 - Strong Formulations for Unit Commitment Problem Kai Pan, PhD Student, University of Florida, 411 Weil Hall, Gainesville, Fl, 32608, United States of America, kpan@ufl.edu, Yongpei Guan In this talk, we will present the strong formulations for unit commitment problem under different settings. Technical proofs are provided accordingly. Our computational experiments verify the effectiveness of proposed strong formulations. 3 - A Scalable Decomposition Method for the Two-Stage Stochastic Unit Commitment Problem Farzad Yousefian, Postdoctoral Research Associate, Penn State, 333 Logan Ave., Apt. 307, State College, PA, 16801, United States of America, szy5@psu.edu, Wendian Wan, Uday Shanbhag We consider a two-stage stochastic unit commitment problem modeled as a large- scale mixed integer nonlinear optimization problem. The state-of-the art commercial packages, e.g. CPLEX, do not scale with the number of the units and scenarios. Motivated by the structure of the KKT system and employing the ideas of Schur complements, we propose a multiphase primal-dual algorithm that scales with the size of the scenarios. Preliminary simulation results are presents. TD63 63-Room 112B, CC Operations Management II Contributed Session Chair: Xiaoyan Qian, PhD, The University of Auckland, 486 Parnell Road, Auckland, New Zealand, x.qian@auckland.ac.nz 1 - Flexible Commitment Contract in the Presence of Goodwill- sensitive Customers Xiaoya Han, University of Science and Technology of China, No. 96, Jinzhai Road, Hefei, China, xyhan@mail.ustc.edu.cn, Yugang Yu This paper focuses on a retailer’s dynamic decision problem: how to determine a minimum commitment at the beginning of the planning horizon and periodically variable order quantities to maximize its profit when facing goodwill-sensitive customers. We obtain that the next-period goodwill decreases in the current- period one, and the goodwill monotonically converges to a constant steady-state one over time. Moreover, we find that the steady-state goodwill may decrease in minimum commitment. TD62 62-Room 112A, CC

367