2015 Informs Annual Meeting

WC48

INFORMS Philadelphia – 2015

3 - Bike-share Systems: Empirical Models of Business Models Karan Girotra, Associate Professor, INSEAD, Boulevard de Constance, Fontainebleau, 77300, France, Karan.Girotra@insead.edu, Ashish Kabra, Elena Belavina This talk illustrates the use of big-data to capture consumer behavior in Bike- sahre systems. We then use the estimated patterns of customer to propose system improvements and redesigns.

already constrained on the use of water. This study aims to examine the impact of including regeneration possibilities on the flexibility of scheduling procedures and focuses on trade-offs between cost-optimal and water-efficient production schedules. 2 - A Layer Analysis Framework to Investigate the CO2 Sinks in the U.S. Manufacturing Supply Chain Network Gokhan Egilmez, University of New Haven, Mechanical and Industrial Engineering, East Haven, CT, 06512, United States of America, gegilmez@newhaven.edu, Mohammad Aslam In this study, U.S. manufacturing industries and related supply chains are analyzed from life cycle perspective considering layers in the supply chain. The focus of the analysis is greenhouse gas (GHG) emissions which are represented with CO2 equivalent metric. Input output-based life cycle assessment models are developed and layer analysis is conducted for 6 supply chain layers: onsite, second, third, fourth, fifth tier suppliers and rest of the supply chain. 3 - Promoting Fair Trade Products Seung Jae Park, Assistant Professor, Texas A&M University- Central Texas, 1001 Leadership Place, Killeen, TX, 76549, United States of America, s.park@tamuct.edu The study considers how to promote fair trade products. We show that competition between firms increases the usage of fair trade certified raw materials. We also show that if a fair trade organization can decide the maximum margin from fair trade products, then it will increase the usage of fair trade certified raw materials and increase each manufacturer’s total profit compared to those without consideration of the maximum margin decision. 4 - Effect of Carbon Emission Regulations on the Supply Chain with Two Substitutable Products Xu Chang-yan, Shanghai Maritime University, 1550 Haigang Avenue, Shanghai, 201306, China, silu369@126.com, Wang Chuan-xu, Rongbing Huang We examine a decision problem for one retailer and one manufacturer under the influence of carbon tax policy set by the government. The manufacturer produces two partially substitutable products with different carbon emissions. The two- stage game theoretical model under three different carbon tax policies is investigated. The impact of carbon tax and green subsidy on the profits of the manufacture, the retailer, and the supply chain is analyzed. WC46 46-Room 104A, CC Sustainability and New Business Models Sponsor: Manufacturing & Service Oper Mgmt/Service Operations Sponsored Session Chair: Karan Girotra, Associate Professor, INSEAD, Boulevard de Constance, Fontainebleau, 77300, France, Karan.Girotra@insead.edu Co-Chair: Serguei Netessine, Professor, INSEAD, 1 Ayer Rajah Avenue, Singapore, 138676, Singapore, Serguei.Netessine@insead.edu 1 - Algorithms and Computational Results for the (CITI) Bike-sharing System David Shmoys, Cornell University, School of ORIE, Bike-sharing systems are becoming increasingly prevalent in urban environments. Users imbalance the system by creating demand in an asymmetric pattern; this necessitates intervention to restore balance and facilitate future use. Pre-balancing the system in preparation for usage requires placement of the available bikes at stations to minimize the expected rush-hour outage minutes. We present algorithmic approaches for pre-balancing and both mid-rush hour and overnight rebalancing operations. 2 - The Implications of the Auto Manufacturer’s Involvement in the Car Sharing Business Ioannis Bellos, Assistant Professor, George Mason University- ISOM Area, Enterprise Hall, 4400 University Drive, MS 5F4, Fairfax, VA, 22030, United States of America, ibellos@gmu.edu, Mark Ferguson, Beril Toktay We study the auto manufacturer’s choice regarding whether to offer a car sharing business model in conjunction with the traditional sales channel. We determine the efficiency of the vehicles offered and we characterize the economic and environmental implications. Rhodes Hall, Ithaca, NY, 14853, United States of America, david.shmoys@cornell.edu, Eoin O’Mahony, Ola Svensson, Shane Henderson

WC47 47-Room 104B, CC

Incentive Issues in Sustainable Operations Sponsor: Manufacturing & Service Oper Mgmt/Sustainable Operations Sponsored Session

Chair: Luyi Gui, Assistant Professor, UC Irvine, United States of America, luyig@exchange.uci.edu

1 - Impact of Certification Programs on Waste Recovery Gokce Esenduran, esenduran.1@osu.edu, Yen-Ting Lin, Wenli Xiao R2 and E-stewards are two main certification programs for recyclers. The latter is stricter and costlier to implement; however when customers are “green”, it would also result in higher product returns. In order to understand which certification is more profitable to adopt under what conditions, we model the competition between recyclers considering the consumers’ and collectors’ decisions as well. We also identify the impact of certification’s stringency on the total recycling amount. 2 - The Joint Impact of Public Awareness Campaigns and System Infrastructure on E-Waste Collection Wenyi Chen, Postdoc, McGill University, 1001 Rue Sherbrooke Ouest, Montreal, QC, H3A 1G5, Canada, wenyi.chen@mail.mcgill.ca, Jianmai Shi, Vedat Verter We present a dynamic formulation for the joint design of the collection center network and the campaign strategy for a monopolistic non-profit organization. We use a Nerlove-Arrow-type advertising model to capture the “carryover effect” in the consumers’ environmental awareness and a continuous approach to incorporate the impact of the collection center locations. A case study based on the British Columbia Stewardship Program in Canada is presented. 3 - Impact Analysis of Recyclability and Reusability on Greenhouse Gas Emissions and Related Cost Hailong Cui, University of Southern California, Marshall School of Business, Bridge Hall B5, Los Angeles, CA, 90089, United States of America, Hailong.Cui.2019@marshall.usc.edu, Greys Sosic We build supply chain models to evaluate the impact of recyclability and reusability on the emissions through the products’ life cycle and derive conditions that lead to reduction in the long-run average emissions. We then investigate the cost of recycling and emissions imposed on the supply chain and on the society to understand optimal decisions for centralized and decentralized cases. We compare outcomes obtained when recycling is run by the government and when it is done by the manufacturer. WC48 48-Room 105A, CC Revenue Management Pricing I Contributed Session Chair: Fredrik Odegaard, Ivey Business School, Western University, 1255 Western Road, London, ON, N6G 0N1, Canada, fodegaard@ivey.uwo.ca 1 - Dynamic Pricing to Maximize Profits in Multiproduct and Multioutlet Channel Systems Markus Bergmeier, Research Assistant, University of Passau / Chair of Marketing and Services, Innstr. 27, Passau, 94032, Germany, markus.bergmeier@uni-passau.de, Dirk Totzek To date, operations research approaches have played a minor role in the field of managing multiple online and offline distribution channels. We develop an optimization model that captures heterogeneous customer characteristics over time and enables companies to choose profit-maximizing prices for each product, distribution channel, intermediary, consumer group, and period. We test this model using data from different industries and show that it leads to higher profits and optimal coordination.

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