2015 Informs Annual Meeting

SA41

INFORMS Philadelphia – 2015

3 - Overconfident Competing Newsvendors Meng Li, University of Illinois, Wohlers Hall, 1206 S Sixth St.,

4 - Routines, Frictions, and Parenthetical “MAN”: The Model of Managerial Rationality Robert Ryan, Doctoral Candidate, University of Pittsburgh, 6 Hillstream Rd, Newark, DE, 19711, United States of America, ryanrc111@gmail.com, Barry Mitnick The question of “what managers do” is an abandoned line of research, but shouldn’t be. For studies of managed organizations, we still lack a model of how managerial actions and routines interact to create value for the firm. We address this gap. We call the logic of managerial actions, “managerial rationality” with three necessary conditions: “I break it” “I own it” “I fix it”. This model includes four meta-cognitive action types: problematizing, objectivizing, planning, and committing. SA41 41-Room 102A, CC Joint Session MSOM-Health/HAS/Analytics: Data-driven Modeling in Healthcare I Sponsor: Manufacturing & Service Oper Mgmt/Healthcare Operations, HAS & Analytics Sponsored Session Chair: Nan Liu, Columbia University, 722 W. 168th. St., New York, United States of America, nl2320@columbia.edu Co-Chair: Yichuan Ding, UBC, 2053 Main Mall, Sauder School of Business, Vancouver, BC, V6T1Z2, Canada, daniel.ding@sauder.ubc.ca 1 - Effective Mechanisms for Reducing Hospital Readmissions In this work we consider the problem of optimal design and capacity allocation for monitoring and treatment mechanisms to reduce patient readmissions. Using actual data, we analyze how groups in the healthcare provider system (hospitals, physicians, post-discharge follow-up care) would adjust their approach to readmission reduction in terms of what monitoring approaches / interventions to employ and when to employ them. 2 - Admission Control in a Network of ICUS and PCU/IMC Units Based on Patient Mortality Risk Amirhossein Meisami, PhD Student, University of Michigan, 1205 Beal Avenue, Ann Arbor, MI, 48109, United States of America, meisami@umich.edu, Jivan Deglise-hawkinson, Mark Cowen, Jennifer Czerwi, Mark Van Oyen Traditional admission to ICU and step-down/intermediate care units emphasizes acuity and specific treatment needs for “mandatory” placement. This revised work optimizes the selective admission of highest risk “non-mandatory” patients to the higher care unit network. The MIP models the queuing network dynamics to avoid excessive blocking of mandatory patients. 3 - Mitigating the Effect of Schedule Dependent No-show Zhenzhen Yan, National University of Singapore, NUS, Business Jon Stauffer, Indiana University, 1309 E. Tenth Street, Bloomington, IN, 47405, United States of America, stauffer@indiana.edu, Kurt Bretthauer, Jonathan Helm Based on empirical study of two sets of data from US and Chile, we observe patient’s no show probability is related to the appointment schedule. We develop a conic programming approach to study the effect of schedule dependent no- show on the design of the optimal schedule, and its impact on the choice of overbooking strategy. Our method is able to overcome the deficiency of standard stochastic LP approach, which is not able to handle this problem. 4 - Managing Appointment-based Health Services under Patient Choices Nan Liu, Columbia University, 722 W. 168th. St., New York, NY, United States of America, nl2320@columbia.edu, Peter Van De Ven, Bo Zhang This talk provides a framework to critique two main scheduling paradigms currently used in the healthcare market: non-sequential (online) appointment scheduling and sequential (similar to over-the-phone) scheduling. We develop dynamic programming models and approximate algorithms to solve them. We show that a significant efficiency improvement can be achieved by carefully modeling the scheduling process and explicitly accounting for patient choice. School 1 Business Lin, PhD Program Deans Office Biz2, Singapore, 117592, Singapore, a0109727@u.nus.edu, Qingxia Kong, Shan Li, Chung Piaw Teo, Nan Liu

Champaign, IL, 61820, United States of America, mengl@illinois.edu, Jun Zhang, Nicholas Petruzzi

In this paper, we study the effects and implications of overconfidence in a competitive newsvendor setting. This bias unequivocally leads to a lower expected profit for a newsvendor that does not compete on inventory availability. Nevertheless, it can be a positive force for competing newsvendors. In a similar vein, we also show that the more biased of two competing newsvendors is not necessarily destined to a smaller expected profit than its less biased competitor. 4 - Transshipment in a Supply Chain with Competing Retailers Tao Li, Santa Clara University, 500 El Camino Real, Santa Clara, CA, 95053, United States of America, tli1@scu.edu, Meng Li We study a supply chain with one manufacturer and two retailers who transship inventory between each other. We show the manufacturer’s profit increases in customer search probability. We study the effect of bargaining power over the transshipment decision. We show the manufacturer always prefers to control the transshipment price rather than to control whether to transship, while the retailer can prefer both. We find bargaining power always benefits the manufacturer but could hurt the retailer.

SA40 40- Room 101, CC Organization Theory I Contributed Session

Chair: Robert Ryan, Doctoral Candidate, University of Pittsburgh, 6 Hillstream Rd, Newark, DE, 19711, United States of America, ryanrc111@gmail.com 1 - On Dynamics of Mirroring Hypothesis: How Product’s Architecture Influences Social Network of Developers Mahdi Ebrahim, PhD Candidate, Bocconi University, Via Rontgen 1, Milan, MI, 20138, Italy, mahdi.ebrahim@phd.unibocconi.it Organization literature implies that product architecture and organizational structure mirror each other.Recent studies,though,show cases of mismatch between the two.Adverse effect of mismatch on product is well documented.Yet, its drivers are still unclear.We hypothesize that design elements with different complexity levels cause various forms of mismatch,the most harmful of which caused by Core elements.A dataset of elements’ dependencies & developers’ communications used to test hypotheses. 2 - Behavioral Motivation for Diversification: A Linkage Between Aspiration and Environment Christine Choi, Seoul National University, 1 Gwanak-ro, Gwanak-gu, Seoul, Korea, Republic of, kiky1001@snu.ac.kr, Taewoo Roh We explore how performance relative to aspiration level influences firms’ choice of diversification strategy contingent upon task environment. Using sample of U.S. manufacturing firms, we propose that motivation to pursue specific diversification strategy is simultaneously affected by individual performance feedback condition and environmental dimensions. The study contributes both to the behavioral theory and diversification literatures by identifying antecedents for diversification strategy. 3 - Balancing of Exploration and Exploitation: from Punctuated Equilibrium to Dynamic Ambidexterity Julio Pertuze, Assistant Professor, Pontificia Universidad Catolica de Chile, Av. Vicuña Mackenna 4860, Macul, Santiago, RM, Chile, jpertuze@ing.puc.cl, Stephen X. Zhang We clarify the process through which firms balance exploration, exploitation, and the origins of ambidexterity. Based on inductive case studies of academic startups, we found that firms initially balance exploration and exploitation sequentially and later develop ambidexterity. High-frequency switching between exploration and exploration enhanced the fitness of routine assembly. We contribute to the understanding of the assembly of routines and to the nascent dynamic view on ambidexterity.

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