Implementing category management of services – a new methodology

2019 ◽  
Vol 19 (2) ◽  
pp. 165-183
Author(s):  
Aruna Apte ◽  
Corey Arruda ◽  
Austin Clark ◽  
Karen Landale
Keyword(s):  
Los Angeles ◽  
Value Added ◽  
Cost Driver ◽  
Data Availability ◽  
Limiting Factors ◽  
Category Management ◽  
Gold Plating ◽  
Content Type ◽  
Cost Drivers ◽  
Service Contracts

Purpose In an increasingly budget-constrained environment, the Department of Defense (DoD) must maximize the value of fiscal resources obligated on service contracts. Over half of DoD procurement spending between 2008 and 2012 was obligated on service contracts (GAO, 2013). Many services are common across the enterprise and recurring in nature; however, they are treated as unique and procured individually at the base level, year after year, rather than collectively in accordance with a larger, enterprise-wide category management strategy. The purpose of this paper is to focus on creating a methodology that treats common, recurring service requirements in a more strategic manner. Design/methodology/approach The authors develop a standardized, repeatable methodology that uses relevant cost drivers to analyze service requirements to identify more efficient procurement strategies. Furthermore, they create a clustering continuum to organize services based on proximity between the customer-supplier bases. This paper uses a commercial business mapping software to analyze cost driver data, produce visualizations and illustrate strategic opportunities for category management initiatives. DoD requirements for Integrated Solid Waste Management (ISWM) within the Los Angeles area are evaluated using the software and methodology to demonstrate a model for practical application. Findings The authors find that commercial software can be used to cluster requiring activities needing common, recurring services. This standardized, repeatable method can be applied to any category of services with any number of cost drivers. By identifying optimal requiring activity clusters, procurement agencies can more effectively implement category management strategies for service requirements. Research limitations/implications The initial approach of this paper was to develop a macro-level, one-size-fits-all model to centralize procurement. The authors found this approach inadequate as they tried to group service requirements of wildly differing characteristics. They experienced other significant limiting factors related to data availability and data collection. Social implications Clustering common and recurring DoD service requirements would result in standardized levels of service at all installations. The demand savings from clustering would promote the implementation of best practices for that service requirement across the DoD, which would eliminate non-value-added activities currently performed at some installations, or gold-plating of requirements, which is also likely occurring. Originality/value This paper is the first to use an analytics-based methodology to cluster common, recurring public services. It is the first method that offers a standardized, repeatable approach to implementing category management of service requirements to achieve cost savings.

scholarly journals A PROPOSED CASE STUDY FIELD RESEARCH METHODOLOGY TO TEST COST DRIVERS: AN EXAMPLE OF PROPOSED FIELD STUDY AT A NUCLEAR MEDICINE UNIT

2021 ◽  
pp. 123-129
Keyword(s):  
Nuclear Medicine ◽  
Research Methodology ◽  
Value Added ◽  
Field Research ◽  
Cost Driver ◽  
Cost Drivers ◽  
Managerial Decisions ◽  
Industry Research ◽  
The Cost

This paper illustrates how to use case study method to conduct the cost driver research at hospitals by identifying activity-based cost drivers at the nuclear medicine unit (NMU) of a teaching hospital. I argue that recognizing the activity-based cost could improve the accuracy of estimating costs by identifying the underutilized resources and value-added and non-value-added cost drivers, to reduce non-value-added costs; thereby, facilitating the management to make better informed managerial decisions (e.g., improving pricing practices and using resources more efficiently). Therefore, I believe that this study may provide a useful inference to hospitals to improve the quality and quantity of the service, which they (or would) provide. Furthermore, this paper possibly provides an informative research methodology for researchers by showing how to extend the current literature by applying the same cost analysis research model on a different dataset for the health care industry research.

Adding value to education for sustainability in Africa with inquiry-based approaches in open and distance learning

2016 ◽  
Vol 17 (2) ◽  
pp. 167-187 ◽  
Author(s):  
Rudi Pretorius ◽  
Andrea Lombard ◽  
Anisa Khotoo
Keyword(s):  
Distance Learning ◽  
Transformative Learning ◽  
Information And Communication Technologies ◽  
Value Added ◽  
Global South ◽  
Education For Sustainability ◽  
Limiting Factors ◽  
Content Type ◽  
Narrative Assessment ◽  
Open And Distance Learning

Purpose – Inquiry-based approaches can potentially enrich sustainability learning in any educational context, more so in open and distance learning (ODL – perceived as theoretically inclined) and in regions of educational need (such as the Global South, of which Africa forms part). The purpose of this paper is to map the benefits and challenges of using inquiry-based learning (IBL), with reference to ODL and the value added by IBL in terms of education for sustainability (EfS) in Africa. Design/methodology/approach – Evidence-based reflection is used to provide a narrative assessment of the experience gained with IBL in two undergraduate sustainability-focussed modules in the Department of Geography at the University of South Africa (Unisa), an ODL provider in Africa and the Global South. Findings – Consideration of enabling and limiting factors indicates that although constraints are experienced, adoption of IBL approaches holds potential as pedagogic for EfS in Africa, due to grounding of learning in theory and applied to local places/contexts. This indicates a role for IBL to change perceptions regarding the lack of practical utility of ODL. Originality/value – Implementing place-based and contextual IBL is innovative in ODL. It adds value to learning experiences and supports transformative learning, both important components of EfS and addressing a need in the African context. Practitioners will find the experience gained with implementation of IBL, coupled with possibilities associated with information and communication technologies, of value.

Managing costs by business model: issues emerging from the case of E-Car

2016 ◽  
Vol 20 (4) ◽  
pp. 28-45 ◽  
Author(s):  
Riccardo Giannetti ◽  
Laura Risso ◽  
Lino Cinquini
Keyword(s):  
Business Model ◽  
Electric Vehicles ◽  
Secondary Data ◽  
Cost Driver ◽  
Content Type ◽  
Cost Drivers ◽  
Electric Cars ◽  
Driver Analysis ◽  
The Cost ◽  
The Impact

Purpose The aim of this paper is to explore the managing of cost drivers using a business model (BM) design. Particularly, the paper explores the link between a BM and cost driver analysis adopting a service-dominant logic (SDL) perspective. The empirical domain addresses the dynamic and complex scenarios of electric cars, where many actors are involved, several marketing and technological aspects are still unclear and where the high cost of batteries delays the wide diffusion of electric vehicles. The paper explores how SDL could support the BM design and how the cost driver analysis and BM design are linked when the SDL perspective is adopted. Design/methodology/approach This paper analyses secondary data and findings collected by interviews performed with managers belonging to the automotive sector. Findings The results show that the BM design could be a solution to address cost problems and the cost driver analysis may play a role in formulating an economically sustainable BM. Splitting a product into a “package of services” can provide direction for research of an alternative BM design in an attempt to manage the impact of cost drivers and pursue economic sustainability. Originality/value This paper explores a topic that has not yet focused on cost management research, i.e. the link between BM and cost driver analysis adopting an SDL perspective.

Financial distress determinants among SMEs: empirical evidence from Sweden

2020 ◽  
Vol 47 (3) ◽  
pp. 547-560 ◽  
Author(s):  
Darush Yazdanfar ◽  
Peter Öhman
Keyword(s):  
Financial Crisis ◽  
Financial Distress ◽  
Large Scale ◽  
Global Financial Crisis ◽  
Binary Logistic Regression ◽  
Data Availability ◽  
Cross Sectional ◽  
Data Set ◽  
Content Type ◽  
The Global Financial Crisis

PurposeThe purpose of this study is to empirically investigate determinants of financial distress among small and medium-sized enterprises (SMEs) during the global financial crisis and post-crisis periods.Design/methodology/approachSeveral statistical methods, including multiple binary logistic regression, were used to analyse a longitudinal cross-sectional panel data set of 3,865 Swedish SMEs operating in five industries over the 2008–2015 period.FindingsThe results suggest that financial distress is influenced by macroeconomic conditions (i.e. the global financial crisis) and, in particular, by various firm-specific characteristics (i.e. performance, financial leverage and financial distress in previous year). However, firm size and industry affiliation have no significant relationship with financial distress.Research limitationsDue to data availability, this study is limited to a sample of Swedish SMEs in five industries covering eight years. Further research could examine the generalizability of these findings by investigating other firms operating in other industries and other countries.Originality/valueThis study is the first to examine determinants of financial distress among SMEs operating in Sweden using data from a large-scale longitudinal cross-sectional database.

Socioeconomic effects of pension spending: evidence from Spain

2020 ◽  
Vol 47 (5) ◽  
pp. 599-617
Author(s):  
Fernando Bermejo ◽  
Eladio Febrero ◽  
Andre Fernandes Tomon Avelino
Keyword(s):  
Peer Review ◽  
Social Protection ◽  
Pension System ◽  
Decomposition Analysis ◽  
Value Added ◽  
Total Output ◽  
Alternative View ◽  
Input Output ◽  
Structural Decomposition Analysis ◽  
Content Type

PurposeThe purpose of this study is to provide broader understanding of the significant role that the pension system has in the Spanish economy by estimating the sectoral production, employment and income sustained by pensioners' consumption.Design/methodology/approachBased on input–output tables by the World Input–Output Database and consumption data from the Household Budget Survey by the Spanish Statistical Office, a demoeconomic model is applied to quantify the direct impacts, indirect impacts from interindustry links and induced impacts from income–consumption connections over a nine-year period (2006–2014). Then, the factors driving the evolution of total output, employment and value added during such period have been examined by using structural decomposition analysis.FindingsThe growing participation of consumption by pensioner households in final demand had proven crucial during the 2008 crisis to alleviate the negative trend in production and employment derived from the collapse in consumption suffered by the rest of households.Practical implicationsDetermining the underlying factors driving changes in both employment and income during the 2008 crisis can be of interest in political decision-making on the sustainability of the Spanish pension system.Social implicationsThe results of estimating both the employment and income supported by pensioners' consumption reveal the significant stabilizing effect of the public spending on pensions, particularly during the 2008 crisis.Originality/valueThe current Spanish approach of attaining the pension system sustainability by merely reducing social protection costs ignores the adverse consequences of a lower pensioners' demand. This paper addresses an alternative view in which pension spending is not considered a burden on economic growth but rather a means of improving the level of production and employment.Peer reviewThe peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-01-2019-0047

Utilizing a systematic literature review to develop an integrated framework for information and knowledge management systems

2017 ◽  
Vol 47 (2) ◽  
pp. 250-264 ◽  
Author(s):  
Chulatep Senivongse ◽  
Alex Bennet ◽  
Stefania Mariano
Keyword(s):  
Knowledge Management ◽  
Literature Review ◽  
Systematic Literature Review ◽  
Value Added ◽  
Specific Area ◽  
Management Systems ◽  
Knowledge Management Systems ◽  
Content Type ◽  
Integrated Framework ◽  
Information And Knowledge Management

Purpose The purpose of this paper is to demonstrate the value of using a systematic literature review to develop an integrated framework for information and knowledge management systems. Design/methodology/approach First, the systematic literature review method is introduced, differentiating it from traditional literature reviews in terms of value-added and limitations. Second, this methodology is used in a research application focused on absorptive capacity internal capabilities with regard to the processes of acquisition, assimilation, transformation and exploitation. Third, an integrated framework for information and knowledge management systems is developed from this application. Findings The systematic literature review approach provides a rigor that can assist in reducing researcher bias while simultaneously enabling the definition of a precise scope of review, with a clear explanation of selection criteria with the objective to find and review all the studies that are relevant to the search definitions. As a research method, it effectively supports a qualitative, quantitative or mixed methodology. Research limitations/implications This methodology was applied to one specific area of research. Specific limitations include the availability of articles in subscribed databases and the analytical capabilities of the tools used for text mining and analytics. Originality/value This paper demonstrates the usefulness of the systematic literature review methodology in developing an integrated framework for analysis.

scholarly journals A 40 Mb/s VLC System Reusing an Existing Large LED Panel in an Indoor Office Environment

Sensors ◽  
2021 ◽  
Vol 21 (5) ◽  
pp. 1697
Author(s):  
Xicong Li ◽  
Zabih Ghassemlooy ◽  
Stanislav Zvánovec ◽  
Paul Anthony Haigh
Keyword(s):  
Modulation Depth ◽  
Light Emitting Diode ◽  
Low Cost ◽  
Data Communication ◽  
Experimental System ◽  
Digital Signal ◽  
Visible Light Communication ◽  
Cost Driver ◽  
Limiting Factors ◽  
Light Sources

With advances in solid-state lighting, visible light communication (VLC) has emerged as a promising technology to enhance existing light-emitting diode (LED)-based lighting infrastructure by adding data communication capabilities to the illumination functionality. The last decade has witnessed the evolution of the VLC concept through global standardisation and product launches. Deploying VLC systems typically requires replacing existing light sources with new luminaires that are equipped with data communication functionality. To save the investment, it is clearly desirable to make the most of the existing illumination systems. This paper investigates the feasibility of adding data communication functionality to the existing lighting infrastructure. We do this by designing an experimental system in an indoor environment based on an off-the-shelf LED panel typically used in office environments, with the dimensions of 60 × 60 cm2. With minor modifications, the VLC function is implemented, and all of the modules of the LED panel are fully reused. A data rate of 40 Mb/s is supported at a distance of up to 2 m while using the multi-band carrierless amplitude and phase (CAP) modulation. Two main limiting factors for achieving higher data rates are observed. The first factor is the limited bandwidth of the LED string inside the panel. The second is the flicker due to the residual ripple of the bias current that is generated by the panel’s driver. Flicker is introduced by the low-cost driver, which provides bias currents that fluctuate in the low frequency range (less than several kilohertz). This significantly reduces the transmitter’s modulation depth. Concurrently, the driver can also introduce an effect that is similar to baseline wander at the receiver if the flicker is not completely filtered out. We also proposed a solution based on digital signal processing (DSP) to mitigate the flicker issue at the receiver side and its effectiveness has been confirmed.

Graduates giving back – a mentoring program for MBA students

2015 ◽  
Vol 4 (3) ◽  
pp. 200-212 ◽  
Author(s):  
Ann Darwin
Keyword(s):  
Higher Education ◽  
South Australia ◽  
Value Added ◽  
Master Of Business Administration ◽  
Mentoring Program ◽  
Education Students ◽  
Content Type ◽  
Mba Students ◽  
A Value ◽  
The University

Purpose – The purpose of this paper is to discuss the challenges and obstacles encountered in the implementation of a mentoring program for Master of Business Administration (MBA) students at the University of South Australia (UniSA) Business School. The paper starts with an exploration into the need for a mentoring program, the trial and subsequent four years of implementation. The paper also explores the network model of mentoring and the reasons why this, rather than a more traditional model, was chosen for the program’s implementation. Design/methodology/approach – This exploratory case study uses data from over 600 students and their alumni mentors over a five-year period to evaluate and improve the program as well as cultivating a critical community of adult learners. Findings – Feedback from students indicates that the mentoring program is regarded by most as a value-added feature of their early learning as it offers support, if and when it is required, from those who have been there before. Research limitations/implications – Results are limited to one institution. However, as research into mentoring for higher education students is thin on the ground, this study contributes to our understanding of the positive impacts of mentoring on student success. Practical implications – This paper emphasizes the importance of business leaders giving back to their alma mater through mentoring current MBA students. It shows how mentoring can support learning and management development. Originality/value – This is an original study which explores ways to increase the learning of higher education students for positive social outcomes.

scholarly journals Overcoming the capital investment hurdle in worker-controlled firms

2019 ◽  
Vol 2 (2) ◽  
pp. 133-150
Author(s):  
Guy Major ◽  
Jonathan Preminger
Keyword(s):  
Capital Investment ◽  
Value Added ◽  
Employee Ownership ◽  
Workplace Democracy ◽  
Equity Investment ◽  
Content Type ◽  
Academic Literature ◽  
Worker Ownership ◽  
Significant Step ◽  
Average Worker

Purpose Both the academic literature and practitioners have long noted the need for an equity investment mechanism for worker-controlled firms that alleviates investor anxieties without undermining internal workplace democracy. The purpose of this paper is to outline one such possible mechanism. Design/methodology/approach The proposal locks together the interests of workers and external investors, via non-voting shares with dividends set by a pre-agreed value-added sharing formula. Each worker is paid a base wage, with the average across the firm being a pre-defined multiple of the national minimum wage. Any additional surplus is split into a number of equal “slices”, with each share receiving one slice as its dividend, and the average worker receiving a pre-agreed number of slices as a bonus. Findings Workers have an incentive to maximise their own incomes, and in so doing, will also automatically maximise the dividends received by investors, obviating the need for the shares to have normal voting rights. Working on this principle of aligned interests, the authors also discuss reinvestment, worker ownership of non-voting shares and possibilities for a secondary share market. The authors show how this proposal will be a significant step in aligning the interests of investors with owner-workers in a democratic, negotiated way that shares both risk and returns, thus making worker-controlled firms more attractive to equity investment. Originality/value In light of the recognised problem of underinvestment in worker-controlled firms and the risk of their degeneration, this paper will interest both academics and practitioners in employee ownership, co-operatives and various forms of workplace democracy.

Determining the structure of pharmaceutical industry in Iran

2019 ◽  
Vol 13 (1) ◽  
pp. 101-115
Author(s):  
Sara Emamgholipour ◽  
Lotfali Agheli
Keyword(s):  
Pharmaceutical Industry ◽  
Economies Of Scale ◽  
Monopolistic Competition ◽  
Pharmaceutical Market ◽  
Data Availability ◽  
Market Demand ◽  
Firm Level ◽  
Content Type ◽  
Measure Concentration ◽  
Pharmaceutical Industries

Purpose As the pharmaceutical industry is one of the key sectors of the health-care system, the identification of its structure is of particular importance. This paper aims to determine the structure of the pharmaceutical industry in Iran to provide appropriate solutions for pricing and regulation by policymakers. Iran is a growing pharmaceutical market with over $4bn in sales, so the supply side needs to be examined to meet the domestic consumption. Design/methodology/approach This research is a descriptive and retrospective analytical study which examines the Iranian pharmaceutical industry through library studies and using pharmaceutical data of the country’s Food and Drug Administration during 1992-2016. Due to data availability in firm level, the concentration ratio of N leading firms and the Herfindahl–Hirschman index are used to measure the concentration of the pharmaceutical market in 2014 and 2016. Findings The results show that pharmaceutical manufacturing, importing companies and distributing companies play roles in monopolistic competition market, loose oligopoly market and oligopoly market, respectively. For all companies, the magnitudes of Herfindahl–Hirschman indices indicate non-competitive settings. As a result, these companies set their own prices, and market demand affects their sales. In addition, demand for medicines is shaped in the form of supply-induced demand. Research limitations/implications This research was accomplished with no computational limitation. However, it was confined to only one country, one industry and the mentioned period of study. Practical implications The pharmaceutical manufacturers have no influence on medicine prices, and government pricing regulations lessen the market power of such market agents. However, the easy entry to and exit from market stimulate producers to participate in manufacturing activities. The pharmaceutical importers may expand their imports in response to entry new actors; however, the new entrants weaken the coordination on pricing decisions. Social implications As pharmaceutical distributers act in an oligopoly market, they can collude, reduce competition and lower the welfare of pharmaceutical consumers. In such conditions, high investment requirements and economies of scale may discourage the entry of new firms. Originality/value Although there are various studies on market structure in non-pharmaceutical industries, this study is a new effort to measure concentration in the Iranian pharmaceutical market and to determine its structure.

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