Complexity and Control

2018 ◽  
pp. 79-96
Keyword(s):  
Value Creation ◽  
Economic Value ◽  
Management Model ◽  
Clear Understanding ◽  
Complex Entity ◽  
Complexity Management ◽  
Causal Ambiguity ◽  
Complex Settings ◽  
And Control ◽  
Value Measurement

Measuring and managing a firm's performance in complex settings are at the center of the debate in business management studies in recent years. The causal ambiguity condition that affects the dynamics of value creation makes it difficult to achieve a clear understanding of the mechanisms underpinning economic value. Thus, a conceptualization of the firm as a complex entity and a complexity management model are proposed, with the aim to contribute towards improving the disentanglement of the messy nature of the process of economic value creation. Finally, building on the assumption that financial and quantitative measures should always be the end goal of the process of the firm's economic value measurement, the most important models and metrics of value creation are reported.

Determining the Value of Monitoring and Diagnostics

2008 ◽  
Author(s):  
Bruce M. Cook
Keyword(s):  
Economic Value ◽  
Value Added ◽  
Economic Benefits ◽  
Clear Understanding ◽  
Regulatory Constraints ◽  
On Line ◽  
Plant Equipment ◽  
Monitoring And Diagnostics ◽  
Staffing Requirements ◽  
And Control

Conventional wisdom says that condition monitoring and on-line diagnostics of plant equipment and instrumentation and control systems can provide economic benefits to the nuclear utility. However, placing a dollar value on these benefits is difficult for a number of reasons. Maintenance crew sizes have a practical minimum to address staffing requirements. Reducing the amount of maintenance activity does not necessarily result in man-power savings. Regulatory constraints limit the extent to which probabilistic arguments can be relied on to avoid or defer preventive maintenance of safety-related equipment. Increasing the instrumentation of equipment to support advanced diagnostics can result in prohibitive hidden costs in change paperwork not to mention the direct cost of the sensors and cables. Although the use of wireless technology can offset this somewhat, without a clear understanding of the economic value of monitoring and diagnostics the utility has problems in deciding where its upgrade dollars are best spent; and the vendor has difficulty in developing products that delight the customer. In order to fill this gap in understanding, a workshop was held between monitoring and diagnostic experts at Westinghouse and utility representatives to define the value proposition for predictive diagnostics in operating plants. The objectives of this workshop were to: 1) determine where monitoring and diagnostics can be used to the benefit of the plant, 2) identify technologies available to apply to monitoring and diagnostics, 3) enumerate the barriers to installation of advanced monitoring and diagnostics, 4) establish value added propositions for efforts by the utility, by major vendors such as Westinghouse, and by sub-vendors, and 5) prioritize product development to provide the largest immediate benefit to the utilities. This paper discusses the outcome of that workshop and the directions of future developments in the area of monitoring and diagnostics of plant equipment and Instrumentation and Control.

Multi-agent systems to enable Industry 4.0

2020 ◽  
Vol 68 (6) ◽  
pp. 445-458
Author(s):  
Birgit Vogel-Heuser ◽  
Matthias Seitz ◽  
Luis Alberto Cruz Salazar ◽  
Felix Gehlhoff ◽  
Alaettin Dogan ◽  
...  
Keyword(s):  
Value Creation ◽  
Industry 4.0 ◽  
Clear Understanding ◽  
Multi Agent Systems ◽  
Discussion Paper ◽  
Agent Based ◽  
Self Organized ◽  
Message Structure ◽  
Multi Agent ◽  
And Control

AbstractThe discussion paper “I4.0 language: vocabulary, message structure and semantic interaction protocols of the I4.0 language”, published by the working group “Semantics and Interaction of Industry 4.0 Components” of the GMA, also known as UAG of the AG 1 of the platform Industry 4.0 (I4.0), presented a concept for the language between I4.0 components. The main conclusion is: The increasing networking and cooperation of components enable new forms of organization and control. A clear understanding of machine interactions paves self-organized and self-optimized value creation in I4.0. Agent-based systems are an option for the realization of such I4.0 architectures. Due to their features, software agents are particularly well suited for representing I4.0 components and enabling I4.0 interactions. Agents are not only able to understand the necessary machine languages, but also the essential mechanisms for self-organization and self-optimization in value creation. The paper focuses on I4.0 scenarios described by the Platform I4.0 that describes challenges for the industry towards its digital future and demonstrates how emerging challenges in the area of I4.0 can be met with the help of agent-based systems.

Financial institutions mergers: a strategy choice of wealth maximisation and economic value

2020 ◽  
Vol 12 (4) ◽  
pp. 495-529
Author(s):  
Mohamad Hassan ◽  
Evangelos Giouvris
Keyword(s):  
Credit Risk ◽  
Event Study ◽  
Financial Institutions ◽  
Value Creation ◽  
Economic Value ◽  
Abnormal Returns ◽  
Study Analysis ◽  
Event Window ◽  
Content Type ◽  
Merger Announcement

Purpose This study Investigates Shareholders' value adjustment in response to financial institutions (FIs) merger announcements in the immediate event window and in the extended event window. This study also investigates accounting measures performance, comparison of post-merger to pre-merger, including several cash flow measures and not just profitability measures, as the empirical literature review suggests. Finally, the authors examine FIs mergers orientations of diversification and focus create more value for shareholders (in the immediate announcement window and several months afterward) and/or generates better cash flows, profitability and less credit risk. Design/methodology/approach This study examines FIs merger effect on bidders’ shareholder’s value and on their observed performance. This examination deploys three techniques simultaneously: a) an event study analysis, to estimate and calculate abnormal returns (ARs) and cumulative abnormal returns (CARs) in the narrow windows of the merger announcement, b) buy and hold event study analysis, to estimate ARs in the wider window of the event, +50 to +230 days after the merger announcement and c) an observed performance analysis, of financial and capital efficiency measures before and after the merger announcement; return on equity, liquidity, cost to income ratio, capital to total assets ratio, net loans to total loans, credit risk, loans to deposits ratio, other expenses and total assets, economic value addition, weighted average cost of capital and return on invested capital. Deal criteria of value, mega-deals, strategic orientation (as in Ansoff (1980) growth strategies), acquiring bank size and payment method are set as individually as control variables. Findings Results show that FIs mergers destroy share value for the bidding firms pursuing a market penetration strategy. Market development and product development strategies enable shareholders’ value creation in short and long horizons. Diversification strategies do not influence bidding shareholders’ value. Local bank to bank mergers create shareholders’ value and enhance liquidity and economic value in the short run. Bank to bank cross border mergers create value for bidders’ in the long term but are associated with high costs and higher risks. Originality/value A significant advancement over the current literature is in assessing mergers, not only for bank bidders but also for the three pillars FIs of the financial sector; banks, real-estate companies and investment companies mergers. It is an improvement over current finance literature because it deploys two different strategies in the analysis. At a univariate level, shareholder value creation and market reaction to merger announcements are examined over short (−5 or +5 days) and long (+230 days) windows of the event. Followed by regressing, the resultant CARs and BHARs over financial performance variables at the multivariate level.

scholarly journals Integration of Business Processes With Activities and Information: Evidence From Brazil

SAGE Open ◽  
2021 ◽  
Vol 11 (1) ◽  
pp. 215824402110061
Author(s):  
Ana Maria Magalhães Correia ◽  
Clarissa Figueredo Rocha ◽  
Luiz Carlos Duclós ◽  
Claudimar Pereira da Veiga
Keyword(s):  
Information Systems ◽  
Enterprise Architecture ◽  
Business Processes ◽  
Information Architecture ◽  
Management Model ◽  
Science Parks ◽  
Specific Nature ◽  
Architecture Frameworks ◽  
And Control ◽  
The Relationship

This study proposes a management model by business processes for science parks based on the premises and concept of enterprise architecture (EA). The model offers integrating business processes with activities and information that can be generated by adopting customized information systems to meet the science parks’ needs. The proposed model’s main contributions included EA as a means for shaping and enabling reconfiguration through descriptions of the structures of business processes and information systems that connect these structures, forming business and information architecture frameworks. In association with these frameworks, the managers need to define a coherent set of patterns, policies, procedures, and principles that sustain the business processes integrated with the information systems. As a result of the study, this model can help management execute and control activities related to business processes in the parks through interaction and alignment with the information system intended to facilitate the execution. The model will also lead to greater agility and efficiency in these business processes, considering their specific nature and the relationship with the parks’ actors. As a practical contribution, knowledge of these processes aids the management of the parks in their drive for a competitive advantage by maintaining and developing their management models.

scholarly journals Rethinking government and its economy with Giorgio Agamben: The homo sacer in alternative entrepreneurship

2020 ◽  
Vol 68 (5) ◽  
pp. 948-964
Author(s):  
David Redmalm ◽  
Annika Skoglund
Keyword(s):  
Value Creation ◽  
Economic Value ◽  
Special Kind ◽  
Welfare States ◽  
Ethnographic Study ◽  
Economic Gain ◽  
Giorgio Agamben ◽  
Organizational Boundaries ◽  
Entrepreneurial Ventures ◽  
Organizational Goals

Giorgio Agamben argues in The Kingdom and the Glory (2011) that a theological remnant has survived since the medieval period that today makes it impossible to think of government and economy, or ethico-political questions and the administration of a society’s resources, separately. This conflation can be recognized in today’s growing trend of alternative entrepreneurial ventures that aim to merge social and economic value creation in response to shrinking welfare states. ‘Alternative entrepreneurship’ merges organizational goals and values with those of their members with the aim to increase innovation and productivity, and to spur social change. Rather than asking if and how alternative entrepreneurship can solve social problems, the present article contributes to a sociological understanding of the special kind of humanism embedded in these ventures. Drawing on Agamben’s work, this article theorizes the process that enables the conflation of personal and organizational values, and of ‘government and its economy’. The contribution is based on an ethnographic study of an IT company, founded in Hungary around 2010, and its engagement in the Budapest Pride Parade, in a Roma settlement, and in a mission to help Syrian refugees. Following Agamben, we think through these interventions as ‘zones of indistinction’ where organizational boundaries are dissolved, where contradictory values are conflated, and where the participants are positioned as homines sacri whose humanity is at stake. This article shows how the encounters within these zones enable a merging of idealism and economic gain, turning the company itself into a zone of indistinction.

scholarly journals From Culture 1.0 to Culture 3.0: Three Socio-Technical Regimes of Social and Economic Value Creation through Culture, and Their Impact on European Cohesion Policies

2018 ◽  
Vol 10 (11) ◽  
pp. 3923 ◽  
Author(s):  
Pier Sacco ◽  
Guido Ferilli ◽  
Giorgio Tavano Blessi
Keyword(s):  
Cultural Production ◽  
Value Creation ◽  
Cultural Policy ◽  
Policy Design ◽  
Economic Value ◽  
Cultural Participation ◽  
Social Value Creation ◽  
Open Question ◽  
The Relationship

We develop a new conceptual framework to analyze the evolution of the relationship between cultural production and different forms of economic and social value creation in terms of three alternative socio-technical regimes that have emerged over time. We show how, with the emergence of the Culture 3.0 regime characterized by novel forms of active cultural participation, where the distinction between producers and users of cultural and creative contents is increasingly blurred, new channels of social and economic value creation through cultural participation acquire increasing importance. We characterize them through an eight-tier classification, and argue on this basis why cultural policy is going to acquire a central role in the policy design approaches of the future. Whether Europe will play the role of a strategic leader in this scenario in the context of future cohesion policies is an open question.

scholarly journals The Moderating Effect of Social Innovation in Perspectives of Shared Value Creation in the Educational Sector of Ghana

2018 ◽  
Vol 10 (11) ◽  
pp. 4216 ◽  
Author(s):  
Wenyuan Li ◽  
Mohammed Abubakari Sadick ◽  
Abdul-Aziz Ibn Musah ◽  
Salisu Mustapha
Keyword(s):  
Value Creation ◽  
Social Innovation ◽  
Economic Value ◽  
Social Value ◽  
Survey Study ◽  
Shared Value ◽  
Study Results ◽  
Social Value Creation ◽  
The Creation ◽  
Moderating Role

This paper presents a survey study of how social innovation moderates social and economic value from the perspective of shared value creation. Specifically, the study addresses the following questions: Does economic value lead to social value creation in shared value creation? Does social innovation moderate social and economic value in the creation of shared value? The questions are addressed through an empirical investigation of 250 social enterprise organizations that apply social objectives and a market-based approach to attain social and economic goals in Ghana. The study used SmartPLS software version 3.0 to evaluate the data collected. The results indicated that economic value influences the creation of social value in shared value creation. Study results also revealed that social innovation is a driver of shared value creation via social value in the educational sector of Ghana. However, social innovation could not play a moderating role in economic value to shared value creation.

scholarly journals Scaling up visual attention and visual working memory to the real world

2020 ◽  
Author(s):  
Timothy F. Brady ◽  
Viola S. Störmer ◽  
Anna Shafer-Skelton ◽  
Jamal Rodgers Williams ◽  
Angus F. Chapman ◽  
...  
Keyword(s):  
Working Memory ◽  
Visual Attention ◽  
Visual Working Memory ◽  
Real World ◽  
Scaling Up ◽  
The Real ◽  
Vision Science ◽  
Precise Understanding ◽  
Complex Settings ◽  
And Control

Both visual attention and visual working memory tend to be studied with very simple stimuli and low-level paradigms, designed to allow us to understand the representations and processes in detail, or with fully realistic stimuli that make such precise understanding difficult but are more representative of the real world. In this chapter we argue for an intermediate approach in which visual attention and visual working memory are studied by scaling up from the simplest settings to more complex settings that capture some aspects of the complexity of the real-world, while still remaining in the realm of well-controlled stimuli and well-understood tasks. We believe this approach, which we have been taking in our labs, will allow a more generalizable set of knowledge about visual attention and visual working memory while maintaining the rigor and control that is typical of vision science and psychophysics studies.

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