Research by Stylianos Kavadias and Svenja C. Sommer suggests that brainstorming techniques are more effective when participants from different specialties collaborate to develop simpler products. The study found that in highly technical products, specialists work individually before collaborating through 'nominal' groups.
A study published in Management Science found that presenting small gains alongside large losses can improve decision-making by reducing mental pain. The 'Silver Lining Effect' suggests that people prefer separating positive and negative information to mitigate the impact of loss, with more pronounced effects for larger losses.
The study found that internet retailers can successfully compete with brick-and-mortar stores by focusing on niche products. The researchers recommend that online retailers vary their product offerings based on geographic locations and promotional strategies to target specific consumer groups.
The Institute for Operations Research and the Management Sciences (INFORMS) has awarded 11 new Fellows, recognizing their contributions to education, practice, research, and service in operations research. The recipients include experts in fields such as nonlinear programming, healthcare, marketing science, and revenue management.
Researchers found that focused hospitals deliver lower quality care to randomly assigned patients, measured by higher mortality rates. They also experience longer average lengths of stay for these patients. This suggests patient selectivity is a key driver of the superior outcomes seen at specialty hospitals.
A new study by Management Insights suggests that Iraq veterans may be experiencing a PTSD rate of up to 35%, doubling the expected rate due to delayed onset and subsequent deployments. The Institute for Operations Research and the Management Sciences calls for increased mental health resources to care for returning troops.
A new study in Operations Research journal highlights the difficulty of defeating insurgent groups like the Taliban, citing the crucial role of timely and accurate military intelligence. The model shows that even good intelligence may only contain the insurgency, not defeat it, and that the government's best option is to achieve a cont...
States with strict privacy laws have seen a significant decline in the adoption of electronic medical records, with a 24% reduction in sharing. This drop is attributed to the suppression of interactive benefits of EMRs due to regulatory restrictions.
Researchers suggest two-tiered scanning-protocol to inspect all containers, reducing risk of bottlenecks and costs. The current inspection regime is deemed inadequate due to limited capacity and high logistical requirements.
A new online decision tool allows prostate cancer patients to weigh their own preferences against medical data to personalize treatment plans. The tool considers multiple factors, including life expectancy and side effects, to guide treatment decisions.
A study of online DVD rentals found that customers tend to hold highbrow films longer than lowbrow films, with a 1.3% increase in reversal probability if the first film is more attractive. As customers gain experience, they tend to favor want over should characteristics.
Research in Management Science reveals that recommender systems can create self-reinforcing cycles favoring popular items, reducing diversity and serving consumers and producers poorly. To mitigate this issue, designers must consider modifications to limit popularity effects and promote exploration in their recommender systems.
Intel was awarded the 2009 INFORMS Prize for its extensive use of operations research to drive significant value and competitive advantage throughout its business. The prize recognized Intel's ability to apply O.R. techniques across various functions, resulting in over $2 billion in improved decision-making.
HP's innovative use of operations research tools, including Complexity ROI Calculator and Revenue Coverage Optimization, led to significant bottom line savings and improved customer satisfaction. The company's approach has resulted in hundreds of millions of dollars in cost savings and a more streamlined product offering.
A new study suggests that charging consumers a fee at the time of sale can significantly reduce electronic waste (e-waste) in the US. The approach is found to be more effective than fees upon disposal, increasing manufacturer profits while decreasing e-waste quantities.
Research by Christophe Boone and Walter Hendriks found that IT firms with diverse expertise and work experience tend to be more effective in managing organizations. In contrast, personality diversity hinders firm performance. The study suggests using carefully designed personnel selection techniques to screen for knowledge and experience.
The 2009 Franz Edelman finalists demonstrate that analytics and operations research can contain spending and increase profits even in lean economic times. The six finalists from the U.S. and Europe used advanced analytical methods to help companies reduce costs, increase earnings, and achieve significant results.
A new INFORMS management insights feature warns that relying on arithmetic means can lead to flawed plans. Non-averaging metrics, such as the artist's maximum sales, are often more accurate and should be used instead.
A new INFORMS study suggests automakers must balance short-term price savings with long-term product life cycle implications when considering outsourcing production. The study finds that in-house development allows for higher performance improvement over the entire product life cycle.
A new INFORMS study shows that frequent price promotions can harm well-respected brands by diluting their perceived quality. The study found that ketchup makers Heinz and Del Monte experienced negative effects from promotional pricing.
A recent study published in Management Science found that social preferences, such as status and reciprocity, play a significant role in shaping the behavior of supply chain partners. When these preferences are taken into account, partnerships can become more collaborative and mutually beneficial, leading to improved overall performance.
Ambulance diversions from NYC emergency rooms are associated with increased heart attack deaths due to delayed treatment and longer wait times. The study found a significant association between time on diversion and increased mortality resulting from acute myocardial infarction.
Research suggests that joint bidding on packages can increase consumer surplus and improve profits for both consumers and retailers. In a study, authors found that consumers tend to bid more for individual items when asked to place a joint bid, increasing the probability of a transaction going through.
A study published in Management Science found that distant participants make less accurate judgments when communicating via videoconferencing. Face-to-face meetings allow for more nuanced interpretation of nonverbal cues.
The Institute for Operations Research and the Management Sciences (INFORMS) has announced 12 new recipients of the annual INFORMS Fellows Award, recognizing outstanding achievements in education, management, practice, research, and service to the profession. The award recognizes the contributions of distinguished professionals who have...
Thomas L. Saaty, inventor of AHP, revolutionized decision-making with a breakthrough methodology that's widely used in business and government. His work has had a broad practical impact on operations research and related fields.
A new approach uses lessons from the 2004 election and factors in state polling data, undecided voters, and 'safe' states. The model predicts a margin of up to 282.8 electoral votes for McCain against 255.2 for Obama.
A study by Yale researchers found that prediction markets are a strong tool for forecasting US presidential elections. The authors analyzed the 2004 election market and found that traders quickly assimilated new information as it unfolded over the campaign, indicating their ability to accurately predict outcomes.
A new decision model seeks to minimize the risk of producing ineffective flu vaccines by deferring production and reevaluating strains based on emerging evidence. The model allows for flexibility in the vaccine composition, prioritizing accuracy over timely production.
A recent INFORMS study suggests that hiring top talent from competitors may not lead to improved performance. Instead, the performance of stars depends on firm-specific human capital and colleague relationships. The study's findings warn managers against expecting significant gains from hiring stars.
A study published in Decision Analysis warns that long-term climate change policy is likely to change slowly, requiring stronger short-term goals. The researcher argues that considering path dependence in decision-making justifies greater near-term emissions reductions as a hedging strategy.
The INFORMS Society for Marketing Science has announced the inaugural 10 recipients of its Fellow Award, recognizing their significant contributions to the development of knowledge and practice in marketing. The honored researchers include prominent figures such as Frank Bass, John Hauser, Gary Lilien, and Richard Staelin.
A study by Matthew T. Billett and Yiming Qian found that CEOs who exhibit self-attribution bias tend to overcredit their role in successful deals and underestimate the impact of luck, leading to more value-destructive acquisitions. The authors advise CEOs to be cautious and boards to ensure proposed deals are judged on their own merits.
A new Management Insights study by Enno Siemsen reveals that software designers intentionally create complex products to advance their careers. Companies are struggling to cope with increasing design complexity, and the study suggests moving compensation agreements towards short-term project success.
A study published in INFORMS journal Interfaces found that US polar bear research is flawed due to inadequate forecasting methodologies. The researchers concluded that the studies do not adequately support assumptions about sea ice changes and polar bears' ability to adapt, making it difficult to justify listing the species as endangered.
A new study published in Organization Science finds that women who report organizational wrongdoing experience more severe retaliation and discrimination than their male counterparts. The study examined the impact of factors such as power relationships and support from colleagues on the severity of retaliation.
Netherlands Railways improved train punctuality by 2.2% through operations research, increasing public satisfaction and attracting more passengers. The project resulted in an additional annual profit of $60 million and is expected to grow to $105 million.
GE Research received the 2008 INFORMS Prize for its demonstrated record of applying operations research throughout various business areas at GE, driving significant value and competitive advantage. The award recognizes GE's sustained application and use of O.R. in pioneering ways.
A Management Insights study finds that physicians consider patients' inputs when making prescriptions, improving forecasting performance. However, patient influence diminishes for specialist doctors and those treating severe symptoms. The study has significant implications for pharmaceutical executives and marketing strategies.
A recent study by Management Insights found that IT professionals with MBAs earn 46% more than those without. In contrast, IT professionals with master's degrees other than an MBA earn 37% less. The study analyzed data on over 50,000 IT professionals in the US and found that firms value IT experience more than non-IT experience.
The Institute for Operations Research and the Management Sciences has announced six finalists competing for the 2008 Franz Edelman Award, recognizing outstanding operations research-based projects that transform companies, industries, and lives. The finalists include teams from Western Europe, federal agencies, and a Fortune 500 company.
A recent study by Sanjeev Dewan, Charles Shi, and Vijay Gurbaxani found that information technology (IT) investments are substantially riskier than ordinary capital investments. This increased risk is associated with a substantial risk premium, driven in part by the lost option value of making irreversible capital investment decisions.
A study of pharmaceutical companies' marketing to physicians shows that doctors are most influenced by brand preference and marketing addressing drug side effects. Marketing efforts and patient requests affect physician decision-making differently across brands.
Leon Schwartz, a veteran member and visiting professor at Yeshiva University's Sy Syms School of Business, has been awarded the INFORMS Fellow Award for his exceptional accomplishments in operations research. The New York Chapter's Moving Spirit Award was also presented to him for his dedicated service to the chapter over 20 years.
Professor Craig W. Kirkwood is awarded the 2007 Frank Ramsey Medal for his significant contributions to decision analysis methodology, applications, and education. The medal honors his work on models of preferences involving multiple objectives, group decision analysis, and computer programs to facilitate learning.
A new study combines data perturbation and query restriction to protect confidential information in statistical databases. The hybrid model provides accurate answers while maintaining online security.
A new study by Sudip Bhattacharjee and Ram D. Gopal reveals that file sharing has a devastating impact on lower ranked Billboard albums, reducing their survival time on the chart by 42%. Top debuting albums, however, remain relatively unaffected.
A new study published in Management Insights reveals that online auctions where all bids are disclosed after the bidding round benefit buyers. The research finds that buyers pay higher prices when only winning bids are disclosed, leading to better outcomes for consumers.
A new study by INFORMS found that experts' unaided judgment forecasts are only slightly more accurate than those of newcomers. The study shows that the chances of success for both experts and novices are around 28%, with a difference of less than 4 percentage points.
A study by Melissa A. Schilling and Corey C. Phelps found that large-scale alliance networks with high clustering and reach enhance firm innovation. The research analyzed 1,106 firms in 11 industry-level alliance networks over a six-year period.