Informs Annual Meeting 2017

TC05

INFORMS Houston – 2017

TC05

3 - Buyback Pricing of Durable Goods in Dual Distribution Channels Gokce Esenduran, Ohio State University, 2100 Neil Avenue, 656 Fisher Hall, Columbus, OH, 43210, United States, esenduran@gmail.com, Lauren Xiaoyuan Lu, Jayashankar M. Swaminathan In the U.S. automobile industry, manufacturers distribute cars through dealers and rental agencies. Rental agencies can compete against dealers by selling slightly used rental cars in the sales market. To mediate this conflict between the two intermediaries, manufacturers launched buyback programs to repurchase used rental cars from rental agencies and redistribute them through dealers. Manufacturers can precommit a buyback price to rental agencies at the time of initial sales or postpone the pricing to the time of repurchase. Using a two-period model with and without competition, we aim to understand how to manage buyback pricing to maximize manufacturer profits in dual distribution channels. 4 - Ethics, Bounded Rationality and the Hold Up Problem Manu Goyal, University of Utah, 1655 E Campus Center Drive, In our study of the hold up problem, in addition to the classical profit-maximizing firm unconstrained by ethics, we model an ethically-constrained firm that honors its contractual obligations irrespective of legal restraints. We prove that under bounded rationality, the ethically-constrained firm can obtain strictly greater profits than the unconstrained profit-maximizing firm, even when (i) the unconstrained firm has access to a superset of the ethical firm’s strategies, and (ii) the ethical firm is unable to reveal its ethical commitment to its contracting partner. Thus, we show that a commitment to ethics, while of course being morally desirable, can be a superior business strategy. 320A Teaching Innovations in Operations/Sustainability Sponsored: Manufacturing & Service Oper Mgmt, Sustainable Operations Sponsored Session Chair: Erica Plambeck, Stanford University, Stanford, CA, 94305-5015, United States, elp@stanford.edu 1 - Sustainability in a Core OM Class Erica Plambeck, Stanford University, Stanford, CA, 94305-5015, United States, elp@stanford.edu I will speak about a new case and teaching materials for introducing climate science, life cycle analysis, and product-process innovation for net zero emission buildings, used in the base course in operations management for Stanford MBA students. I may also speak briefly about teaching for Stanford’s joint MBA - MS Environment and Resources degree program. 2 - Business Sustainability as Extreme Operations We present an overview of the new case studies and material developed for the course “Business Sustainability,” an MBA elective at INSEAD. This course reframes sustainable operations as “extreme operations” and connects operations management and business model innovation to topics such as circular economy, industry self-regulation, and climate change. The course has attracted a wide range of students and has become one of the most popular MBA electives at INSEAD. 3 - Combining Curricular and Co-Curricular Approaches to Teaching Business Sustainability Beril Toktay, Georgia Institute of Technology, Atlanta, GA, United States, beril.toktay@scheller.gatech.edu In the presentation, I will share my experience teaching sustainability in our operations management program as well as promoting sustainability infusion at Scheller College and Georgia Institute of Technology. 4 - Share YOUR Teaching Innovations and Ideas Erica Plambeck, Stanford University, Graduate School of Business, Knight Management Center, Stanford, CA, 94305-7298, United States, elp@stanford.edu The final 15 minutes of session are reserved for discussion. Please share your innovations, needs and opportunities in teaching for environmental sustainability. TC04 Andre Du Pin Calmon, INSEAD, Boulevard de Constance, Fontainebleau, 77300, France, andre.calmon@insead.edu 7235 Sfebb, Salt Lake City, UT, 84112, United States, manu.goyal@eccles.utah.edu, Krishnan S. Anand

320B Computational Modeling for Public Health Decision Making Sponsored: Health Applications Sponsored Session Chair: Ozgur M Araz, PhD, University of Nebraska-Lincoln, Lincoln, NE, 68588-0491, United States, oaraz2@unl.edu 1 - Modeling the National, State, and Individual-level Impact and Cost-effectiveness of HPV Vaccination David Durham, PhD, Yale University, New Haven, CT, United States, david.durham@yale.edu, Martial Ndeffo-Mbah, Laura Skrip, Forrest Jones, Chris Bauch, Alison Galvani Vaccines provide strong protection against cancer-causing HPV. However, coverage remains below targets and varies greatly across the US. We modeled HPV transmission, vaccination, and cervical cancer at the national, state, and individual levels. At the national level, the nonavalent vaccine, which covers more serotypes but at a greater cost, was cost-effective compared with older HPV vaccines. At the state level, the benefit gained per vaccine was greatest in states with the lowest coverage, due to decreasing marginal returns. At the individual level, the lifetime cancer risk was greatly reduced among vaccinated women, while herd immunity slightly reduced risk among unvaccinated women. 2 - Our Walk to the End of Cancer? Understanding Long-term Trends in Medical Screening Ozge Karanfil, Harvard T.H. Chan School of Public Health, 651 Huntington Avenue, FXB Building, 643E, Boston, MA, 02115, United States, karanfil@hsph.harvard.edu, John D. Sterman We develop a broad boundary feedback theory and formal model to explain dynamics of screening. The theory includes a decision-theoretic core, and feedbacks conditioning formal guidelines and actual practice. The model is generic but to provide context we use PSA screening as a motivating example to present a behaviorally realistic model that creates oscillations in policy recommendation thresholds. This core model, entailing only the evidence generation and translation processes, demonstrates how oscillations are natural to this category of problems due to inherent delays in evidence-based screening. These fluctuations lead to long periods during which guidelines are suboptimal. 3 - The Potential Impact of the Affordable Care Act and Medicaid Expansion in North Carolina on Reducing Colorectal Cancer Screening Disparities Among African American Males Leah Frerichs, PhD, University of North Carolina Chapel Hill, NC, United States, leahf@email.unc.edu, Wizdom Powell, Rachel M. Townsley, Maria Esther Mayorga, Giselle Corbie-Smith, Stephanie B. Wheeler, Kristen Hassmiller We used an individual based simulation model to estimate the impact of ACA and Medicaid expansion in NC on colorectal cancer (CRC) screening, incidence and death among African American (AA) and White males. Using a synthetic population of NC males, we simulated the natural progression of CRC, CRC screening compliance (by demographic characteristics and insurance status), and CRC incidence, survival, and death. ACA and Medicaid Expansion policy scenarios reduced disparities in CRC screening between AA and white males. Due to savings in treatment costs, Medicaid Expansion has potential to result in $9.6 million in cumulative cost savings for White males and $5.1 million for African American males. 4 - Assessing Jail Based Sexually Transmitted Disease Screening Programs for Optimized Public Health Benefit Ozgur M.Araz, P.O. Box 880491, CBA 260, Lincoln, NE, 68588- 0491, United States, oaraz2@unl.edu, Maytee Cruz-Aponte We present a mathematical model of Chlamydia trachomatis (CT) transmission dynamics with two interacting populations and analyze the impact of both screen-treat operations and behavioral interventions. Analytical assessment of the public health interventions are presented in support of extracting the value of the screening and treatment operations using the jail systems and theoretical and practical insights are provided for various scenarios of controlling the epidemic for general cases. Numerical simulation results are then analyzed and presented for a predefined specific population in a case study in order to evaluate the effectiveness of the public health programs.

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