Informs Annual Meeting Phoenix 2018

INFORMS Phoenix – 2018

MB11

clean structural properties of optimal production and sale policies and find them to be robust for a number of variations of the demand model. We also investigate

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uncertainty and learning of the diffusion parameter. 2 - IP Licensing and 3D Printing of Spare Parts

Emerging Topics in Supply Chain Finance Sponsored: Manufacturing & Service Oper Mgmt/iFORM Sponsored Session Chair: Panos Kouvelis, Washington University in St. Louis, Saint Louis, MO, 63130-4899, United States Co-Chair: Fasheng Xu, Washington University in St. Louis, Saint Louis, MO, 63130, United States 1 - Cancelability in Trade Credit Insurance Christopher J. Chen, London Business School, Regent’s Park, London, NW14SA, United Kingdom, S. Alex Yang, Nitin Bakshi Trade credit insurance (TCI) is a risk management tool commonly used by suppliers to guarantee against payment default by buyers. Unlike insurance policies in other sectors, TCI policies often allow the insurer to cancel this guarantee during the insured period. This paper explores the role of cancelability in TCI and its operational implications. 2 - Risk-neutral or Risk-averse? An Empirical Study of Managed ˇˇ Print Services Jie Ning, Case Western Reserve University, Department of Operations, 328 Peter B. Lewis Building, Cleveland, OH, 44106, United States, Volodymyr O. Babich, John Handley, Jussi Keppo We study the risk attitude of a service provider in the context of Managed Print Service (MPS), a type of business-to-business (B2B) service. We develop a hierarchical game theoretic model with asymmetric information to capture the contracting features of MPS. Using a proprietary data set from Xerox, we estimate Xerox’s risk-aversion parameter using a structural approach and find empirical evidence that Xerox is risk-averse. We offer a new explanation for this result. 3 - What Operations Management Researchers Should Know About Blockchain Technology Volodymyr O. Babich, Georgetown University, 37th & O. St NW, McDonough School of Business, Washington, DC, 20057, United States, Gilles Hilary We examine the Blockchain technology’s implications for operations management (OM). After briefly reviewing the technical foundations, we explore multiple business and policy aspects. Blockchain technology has emerged through the appearance of crypto-currencies. This may have been of limited interest to OM. The technology has now evolved beyond these markets and has started to offer the possibility to execute “smart contracts.” This has immediate implications for the improvement of production and distribution networks. We identify five key advantages, five main drawbacks, and three themes associated with the Blockchain technology as it is applied to OM. 4 - A Supply Chain Theory of Factoring and Reverse Factoring Fasheng Xu, Washington University in St. Louis, Campus Box 1156 One Brookings Drive, KH401, PhD Suite, Saint Louis, MO, 63130, United States We develop a supply chain theory of factoring and reverse factoring showing when these post-shipment financing schemes should be adopted and who really benefits from the adoption. Given supplier’s credit rating and trade credit term, recourse factoring is preferred when the supplier’s cash investment return rate is relatively high; non-recourse factoring is preferred within certain medium range; otherwise, factoring should not be adopted. Further, we find that reverse factoring should only be offered to suppliers with medium cash investment return, and it is not always optimal for the retailer to extend the payment term in reverse factoring. n MB12 North Bldg 126A 3D Printing Sponsored: Manufacturing & Service Oper Mgmt Sponsored Session Chair: Michael R. Wagner, University of Washington, Seattle, WA, 98195, United States Co-Chair: Mohammad Ebrahim Arbabian, University of Washington, Seattle, WA, 98105, United States 1 - Managing Self-replicating Innovative Goods Bin Hu, University of North Carolina, Chapel Hill, NC, United States, Zhankun Sun Inspired by self-replicating 3D printers, we investigate the business model for innovative goods whose demands follow Bass diffusion and whose production is through self-replication. Modeled as an optimal-control problem, we identify

Bram Westerweel, Eindhoven University of Technology, Den Dolech 2, Eindhoven, 5600MB, Netherlands, Rob J. Basten, Jing-Sheng Jeannette Song We consider an original equipment manufacturer (OEM) that supplies its customers with spare parts. In addition to a traditional channel for direct purchasing, the OEM can also offer customers the option of purchasing the spare parts design via a license agreement through which the customers can purchase spare parts from a local 3D printing service provider. We characterize the optimal contract structure to maximize the OEM’s profit and we generate insights into the degree of decentralization of the supply chain when customers are offered a license agreement for local 3D printing. 3 - The Impact of 3D Printing on Manufacturer Retailer Contractual Relationships Mohammad Ebrahim Arbabian, University of Washington, 5243 22nd Avenue NE, # 4, Seattle, WA, 98105, United States As 3D printing is being recognized as a new technology in manufacturing, we study a wholesale-price contract where, on top of the traditional manufacturing, either the manufacturer or the retailer could adopt this new technology to produce final products. We analyze the equilibrium of the resulting games. 4 - Moving to 3D Printing Technology for Spare Parts Supply We analyze how and when a transition to 3D printing technology is advisable for spare parts supply during the remaining service horizon. Therefore, we consider an evolving inventory system where 3D printing production costs and demand rates may change over the course of the service horizon. Using a stochastic dynamic programming approach, we demonstrate that moving to 3D printing technology pays off under various conditions. n MB13 North Bldg 126B Emergency Department Operations Sponsored: Manufacturing & Service Oper Mgmt/Healthcare Operations Sponsored Session Chair: Hummy Song, Philadelphia, PA, 19104, United States 1 - Balancing Patient Care and Resident Supervision in Emergency Medicine: Resident Effect on Attending Physician Workload Study Yue Yin, Northwestern University, Evanston, IL, United States, Ernest Wang, Itai Gurvich, Jan A. Van Mieghem We delineate the relationship between the presence of residents and the proportions of time spent on different tasks by emergency medicine attending physicians. We observed and compared how 25 emergency medicine attending physicians spent their time in an academic emergency department versus in a non-academic emergency department. We applied multivariate beta regression models to examine whether the overall presence of residence was associated with significant changes in physicians’ time expenditures, controlling for physician workload, physician productivity, average patient acuity, waiting room crowdedness, and resident seniority. 2 - An Econometric Analysis of How Facility Layout Impacts Care Provision in the Emergency Department Lesley Meng, The Wharton School, University of Pennsylvania, 3730 Walnut Street, Suite 500 JMHH, Philadelphia, PA, 19104, United States, Robert Batt, Christian Terwiesch We study how the facility layout of ED patient rooms impacts nurse workflow decisions. Specifically, linking our infrared nurse location tracking data to room occupancy patient data, we are able to investigate the impact of facility layout variables, such as distance from the nurses’ station, on patient care quality in the ED. 3 - Measuring Primary Care Performance Using ED Data Sandra S lz, Erasmus University, Rotterdam, Netherlands, Nicos Savva In the UK, access and clinical quality of GPs are difficult to measure either due to data unavailability, low frequency of data collection, or inconsistent data collection across GPs. ED-level data, however, exists and is comparable across hospitals. We therefore analyse whether ED-level data can be used to assess GP performance thereby distinguishing between accessibility for acute conditions and management of long-term care conditions. Nils Knofius, University of Twente, Drienerlolaan 5, Building Ravelijn, Enschede, 7522NB, Netherlands, Matthieu van der Heijden, Henk Zijm

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