Creating Values with Operations and Analytics: A Tribute to the Contributions of Professor Morris Cohen

Preface
Achievements of Professor Morris Cohen
Contents
Part I Evolution of Operations and Analytics
Overview of Supply Chain Modeling: Steps to Nirvana
1 Introduction
2 Modeling Alternatives
2.1 Foundation: Isaac Asimov
2.2 Quantum Physics
2.3 Engineering Models
2.4 Stylized Management Science Models
2.5 Policy Analysis
2.6 Social Science/Psychiatry/Empirical
2.7 Parsimonious Economic Models
2.8 Prophecy
3 Implications of the Frameworks for Implementation
4 An Application Example
5 Conclusions
References
Part II Innovative Designs
New Business Models for the Digital Age: From After-Sales Services to Connected Strategies
1 Introduction
2 Winning in the After-Sales Market: Spare Parts Logistics and Performance-Based Contracts
3 Connected Customer Experiences
4 From Experiences to Relationships
5 Applications to Healthcare Delivery
5.1 Respond-to-Desire Patient Experience
5.2 Curated Offering
5.3 Coach Behavior
5.4 Automatic Execution
6 Conclusions and Opportunities for Future Research
References
New Product Development: Trade-offs, Metrics, and Successes
1 Introduction
2 Trade-offs
2.1 Capacity Planning and Sales Forecasting
2.2 Breadth of the Product Line
2.3 Service Quality Assurance
2.4 NPD
3 Metrics
4 Successes
4.1 Statistical Methods
4.2 Prediction Markets
5 Conclusion
References
Product Design with the Triple Bottom Line
1 Introduction
2 Financial Impact of Product Design
3 Environmental Impact of Product Design
4 Social Impact of Product Design
5 A General Model for Product Design
6 Concluding Remarks
References
Fair Price, Fair Trade, and Fair Pay in Supply Chains
1 Introduction
2 Fair Price, Fair Trade, and Fair Pay
2.1 Fairness and Unfair Practices
2.2 Strategic Values of Fairness
2.3 Fair Supply Chain Movements
3 Putting Fairness to Practice
3.1 Building the Foundation
3.2 Practicing Fairness in Action
4 Research Opportunities
4.1 Understanding Key Relationships
4.2 Instruments Used to Improve Fairness
5 Conclusion
References
Part III Breakthrough Performances
Performance-Based Contracting: Past, Present, and Future
1 The Beginning
2 Model Development
3 Planes, Trains, Automobiles, and Aircraft Engines
4 Continuation and Impact
5 Recent Developments and Future Directions
6 Concluding Remarks
References
Corruption in Large Government Projects Not Only Inflates the Budget But Reduces Managerial Effectiveness
1 Introduction
2 Methodology
3 Statistical Results: How Corruption “Poisons” Decision-Making
3.1 Econometric Prediction of Project Completion
3.2 Econometric Prediction of Cost and Schedule Overruns for Completed Projects
3.3 The Negative (“Poisonous”) Side Effects of Corruption
4 Case Study Example: Ajaokuta Steel Company
4.1 Project Initiation
4.2 Project Construction and Cessation by 1988
4.3 The PPP Revival of 2000–2007
4.4 Conclusions from the Case Example
5 Conclusion
Appendix 1: Project sample
Appendix 2: Questionnaire
References
Service Parts Management: Theoretical Foundations, Practice, and Opportunities
1 Introduction
2 Characteristics of Service Parts Management Systems
2.1 Demand Attributes
2.1.1 Demand Source
2.1.2 Slow Moving
2.1.3 Correlated Demand
2.1.4 Criticality
2.2 Product/Part Attributes
2.2.1 Repairable Versus Consumable Parts
2.2.2 Long and Variable Lead Times
2.2.3 Large Number of Diverse Parts
2.2.4 Part Chaining
2.2.5 Multiple Indentures
2.3 Supply Chain Structure
2.4 Replenishment
2.4.1 Multiple Sources of Replenishment
2.4.2 Prioritization of Different Customer Segments
2.4.3 Expediting/Express Shipments
2.4.4 Treatment of Unmet Demand
2.5 Financial and Service Parameters and Metrics
2.5.1 Cost Parameters
2.5.2 Service Metrics
3 Repairable Service Parts Management
3.1 Fundamentals of Service Parts Modeling
3.1.1 Failures of Parts
Memoryless Failure Rate
Number of Failures in a Time Interval: Poisson Distribution
3.1.2 The Repairables Cycle
Modeling the Repair Process
3.2 Measuring Customer Service
3.2.1 Part Service
3.2.2 System Service
3.2.3 Inventory Position
3.2.4 Probability of No Stockout
3.2.5 Backorders
3.2.6 System Availability
3.3 System Optimization
3.4 Multi-Echelon Repairable Parts Inventory
3.4.1 Multi-Echelon Model
3.5 Demand Forecasting for Spare Parts
4 Case Studies of Industry Applications
4.1 General Approach in Industry Applications
4.1.1 OPTIMIZER: Service Logistics at IBM
4.1.2 Part-Age Dependent Supply Replenishment Policies at US Coast Guard
5 Leading SPM Solutions Providers
5.1 Baxter
5.2 Syncron
5.3 Oracle
5.4 SAP
5.5 PTC
6 Trends and Research Opportunities
6.1 Globalization
6.2 Technology and Big Data
6.3 Modern Computing and Automation
References
Playing with DISASTER: A Blockchain-Enabled Supply Chain Simulation Platform for Studying Shortages and the Competition for Scarce Resources
1 Introduction
2 The Bullwhip Effect and Information Sharing
2.1 Shortage Gaming
2.2 How Blockchain Can Help
3 Virtual Markets
3.1 Market Economics
3.2 How Blockchain Can Help
4 DISASTER: A Research Platform for Advanced Supply Chain Simulations
4.1 Purpose
4.2 Simulation Games
4.2.1 Information Sharing Among Competing Retailers
4.2.2 Trading Tokens Among Competing Retailers
4.3 Ongoing and Planned Enhancements
5 Conclusion
Appendix
A. Comparison of Existing Platforms
B. Comparison of BWE Simulation Games
C. List of Pre-defined Questions for Eliciting Behavioral Characteristics
D. Simulation Instructions for the Information Sharing Among Competing Retailers Game (Scenarios 2–4)
E. Simulation Instructions for the Trading Tokens Among Competing Retailers Game
References
Part IV Practice Research
Operations Management in Semiconductor and Computing Technology Industries: Capacity, Outsourcing, and Production
1 Introduction
1.1 The Past and the New Trends
1.2 Description of Semiconductor and Computing Technology Supply Chains
1.3 Challenges in the Semiconductor and Computing Technology Supply Chains
2 Capacity Expansion, Allocation, and Upgrading
2.1 Capacity Investment and Expansion
2.2 Capacity Reservation and Allocation
2.3 Capacity Upgrading and Management of Obsolescence
3 Outsourcing, Contracting, and Procurement Strategies
3.1 Contracting in Equipment Capacity Planning
3.2 Contracting and Outsourcing Strategies in Material Procurement
4 Production, Quality Control, and Equipment Maintenance
4.1 Production and Quality Control
4.2 Equipment Maintenance and Services
5 Concluding Remarks
References
A Study of the Semiconductor Equipment Supply Chain in the 2000s
1 Background
2 Phase I: Interviews
3 Phase II: On-Site Data Collection
4 Phase III: Data Analysis and the “Aha Moment”
5 The First Paper
6 The Second Paper
7 The Third Paper
8 Impact
9 Finishing Thoughts
References
Topics in Health Care Operations: Blood Banks, Hospitals and Patients, and Telemedicine
1 Introduction
2 Inventory Management in Blood Banks
3 Modeling Hospital Patient Flows
4 Patient Choice and Hospital Capacity Utilization
5 Telemedicine and Transformation of Health Care Delivery
5.1 COVID-19 Pandemic and Explosive Growth of Telemedicine
5.2 Telemedicine in the Health Care Operations Literature
6 Discussion
References
Managing Common and Catastrophic Risks in the Airline Industry
1 Introduction
2 Defining and Managing Risk
3 Risk Management for the Airlines
4 Model for Integrated Risk Management: Maximization of Expected Profit
4.1 Objective Function and Sequence of Events
4.2 Analysis
5 Summary
References
Understanding Global Supply Chain and Resilience: Theoryand Practice
1 Introduction: Context and Research Motivation
2 Pre-pandemic Study on Drivers of Trends in Global Supply Chains and Resilience
3 Obstacles to Global Supply Chain Resilience
4 A Framework for Global Supply Chain Resilience Strategies
5 Challenges for Research on Global Supply Chain and Resilience
6 Finding Appropriate Resilience Measures
7 Summary of Our Research Insights
8 Future Research Directions
References