Business Commons^™

Risk And Visibility In Global Supply Chains: An Empirical Study, Hung V. Nguyen

Marketing Dissertations

Working with international suppliers in global supply chains, manufacturing firms now are faced with substantial supplier risks which could be triggered by disruptions in either their suppliers or the supplier’s market. Reactive actions to the risks, however, have usually been shown to be inefficient and sometimes ineffective. In this dissertation, therefore, I develop a theoretical framework linking some key relationship-specific capabilities to supplier risk. My contention is that the capabilities, when developed, can help proactively mitigate the risk. Thus, the model in this study is grounded in the resource-based and the relational views.

In this study, the survey method has …

Testing The Waters: Using Collective Real Options To Manage The Social Dilemma Of Strategic Alliances, Matthew Mccarter, Joseph T. Mahoney, Gregory B. Northcraft

Business Faculty Articles and Research

We extend real options research by introducing the concept of collective real options and model how collective real options provide strategic alliances a mechanism to manage social uncertainty. Collective real options manage social uncertainty by producing relational small wins that develop trust. The amount of trust developed by acquiring a collective real option depends on the exposure of alliance partners. Alliance partner reputation also plays an important role in the impact of collective real options.

Does Money Matter? Investigating The Financing Of Emerging Firms, Casey Frid

All Dissertations

In this dissertation I investigate start-up financing by nascent entrepreneurs in the United States between 2005 and 2010. By nascent entrepreneur, I mean individuals who are in the process of creating a new business, but the business itself is not yet affecting prices and quantities in the market. Nearly all research on financing has focused on established firms. Little work, however, has been done on how entrepreneurs acquire and use financial resources during the earliest stages of the firm creation process. The availability of financial resources has been linked to firm growth and survivability, and understanding how entrepreneurs use and …

Ceo Serps: Are They Related To Firm Risk And Who Approves Them?, Colin D. Reid

Doctoral Dissertations

This paper investigates whether CEO supplemental executive retirement plans (SERPs) are associated with firm risk. Sundaram and Yermack (2007) show that CEOs manage their firms more conservatively as their debt incentives increase. Using new executive compensation disclosures mandated by the SEC, I find a negative association between CEO SERPs and firm risk but only for unsheltered SERPs. I find that when a CEO SERP is protected by a lump sum payment or by a trust (i.e. sheltered), the negative association between SERPs and firm risk is greatly diminished and even eliminated in some models. Furthermore, I show that having a …

Making Sense Of The New Financial Deal, David A. Skeel Jr.

All Faculty Scholarship

In this Essay, I assess the enactment and implications of the Dodd-Frank Act, Congress’s response to the 2008 financial crisis. To set the stage, I begin by very briefly reviewing the causes of the crisis. I then argue that the legislation has two very clear objectives. The first is to limit the risk of the shadow banking system by more carefully regulating the key instruments and institutions of contemporary finance. The second objective is to limit the damage in the event one of these giant institutions fails. While the new regulation of the instruments of contemporary finance—including clearing and exchange …

The Shifting Terrain Of Risk And Uncertainty On The Liability Insurance Field, Tom Baker

All Faculty Scholarship

Recent sociological and historical work suggests that insurance risks often are not reliably calculable, except in hindsight. Insurance is “an uncertain business,” characterized by competition for premiums that pushes insurers into the unknown. This essay takes some preliminary steps that extend this insight into the liability insurance field. The essay first provides a simple quantitative comparison of U.S. property and liability insurance premiums over the last sixty years, setting the stage to make three points: (1) liability insurance premiums have grown at a similar rate as property insurance premiums and GDP over this period, providing yet another piece of evidence …

The Use Of Environmental Health And Safety Research In Nanotechnology Research, Jan Youtie, Alan L. Porter, Philip Shapira, Li Tang, Troy Benn

Philip Shapira

Environmental, health, and safety (EHS) concerns are receiving considerable attention in the development of nanoscience and nanotechnology (nano) R&D, underscored by the perspective that EHS work should be developed alongside the scientific research rather than subsequent to applications. This positioning of nano EHS suggests the importance of early understanding and measurement of the diffusion of nano EHS science. This research examines the diffusion of nano EHS publications, defined through a set of search terms, into a global nanotechnology R&D database developed at Georgia Tech. The results indicate that nano EHS research is growing rapidly although it is orders of magnitude …

Risk Management Trends: Currency Trading Using The Fractal Market Hypothesis, Jonathan Blackledge, Kieran Murphy

Articles

We report on a research and development programme in financial modelling and economic security undertaken in the Information and Communications Security Research Group (ICSRG, 2011) which has led to the launch of a new company - Currency Traders Ireland Limited - funded by Enterprise Ireland. Currency Traders Ireland Limited (CTI, 2011) has a fifty year exclusive license to develop a new set of indicators for analysing currency exchange rates (Forex trading). We consider the background to the approach taken and present examples of the results obtained to date. In this ‘Introduction’, we provide a background to and brief overview of …

The Effects Of Risk And Trust On The Achievement Of Sustainable Competitive Advantage From B2b E-Commerce Trading Relationships, Clark J. Hampton

Electronic Theses and Dissertations

This dissertation consists of three interrelated studies focusing on the use of business-to-business (B2B) electronic commerce (e-commerce) to facilitate supply chain transactions. B2B e-commerce enabled supply chains produce substantial savings for organizations by reducing the amount of time and money necessary to negotiate contracts, processes orders, and pay suppliers. However, doubt exists as to whether reduced transaction costs are a sustainable competitive advantage for organizations. The advent of widespread and cost effective B2B e-commerce enabled supply chains coupled with increasingly complex, dynamic, and global competitive markets are encouraging organizations to form long-term relationships with their trading partners to achieve sustainable …

Risk Within The Foundation Of Australian Supply : A Cross-Sectoral, Cross-Regional Perspective, Lee Styger Sydney Business School

Sydney Business School - Papers

Supplier capability and customer engagement trends have changed considerably in recent times. Once robust supply networks have been eroded and capacity reduced, OEM engagement patterns have changed that now often preclude existing suppliers in favour of new, alternative suppliers. In 2010 and 2011 a series of supply focus groups and key interviews with customers indicated that OME’s have typically focused attention on Tier 1 and Tier 2 supplier and lost visibility of lower level suppliers, by outsourcing the management and responsibility of the lower level suppliers to their Tier 1 and Tier 2 suppliers. The outsourcing of management and responsibility …

Inside-Out Corporate Governance, David A. Skeel Jr., Vijit Chahar, Alexander Clark, Mia Howard, Bijun Huang, Federico Lasconi, A.G. Leventhal, Matthew Makover, Randi Milgrim, David Payne, Romy Rahme, Nikki Sachdeva, Zachary Scott

All Faculty Scholarship

Until late in the twentieth century, internal corporate governance—that is, decision making by the principal constituencies of the firm—was clearly distinct from outside oversight by regulators, auditors and credit rating agencies, and markets. With the 1980s takeover wave and hedge funds’ and equity funds’ more recent involvement in corporate governance, the distinction between inside and outside governance has eroded. The tools of inside governance are now routinely employed by governance outsiders, intertwining the two traditional modes of governance. We argue in this Article that the shift has created a new governance paradigm, which we call inside-out corporate governance.

Using the …

Managing Moral Risk: The Case Of Contract, Aditi Bagchi

All Faculty Scholarship

The concept of moral luck describes how the moral character of our actions seems to depend on factors outside our control. Implications of moral luck have been extensively explored in criminal law and tort law, but there is no literature on moral luck in contract law. I show that contract is an especially illuminating domain for the study of moral luck because it highlights that moral luck is not just a dark cloud over morality and the law to bemoan or ignore. We anticipate moral luck, i.e., we manage our moral risk, when we take into account the possibility that …