Business Commons^™

A Comparative Study Of Parametric And Nonparametric Estimators Of Old-Age Mortality In Sweden, Peter Fledelius, Montserrat Guillen, Jens Perch Nielsen, Kitt Skovso Petersen

Journal of Actuarial Practice (1993–2006)

A recent study of Swedish old-age mortality used a modified GompertzMakeham model with a linear hazard for the force of mortality. We propose an alternative model using smooth two-dimensional kernel hazard estimators and introduce a new estimator based on the multiplicative bias correction for the multivariate marker dependent hazard. The multiplicative bias correction appears to have great potential for estimating mortality rates at the highest ages. We also observe that mortality continues to increase at an exponential rate even in old-age.

Phased Retirement For Defined Benefit Plan Participants, Patricia L. Scahill, Jonathan Barry Forman

Journal of Actuarial Practice (1993–2006)

The demographic makeup of the U.S. workforce is changing. The population between ages SS and 64 is projected to increase significantly by 2020, but employment rates for this age group have not been increasing. Employers will likely need to encourage critical employees in this age group to delay retirement. Phased retirement is one tool for delaying retirement, while also not continuing full-time employment, so it can be a compromise for employers and employees. Both Congress and two administrative agencies have begun to consider changes in pension laws and regulations that would be needed to accommodate phased retirement for employers who …

The Actuarial Value Of Life Insurance Backdating, James M. Carson, Krzysztof Ostaszewski

Journal of Actuarial Practice (1993–2006)

Backdating is a common (and legal) practice in the U.S. whereby a life insurance contract bears a policy date that is prior to the actual application date. This practice often results in the opportunity for some insureds to reduce the annual premium paid. Using cash flow projections and U.S. mortality, lapse, and interest rate data, we provide a model of the actuarial value of term life insurance backdating. Results indicate that the benefits to the applicant of backdating a term life insurance policy increase as the applicant age (and hence premium) increases. Increasing mortality, lapse, and interest rates, as well …

Credibility Theory And Geometry, Elias S.W. Shiu, Fuk Yum Sing

Journal of Actuarial Practice (1993–2006)

We present a geometric approach to studying greatest accuracy credibility theory. Our main tool is the concept of orthogonal projections. We show, for example, that to determine the Buhlmann credibility premium is to find the coefficients of the minimum-norm vector in an affine space spanned by certain orthogonal random variables. Our approach is illustrated by deriving various common credibility formulas. Several equivalent forms of the credibility factor Z are derived by means of similar triangles.

Product Innovation In Financial Services: A Survey, Christopher O'Brien

Journal of Actuarial Practice (1993–2006)

This paper considers product innovation in insurance and other financial services, an area where actuaries have an important role. It considers the proposition that there is no unique formula for success and that what works well in one situation may not work well in another. It first examines the sources of ideas for new products and, in particular, the role played by consumers, which is generally regarded as weak. It then looks at how ideas are implemented, with particular importance attributed to cross-functional teams and the formality of the product development process. Then it considers how success is measured (with …

Estimation Of Complete Period Life Tables For Singaporeans, Siu-Hang Li, Wai-Sum Chan

Journal of Actuarial Practice (1993–2006)

Complete period life tables, with death rates for every year of age, are not available in Singapore. This study constructs such tables for Singaporeans from the limited mortality information contained in the abridged life tables provided by the Singapore Department of Statistics. We find that linear interpolation, Whittaker graduation, and the Coale-Kisker method together can generate complete life tables that are smooth and continuous. The validity of the complete life tables generated by our method is further confirmed by (1) comparing the life expectancies calculated from our estimated life tables with those provided by the Singapore Department of Statistics, and …

Seeking God (In The Details), Joseph E. Levangie

New England Journal of Entrepreneurship

Entrepreneurs tend to be self-styled “idea” people. They often believe they have the next “Big Concept”—one which could change the world, reaffirm their self-worth, and, of course, make them and their venture team a fortune. In contrast, as they build a company to implement their business dream, entrepreneurs also tend to eschew or trivialize administrative details. Why should they waste their creative juices on minutia? As a result of this insensitivity to detail, these captains of capitalism often trip in their entrepreneurial journey. For example, they might:

• Forget to remit payroll taxes on schedule.

• Fail to document the …

A Bayesian Network Estimation Of The Service-Profit Chain For Transport Service Satisfaction, Ronald D. Anderson, Robert D. Mackoy

Scholarship and Professional Work - Business

Bayesian network methodology is used to model key linkages of the service-profit chain within the context of transportation service satisfaction. Bayesian networks offer some advantages for implementing managerially focused models over other statistical techniques designed primarily for evaluating theoretical models. These advantages are (1) providing a causal explanation using observable variables within a single multivariate model, (2) analysis of nonlinear relationships contained in ordinal measurements, (3) accommodation of branching patterns that occur in data collection, and (4) the ability to conduct probabilistic inference for prediction and diagnostics with an output metric that can be understood by managers and academics. Sample …

Lodge Selection And Satisfaction: Attributes Valued By Ecotourists, Robert D. Mackoy, Gregory E. Osland

Scholarship and Professional Work - Business

Although the ecotourism literature is growing rapidly, few researchers have systematically examined how ecotourists select and evaluate lodging alternatives. Understanding lodging attributes of importance to ecotourists is the first step in modelling lodge selection and satisfaction processes of interest to both managers and researchers. We report on the results of two studies designed to gather such attributes. Study 1 uses e-mail survey responses from dedicated birders, while Study 2 uses data from on-site interviews with visitors at ecolodges in Mexico, Costa Rica, and Ecuador. The two most-commonly mentioned attributes in both studies were “proximity to natural areas” and “cost.” These …

Logistics And Supply Chain Management Excellence, Edward Sweeney, Randall Faulkner, Leonora O'Donovan, Austin Smyth

Other Resources

No abstract provided.

Positive Psychological Capital: Beyond Human And Social Capital, Fred Luthans, Kyle W. Luthans, Brett C. Luthans

Department of Management: Faculty Publications

With the rising recognition of human resources as a competitive advantage in today’s global economy, human capital and, more recently, social capital are being touted in both theory, research, and practice. To date, however, positive psychological capital has been virtually ignored by both business academics and practitioners. “Who I am” is every bit as important as “what I know” and “who I know.” By eschewing a preoccupation with personal shortcomings and dysfunctions and focusing instead on personal strengths and good qualities, today’s leaders and their associates can develop confidence, hope, optimism, and resilience, thereby improving both individual and organizational performance.

An Initial Look At Technology And Institutions On Defense Industry Consolidation, John D. Driessnack, David R. King

Management Faculty Research and Publications

Conventional wisdom holds that defense industry consolidation resulted from decreased defense spending. However, we maintain that understanding dynamic changes in key defense institutions helps provide a more complete explanation for observed consolidation. Specifically, we examine the interaction of evolving technology and changing institutions. Institutions reviewed include procurement policies, weapons requirements process and the procurement organizations. We take an initial look at the industry and highlight how these changes influenced transaction costs in the defense industry more fully explain the forces driving consolidation and provide greater insight to policy makers seeking to improve the performance of the defense industry. Further research …

Campbell Soup Company In 2004 (A), Roger R. Schnorbus

Robins School of Business White Paper Series, 1980-2022

As fiscal 2004[1] began, Doug Conant, the President and CEO of the Campbell Soup Company could take pride in the results of his 3-year transformation plan instituted in fiscal 2001 to revitalize the company. The key initiatives of the plan were to restore revenue and profitability growth and stimulate shareholder wealth.

Conant, who became President and CEO in January of 2001, called the plan, “the single most comprehensive commitment to revitalization ever undertaken in the 132-year history of Campbell Soup Company.”

The financial results achieved in fiscal 2002, the first year of the plan, were a mixed bag. Although net …

Is Organizational Democracy Worth The Effort?, Jeffrey S. Harrison, R. Edward Freeman

Management Faculty Publications

Organizational democracy is frequently associated with increased employee involvement and satisfaction, higher levels of innovation, increased stakeholder commitment, and, ultimately, enhanced organizational performance. However, democratic processes can also absorb significant time and other organizational resources and bog down decisions, which may lead to reduced efficiency. This article summarizes the pros and cons of organizational democracy. It also introduces and integrates ideas from the three other articles in this special forum. In the end, we conclude that although the economic arguments for organizational democracy may be mixed, increased stakeholder participation in value creation and organizational governance can benefit both society and …

Barriers To The Acceptance And Utilisation Of Knowledge Management Systems: An Exploratory Study, Patricia Kennett

Theses : Honours

Organisations entering the 21st Century arc exposed to an environment of continuous change, a challenge that requires a movement away from more predictable structures of the past, with hierarchies and formal chains of command. The emerging fluid and network like structures present new challenges for ensuring the development and dissemination of organisational knowledge. An area of considerable current debate involves the issue of harmony and balance between and organisation's culture and its Knowledge Management (KM) systems. The focus of this study is on organisations that are recognising the implications of these changes and are responding by installing knowledge systems in …

Overcoming Stickiness: An Empirical Investigation Of The Role Of The Template In The Replication Of Organizational Routines, Gabriel Szulanski, Robert J. Jensen

Faculty Publications

Knowledge assets are fundamental sources of competitive advantage. Accordingly, the prosperity of firms is increasingly predicated on their ability to mobilize those assets so that they can be properly exploited. Yet, valuable knowledge assets are often complex, intangible, and tacit organizational attributes embedded in organizational routines and are hard to mobilize. Thus, the reality of knowledge transfer rarely lives up to expectations. A central tenet in viewing transfers of knowledge as the replication of organizational routines is the importance of the template. We hypothesize that a template, i.e. a working example, is essential in replicating knowledge assets effectively. In this …

Recognition And Development Of Hope For South African Organizational Leaders, Fred Luthans, René Van Wyk, Fred Walumbwa

Department of Management: Faculty Publications

The significant challenges faced by South Africa at present are well known. How to deal with the problems from a political and economic perspective abound, but taking a psychological approach has been neglected. This paper proposes a positive approach to South African organizational leadership based on the psychological capacity of hope. After giving a brief background on the context surrounding South African organizations, the theory, research, and application of hope relevant to organizational leadership in the “Rainbow Nation” are presented and analyzed. Such an overlooked positive approach represented by hopeful organizational leaders seems needed at this juncture of South Africa’s …

Human, Social, And Now Positive Psychological Capital Management: Investing In People For Competitive Advantage, Fred Luthans, Carolyn M. Youssef

Department of Management: Faculty Publications

There is growing evidence that human resources are crucial to organizational success, and may offer the best return on investment for sustainable competitive advantage. Jeffery Pfeffer’s extensive work, summarized in his book The Human Equation, discusses substantially supported but unfortunate findings that only about half of today’s organizations and their managers believe that human resources really do matter. Moreover, only half of those organizations act upon their beliefs beyond paying lip service to this vital resource. Few organizations have adopted high performance work practices, such as 360-degree feedback, pay-for-performance, self-managed teams, employee empowerment, and other human-oriented initiatives. Furthermore, Pfeffer shows …

Unlocking The Mask: A Look At The Process By Which Authentic Leaders Impact Follower Attitudes And Behaviors, Bruce Avolio, William L. Gardner, Fred Walumbwa, Fred Luthans, Douglas R. May

Department of Management: Faculty Publications

The conceptual and empirical links between authentic leadership and follower attitudes, behaviors, and performance outcomes have not been fully developed. Although we have a number of articles developing the theory of authentic leadership and testing propositions that will appear in a forthcoming special issue of The Leadership Quarterly (Vol. 16, Issue 3, 2005), the focus of this article is to provide some of the initial foundation work for the broader theoretical framework of how authentic leaders influence follower attitudes, behaviors, and performance. Here, we draw from positive organizational behavior, trust, hope, emotion, identification, and identity theories to describe the processes …

Does Baldrige Make A Business Case For Quality?, Mark L. Dean, Cynthia L. Tomovic

STEMPS Faculty Publications

The Malcolm Baldrige National Quality Award (MBNQA) is a widely accepted model promoting quality management as a means to business success. However, because business results are themselves part of the model, the contribution of the approach-deployment elements to results cannot be determined. The National Institute of Standards and Technology (NIST) maintains a history of Baldrige applications and the results of their evaluations. Statistical analysis of these data could yield insight into whether the approach-deployment advocated by the Baldrige model actually produces excellent results. Although NIST does not currently allow access to the data, future empirical evaluation of the data could …

The Cognitive And Affective Antecedents Of General Trust Within Cooperative Organizations, J.L. Morrow Jr., Mark H. Hansen, Allison W. Pearson

Faculty Publications

Recently, much attention has been devoted to the important role that trust may play in the management of organizations. From a theoretical perspective, scholars have considered a wide range of topics such as the distinction between trust and distrust (Lewicki et al, 1998), the initial development and evolution of trust within organizations (Jones and George, 1998; Mayer et aL, 1995) and the betrayal of trust (Elangovan and Shapiro, 1998). EmpiricaJJy, researchers have examined how trust impacts organizations at the individual (McAllister, 1995), group (Korsgaard et al, 1995) and organizational levels (Davis fl al., 2000). Despite increasing interest in the effects …

Worker Ownership In Enron's Wake - Revisiting A Community Development Tactic, Peter R. Pitegoff

Faculty Publications

Worker ownership of business enterprise has long been touted as a vehicle for community economic development. Employee stock ownership plans in leveraged buy-outs, ESOPs and broad-based stock options in going concerns, and worker cooperatives in selected sectors - the experience has varied widely in goals, method, and outcome.

This Article reflects on the continued utility of worker ownership as a component of community development and calls attention to contrasts with conventional corporate governance and goals. Rather than an end in itself or just another way of doing business, worker ownership can be a vital element of a broader job creation, …

A Bayesian Operationalization Of The Resource-Based View, Mark H. Hansen, Lee T. Perry, C. Shane Reese

Faculty Publications

This paper argues that the gap between the theoretical utility and the practical utility of the resource-based view (RBV) may be narrowed by operationalizing the theory more consistently with Penrose's original framework. The operationalization proposed here is a twofold approach. First, the RBV may be enhanced by the explicit recognition of Penrose's two classes of resources, namely, administrative resources and productive resources. This distinction suggests a focus on the administrative decisions of managers that lead to economic performance. Second, we argue that the RBV is a theory about extraordinary performers or outliers—not averages. Therefore, the statistical methods used in applying …

Contributions Of Family Leisure To Family Functioning Among Transracial Adoptive Families, Ramon B. Zabriskie, Patti Freeman

Faculty Publications

The purpose of this study was to examine family leisure behavior among intact families with transracial adoptive children and make comparisons to a broad sample of families with only biological children. The sample consisted of 197 adoptive families. Data were analyzed from a parent, youth, and family perspective. The Family Leisure Activity Profile (FLAP) was used to determine family leisure involvement. FACES II was used to measure family functioning. Findings indicated that measures of family cohesion, family adaptability, and family functioning were higher among the adoptive family sample. Core, balance, and total family leisure involvement were also higher among the …

The Influences Of Family Leisure Patterns On Perceptions Of Family Functioning*, Ramon B. Zabriskie, Bryan P. Mccormick

Faculty Publications

This study conducted a preliminary test of a model of family leisure functioning by examining the relationship of core and balance family leisure patterns to family cohesion and adaptability. We hypothesized that core family leisure patterns address family needs for stability, facilitate the development of cohesive relationships, and are related to perceptions of family cohesion, whereas balance family leisure patterns address family needs for change, facilitate the development of adaptive skills, and are related to perceptions of family adaptability. Findings from 2 multiple regression analyses provided preliminary support for the model. Conclusions and implications are discussed.

2004 Faculty Senate Meeting Minutes, Morehead State University. Faculty Senate.

Faculty Senate Records

Faculty Senate meeting minutes for the entire year of 2004.

Human Capital And Learning As A Source Of Sustainable Competitive Advantage, Nile W. Hatch, Jeffrey H. Dyer

Faculty Publications

This paper seeks to identify the sources of wide and persistent variations in learning performance in the semiconductor manufacturing industry. In the resource-based view of the firm, human capital is frequently assumed to contribute to competitive advantage due to its inimitability based on its intangible, firm-specific, and socially complex nature. Consistent with this view, we find that investments in firm-specific human capital have a significant impact on learning and firm performance. More specifically, human capital selection (education requirements and screening), development through training, and deployment significantly improve learning by doing, which in turn improves performance. However, we find that acquiring …

Drivers Of The Value Of The Firm: Profitability, Growth, And Capital Intensity, Tom W. Miller, Richard E. Mathisen

Faculty Articles

Value-based management systems focus on wealth and the wealth creation process and promote the generation of value for the shareholders. A valuation model for the firm is extended analytically to focus explicitly on profitability, growth, and capital intensity as drivers of the value of the firm. The extended model provides information about the sensitivities of the value of the firm to changes in the firm's profitability, growth, and capital intensity. These sensitivities are presented in terms of changes per dollar of sales and actual dollar changes. The changes per dollar of sales show the relative sensitivities of the changes in …

Best Practice Hrd: Exploring The Feasibility Of Conventional Models In The Small Firm: The Case Of The Irish Hotel Sector, Ciara Nolan

Masters

The growth and popularisation of best practice HRD literature has been a key feature of recent international management research. This study explores this concept within the context of the small firm. In particular, the work sought to analyse the feasibility of conventional best practice HRD, theoretically and empirically, within a small hotel environment. Conventional best practice theory advocates that HRD takes place within a structured framework of formal plans and procedures. It explicitly overlooks and ignores informal and tacit means of training, which have proven to be particularly crucial within small hospitality firms. Yet, many small firms are successful and …

Pan-European Logistics And Scm Challenges: Towards An Integrated Approach To Supply Chain Re-Engineering, Edward Sweeney

Other Resources

No abstract provided.