Sessions for Friday, May 08 Friday, 08:00 AM - 09:30 AM Friday, 08:00 AM - 09:30 AM, Columbia 1 Track: Behavior in Operations Management 1 Session: Buyer-Supplier Market Behavior Chair(s): Wedad Elmaghraby 060-0528 Field Experiment in B2B Auctions Wedad Elmaghraby, Associate Professor, University of Maryland, United States Anand Gopal, Associate Professor, University of Maryland, United States Ali Pilehvar, Student, University of Maryland, United States We report on the results of a field experiment that we ran on the auction site of one of the nation’s largest online auction wholesale liquidation sites. Our empirical analysis of the data indicates that the auction prices for used iPads are fairly insensitive to starting price and assortment. 060-0714 The Wisdom of Crowds: Forecasting Using Prediction Markets Ruomeng Cui, Assistant Professor, Indiana University Bloomington, United States Antonio Moreno-Garcia, Assistant Professor, Northwestern University, United States Prediction markets are virtual markets created to aggregate predictions from the crowd. We examine data from a public prediction market over 8 years. We study the efficiency of these markets to improve sales forecasting, identify experts to better extract wisdom from the crowd and analyze consequences in operations management. 060-1435 Mitigating Supplier Risks: An Experimental Evaluation Basak Kalkanci, Assistant Professor, Georgia Institute of Technology, United States Using economic experiments, we evaluate the performance of supplier improvement versus diversification to mitigate supply chain risks. We also investigate the role of buyer commitment on the overall profitability of the supply chain. Friday, 08:00 AM - 09:30 AM, Columbia 2 Track: Closed Loop Supply Chains 2 Session: Consumer Returns in Closed-Loop Supply Chains Chair(s): Necati Ertekin 060-0035 The Impact of Open-box Returns on Pricing, Return Policy, and Order Decision Necati Ertekin, Student, Texas A&M University College Station, United States Michael Ketzenberg, Associate Professor, Texas A&M University College Station, United States Increasingly, retailers are turning to selling returns in their own primary outlets, side-by-side with new product offerings. However, it remains unclear how a retail strategy of selling returns internally should be implemented. Our study addresses this issue and sheds light on the potential cannibalization between new and returned products. 060-0353 Measuring the Value of Return Policies to Consumers Guangzhi Shang, Assistant Professor, Florida State University, United States Pelin Pekgun, Assistant Professor, University of South Carolina, United States Michael Galbreth, Associate Professor, University of South Carolina, United States Mark Ferguson, Professor, University of South Carolina, United States Lenient return policies are popular in the industry. However, how much consumers value such a policy is difficult to measure from firm's perspective. We tackle this challenge and measure the value of return policies to consumers in the online retail context. 060-0355 "Bricks and Clicks" - The Impact of Consumer Returns on the Multichannel Sale Strategies of Manufacturers Paolo Letizia, Assistant Professor, Erasmus University Rotterdam, Netherlands Terry Harrison, Professor, Penn State University University Park, United States Direct online sales offer important business opportunities to brand manufacturers but pose the challenge of consumer returns. We show that the design of the sale channel by manufacturers depends on the salvage value for returns. 060-0948 An Empirical Analysis of Return Episodes in Retailing Aydin Alptekinoglu, Associate Professor, Penn State University University Park, United States Paul Messinger, Associate Professor, University of Alberta, Canada Michele Samorani, Assistant Professor, University of Alberta, Canada A product return episode is a sequence of transactions composed of the purchase of a product, a return of that product, a repurchase of a similar product, etc., concluding with a final purchase or return. We empirically study return episodes using data from a national consumer electronics retailer. Friday, 08:00 AM - 09:30 AM, Columbia 3 Track: Empirical Research in Operations Management 3 Session: Supply Chain Empirical Research - I Chair(s): Hsiao-Hui Lee 060-0032 What Drives Supplier Selection Decisions? A Firm-level Investigation in the Automotive Industry Friday, 08:00 AM - 09:30 AM Florian Badorf, Student, Kuehne Logistics University, Germany Kai Hoberg, Associate Professor, Kuehne Logistics University, Germany Felix Papier, Associate Professor, Essec Business School, France We analyze the relationship between firm-level factors such as relationship strengths, market share or financial stability and the probability that a supplier is selected for a sourcing project. We develop an econometric model and apply empirical data from the automotive industry with more than 63,000 supplier selection decisions. 060-0159 Selecting High-technology New Business Ventures as Suppliers Constantin Brachtendorf, Student, Swiss Federal Institute of Technology Zurich, Switzerland Christoph Bode, Professor, Universitat Mannheim, Germany Stephan Wagner, Professor, Swiss Federal Institute of Technology Zurich, Switzerland Many firms strive for an entrepreneurial orientation (innovativeness, risk-taking propensity, and proactiveness) to deal with today’s dynamic business environment. As such, they can potentially benefit from sourcing from high technology new business ventures (HT-NBVs). This study examines how firms select HT-NBVs as suppliers by means of a discrete choice experiment. 060-0507 Assessing Supply Chain Quality Risk Management Strategies and the Implications on Quality Performance Sarah Wu, Associate Professor, Fordham University, United States Xiande Zhao, Professor, China Europe International Business School, China Dongli Zhang, Assistant Professor, Fordham University, United States The study aims to identify different quality risk management strategies, which reflect how firms handle quality risk. This study also explores the relationships of different kinds of quality risk management strategy in order to sustain or improve the quality performance of a focal firm along the supply chain. 060-0710 Do Responsible Buyers Prefer to Sources from Responsible Suppliers? Hsiao-Hui Lee, Assistant Professor, University of Hongkong, China This paper investigates if buyers select suppliers’ by their corporate social performance (CSP). We first show that a buyer is likely to form a supply-chain relationship with a supplier having similar CSP. However, this matching phenomenon is weakened when buyers face stronger competition or expensive suppliers. Friday, 08:00 AM - 09:30 AM, Columbia 4 Track: Scheduling and Logistics 4 Session: Production Scheduling and Logistics Chair(s): Zhili Tian 060-1277 Category Captain’s Orders: Integrated Optimization Modeling at the Supply Chain’s Fulcrum James Hamister, Associate Professor, Wright State University, United States Michael Magazine, Professor, University of Cincinnati, United States George Polak, Professor, Wright State University, United States We formulate a LP that provides bounds for a model that integrates sourcing, order lot-sizing, and immediate downstream distribution decisions to utilize a Category Captain’s leverage across a supply chain. We solve it for a large-scale data set provided by a distributor of HVAC products and develop decision support tools. 060-0973 Combining DES, Optimization and Heuristics to Improve Steel Plates Thermal Treatment Scheduling Roberto Revetria, Professor, Universita Degli Studi De Genova Diptem, Italy Piero Giribone, Professor, University of Genoa, Italy Lorenzo Damiani, Lecturer, University of Genoa, Italy This paper focuses on thermal treatments of steel plates through an innovative scheduler made of both an optimization and a heuristic algorithm. The aim of this approach is to extend the planning procedure to the virtual material to improve production scheduling by adding more visibility by using a DES approach. 060-0408 Understanding Product Line Complexity through Stochastic Lot Sizing Analysis Zhili Tian, Assistant Professor, Florida International University, United States We formulate the problem of determining the production run lengths and sequencing the runs in continuous chemical processes with sequence dependent changeover times and uncertain demands. We develop a sequential method to solve this planning program. Through global sensitivity analysis, wegenerate data for estimating the product line complexity cost. 060-0914 Achieving Sustainable Operations through Estate-wide Goods Mover System SIJIE HO, Student, National University of Singapore, Singapore Erdem Ceven, Reader, National University of Singapore, Singapore Linda Wati, Reader, National University of Singapore, Singapore Mark Goh, Professor, National University of Singapore, Singapore Robert de Souza, Professor, National University of Singapore, Singapore Maintaining sustainable logistics operations in urban areas is a challenging task. It requires intensifying land use, minimizing inventory levels, and improving service levels. We investigate “Estate-wide Goods Mover System,” which synchronizes freight transportation and distribution operations, using discrete event simulation. We demonstrate the feasibility and effectiveness of the proposed system. Friday, 08:00 AM - 09:30 AM Friday, 08:00 AM - 09:30 AM, Columbia 9 Track: Economics Models of Operations 5 Session: New product development