All posts by Business School

Information Systems

Impact of Environmental Uncertainty and Task Characteristics on User Satisfaction with Data

Karimi, Jahangir, Somers, Toni M. and Gupta, Yash P.
Information Systems Research Vol. 15 Issue 2, p. 175-191

Today, more than ever before, organizations are faced with the task of processing volumes of information under more uncertain and more competitive environments. This study investigates the impact of environmental uncertainty and task characteristics on user satisfaction with data by using IS and organizational theories. Responses were matched from 77 CEOs and 166 senior managers, who were end users of IS. The partial least squares technique indicated that environmental uncertainty has a positive impact on task characteristics. Task characteristics have a direct and mediating impact on user satisfaction with data. Our findings also demonstrated that user satisfaction with data could be better understood by overlapping IS and organizational theories, rather than by treating the subject matter in disjoint fields. The paper concludes with discussions and implications for researchers and practitioners.

Marketing

Consumer Views of Service Classifications in the United States and France

Cunningham, Lawrence F., Clifford E. Young, Wolfgag Ulaga, and Moonkyu Lee
Journal of Services Marketing Vol. 18, Issue 6, p. 421-432

In the services marketing literature, few service classifications are based on how customers view services, and fewer of these have been validated cross-culturally. To fill this gap, this research presents the results of a study that examined how U.S. and French customers perceived and classified a set of thirteen services based on multidimensional scaling (MDS). Service classifications were developed on a perceptual space where the actual services were mapped for two countries, U.S. and France. The results of the study suggest that there are two underlying dimensions that explain approximately 80% of the total variance in service perceptions and classifications. The dimensions and correlations for the classifications and services displayed many consistencies and some differences among American and French consumers. Directions for future academic research and managerial implications are cited and discussed.

Information Systems

Measuring Dimensions of Perceived e-Business Risks

Scott, Judy E.
Journal of Information Systems and e-Business Vol. 2, Issue 1, p. 31-56

The risks to e-business from breaches of security and privacy are well known. However, research has given very little attention to other important e-business risks. Using a socio-technical approach, in this study we survey a diverse sample of almost 200 participants to rate their perception of 16e-business risks, compiled from the research and practitioner literature. Strategic risks, organizational risks and e-business policy risks emerged as the three underlying dimensions of e-business risk. In terms of the sociotechnical model, strategic risks focus on the actor-structure component, and policy risks focus on the task-structure component. Organizational risks cover a wide spectrum of socio-technical components such as technology, actor-technology, technology structure and task-actor. The main contribution of this study is a multi dimensional scale of e-business risk perception. Practitioners can benefit by focusing their risk management efforts on the three dimensions of e-business risk, which are easier to manage than a long checklist of unrelated risks. Researchers benefit from a raised awareness on the importance of strategic and organizational risk factors in addition to policy risk factors for e-business risk management. A model that incorporates the three dimensions of e-business risks and shows theoretically based relationships with control mechanisms, trust, perceived uncertainty and profitability is proposed for testing in future research.

Management

The dimensionality and antecedents of emotional labor strategies.

Diefendorff, James M., Croyle, Meredith H., & Gosserand, Robin H.
Journal of Vocational Behavior Vol. 66, p. 339-357

This investigation had two purposes. The first was to determine whether the display of naturally-felt emotions is distinct from surface acting and deep acting as a method of displaying organizationally-desired emotions. The second purpose was to examine dispositional and situational antecedents of surface acting, deep acting, and the expression of naturally-felt emotions. Results supported a three-dimensional structure separating deep acting, surface acting, and the expression of naturally-felt emotions. In addition, the dispositional and situational variables exhibited theoretically-consistent and distinct patterns of relationships with the three emotional labor strategies. Overall, the results of this study expand the nomological network of surface acting and deep acting and suggest that the expression of naturally-felt emotions is a distinct strategy for displaying emotions at work and should be included in research on emotional labor.

Management

Protecting Domain Name Assets

Bagby, John W. and Ruhnka, John C.
CPA Journal Vol. 74 Issue 4, p. 64-69

Focuses on the importance of monitoring and protecting Internet domain names. Functions of domain names in e-commerce; General approaches to Internet operations; Strategies for protecting domain name assets.

Information Systems

Jungles and Gardens: The Evolution of Knowledge Management at J. D. Edwards

Scott, Judy E., Globe, Alden and Schiffner, Kristen
Management Information Systems Quarterly Executive Vol. 3, Issue 1, p. 37-52

Over a period of eight years, 1995-2003, J.D. Edwards evolved three innovative approaches to knowledge management (KM). The evolution in each started with a grass-roots team effort and grew to become an institutionalized enterprise application. With limited resources, J.D. Edwards has built a Global Web site Community, a sophisticated intranet/extranet (called the Knowledge Garden®), and a content management application (called Content Manager) that allows people to reuse multilingual technical documents, drawing them from a “single source” location. The evolution of these three projects is analyzed using a four-phase stage model and illustrates 12 lessons for others on how to more effectively plan an enterprise KM project, anticipate change, and set appropriate expectations. In the initiation stage, organizations need to identify and encourage an evangelist or champion to gain executive support and sponsorship. In the contagion stage, organizations need to establish content ownership and useful standards, and devise innovative ways of aligning the KM project with revenue generation. In the control stage, organizations need to anticipate the ongoing needs of updating the technologies and improving the governance processes. Finally, in the integration stage, organizations need to find a unifying vision and use techniques that will institutionalize knowledge management. The impact of these enterprise content management initiatives at J.D. Edwards has been considerable. Early ROI studies on the Knowledge Garden indicated an 1811% return, totaling $5 million annually in saved time and reduced paper costs. Content Manager, with a 270% ROI the first year, has been a consistent revenue driver, delivering over $7 million to the bottom line by early 2003?-and an additional $7.5 million from the Web-based training tool and courseware. By February 2002, jdedwards.com was driving over $10 million worth of pipeline leads.

Information Systems

An Empirical Study of Consumer Switching from Traditional to Electronic Channels: A Purchase-Decision Process Perspective

Gupta, Alok; Bo-chiuan Su and Walter, Zhiping
International Journal of Electronic Commerce Vol. 8 Issue 3, p131-161

This paper examines the relationship between purchase decisions and channel-switching intentions. A theoretical model that explains channel-switching intentions was tested with a sample of 337 consumers. The results show a 52 percent tendency to switch from off-line to on-line across four product categories: books, airline tickets, wine, and stereo systems. The order of the switching tendency was consistent with the products’ search and experience attributes. Logistic regression analysis across product categories shows that differences in channel-risk perceptions, price-search intentions, evaluation effort, and waiting time have a significant impact on consumer switching from off-line to on-line shopping. Consumers who purchase on-line perceive significantly lower channel risk, search effort, evaluation effort, and waiting (delivery) time on-line than off-line and express significantly higher price-search intentions on-line than off-line. Consumers attracted to off-line channels also perceive lower search-cost and higher price-search intentions on-line than off-line, but their perceived on-line search effort and price-search intentions are significantly lower than for consumers attracted to on-line channels. These results support the important influence of the examined factors on channel switching. They also suggest that demographics may not be an effective basis for market segmentation.

Business Analytics, Information Systems, Marketing

Assessing Perceived Risk Of Consumers In Internet Airline Reservations Services

Cunningham, Lawrence F., Gerlach, James and Harper, Michael D.
Journal of Air Transportation Vol. 9 Issue 1, p. 21-35

This research investigates the premise that the use of Internet airline reservation systems is perceived to be riskier than traditional airline reservation systems. Unlike previous studies on perceived risk that typically focused on the relationship of perceived risk and information search, this study examines the dynamics of perceived risk throughout the various stages of the consumer buying process. A survey of 159 respondents reveals that perceived risk for both traditional and Internet airline reservation services follows a systematic pattern throughout the consumer buying process. Perceived risk for both traditional and Internet airline reservation systems falls during information search but recovers and rapidly increases as consumers approach the moment of purchase. When viewed as a dynamic process, perceived risk for Internet airline reservation services shows more radical changes in risk levels than the traditional service. Another major finding of this study is the discovery of a risk premium for Internet airline reservation services that permeates all stages of the consumer buying process.

Management

Measurement equivalence and multisource ratings for non-managerial positions: Recommendations for research and practice.

Diefendorff, James M., Silverman, Stanley B., & Greguras, Gary J.
Journal of Business and Psychology Vol. 19, p. 399-425.

The present investigation applies a comprehensive sequence of confirmatory factor analysis tests (Vandenberg & Lance, 2000) to the examination of the measurement equivalence of self, peer, and supervisor ratings of non-managerial targets across several performance dimensions. Results indicate a high degree of measurement equivalence across rater sources and performance dimensions. The paper illustrates how this procedure can identify very specific areas of nonequivalence and how the complexity of a multisource feedback system may be represented using such procedures. Implications of these results and recommendations for both research and practice are offered.

Management

CEO succession planning: An emerging challenge for boards of directors

Biggs, Errol L.
Academy of Management Executive Vol. 18 Issue 1, p. 105-107

The article discusses the importance of chief executive officer (CEO) succession planning for corporate success. In a recent survey of public-corporation CEOs conducted by the National Association of Corporate Directors, CEO succession had risen to the second most important issue facing boards of directors. As in the past, one way to avoid the hassle of searching for a new CEO is to have the successor often be an internal candidate already identified and groomed to take over when the current CEO steps aside. The board’s role in succession planning comprises several tasks. Although the CEO is the central player in the process, the board should understand this is a joint duty and not one delegated solely to the CEO. Many organizations have found it is beneficial to go outside the organization to look for a new CEO. To minimize the disruption created when a CEO departs unexpectedly, an internal individual can be designated as the acting CEO. No two succession scenarios are identical and therefore a variety of possible conditions may confront the board as it faces the challenge. A primary internal candidate may thus need to be passed over as CEO-designate as part of a bargaining position or in deference to perceived equity with the other entity.

Entrepreneurship, Information Systems

The Rise and Fall of a Dot-Com: Lessons Learned from LivingCo

Scott, Judy E.
Annals of Cases on Information Technology Vol. 6, p. 1-21

LivingCo was founded with a vision of revolutionizing the U.S. furniture industry by exploiting technological opportunities. It won accolades for its innovative website and generated considerable consumer interest, becoming at one stage one of the most highly trafficked sites on the Internet. Oracle named LivingCo a poster child because it was one of the first e-tailers to successfully deploy their software in both the front and back ends of the business. Furthermore, industry analysts considered many of its strategic plans promising. However, LivingCo ran into problems coping with overspending, high traffic on its website, integrating its technology with its subsidiary, suppliers who were wary of channel conflict and customers, who were, in general, slow to adopt the new way of shopping for furniture

Economics

THE "LAW OF ONE PRICE" IN 1901

Eckard, F. Woodrow
Economic Inquiry Vol. 42 Issue 1, p. 101-110

Price dispersion in 1901 is analyzed using a unique U.S. government survey yielding retail prices for four products at more than 1500 stores nationwide. Three of these products are still sold today, allowing comparisons based on modern survey data. Despite the introduction of significant search cost-reducing technology during the intervening century, dispersion appears to be lower in 1901.

Accounting

Debiasing Balanced Scorecard Evaluations

Roberts, Michael L., Albright, Thomas L. and Hibbets, Aleecia R.
Behavioral Research in Accounting, Vol. 16, Issue 1, p. 75-88

Lipe and Salterio (2000) found that superiors disregarded half of the information when using a Balanced Scorecard to evaluate the performance of two divisional managers. Only common measures affected the superiors’ holistic evaluations, defeating the purpose of the Balanced Scorecard. Our study examines whether disaggregating the Balanced Scorecard results in evaluations consistent with the intent of the Balanced Scorecard approach. Results indicate the disaggregated strategy allows superiors to utilize unique as well as common measures, thus overcoming the common-measures bias. In addition, we find Balanced Scorecard performance evaluations explain more than half the variation in subsequent compensation decisions.

Finance

Stock Exposures in Portfolios with Options

Arak, Marcelle
Journal of Wealth Management Vol. 6 Issue 3, p. 19-25

Describes a procedure for combining options with outright stock holdings to get an accurate view of overall exposure to each company’s equity price. Examination of long call options in a portfolio of stocks and bonds; Measurement of an investor’s exposure to a stock; Procedures for calculating effective shares.