In an earlier study we examined the available evidence on the Edelman Prize finalist applications 1989--1998. This study concluded that 13 of the 42 private sector applications provide examples of strategic operations research (SOR) when SOR is defined as operations research that creates a sustainable competitive advantage. In a follow-up study we tested our classifications, gathering longitudinal information on the continued success of the Edelman applications. We contacted people who were familiar with all the private sector applications that were Edelman finalists 1989--1996 and had at least five years of history since the competition. We describe the post-Edelman history of these applications and use this data to reassess their strategic role. We found that the longitudinal data provides evidence to support our original classification, but also suggests that several additional applications were more strategic than was originally apparent. We conclude that almost 60% (20 of 34) of these applications created a sustainable competitive advantage for their firms and provide examples of SOR.

Strategic Operations Research and the Edelman Prize Finalist Applications 1989--1998

Operational researchers have been slow to define and claim a strategic role for operational research (OR). This article discusses the OR activities of a number of leading-edge organisations, and argues that in several instances these activities have sustained a competitive advantage over a significant period of time, and are seen as a 'strategic asset' to the parent corporation. Finally, it is argued that OR people should begin talking about OR as a strategic asset, and that recognition of this strategic role provides a vision of a very exciting future for OR.

Strategic operational research

Service Factors for Consumer Durable Goods,” Journal of Marketing Research, 15(4), November, 634-639. Al-Faraj, Taqi N; Alidi, Abdulaziz S and Bu-Bahait, Khalid A (1993). “Evaluation of Bank Branches by Means of Data Envelopment Analysis,” International Journal of Operations and Production Management, 13(9), 45-53. Allen, W Bruce and Liu, Dong (1995). “Service Quality and Motor Carrier Costs: An Empirical Analysis,” Review of Economics and Statistics, 77(3), August, 499-511. Amirani, Shahrzad and Baker, Julie (1995). “Quality Cues and Retail Target Market Strategy: A Conjoint based Application,” International Journal of Retail and Distribution Management, 23(5/6), 22-32. Andaleeb, Syed Saad and Basu, Amiya K (1994). “Technical Complexity and Consumer Knowledge as Moderators of Service Quality Evaluation,” Journal of Retailing, 70(4), Winter, 367-382. Andreassen, Tor Wallin (1994). “Satisfaction, Loyalty and Reputation as Indicators of Customer Orientation in the Public Sector,” International Journal of Public Sector Management, 7(2), 16-35. Andreassen, Tor Wallin and Lindestad, Bodil (1998). “Customer Loyalty and Complex Services,” International Journal of Service Industry Management, 9(1), 7-23. Angur, Madhukar G and Nataraajan, Rajan (1999). “Service Quality in Banking Industry: An Assessment in a Developing Economy,” International Journal of Bank Marketing, 17(2), 116-124. Aquila, August J and Keltin, Allan D (1992). “How to Lose Clients Without Really Trying,” Journal of Accountancy, 173(5), May, 67-71. Armistead, Colin and Clark, Graham (1994). “The Coping Capacity Management Strategy in Services and the Influence on Quality Performance,” International Journal of Service Industry Management, 5(2), 5-23. Armitage, A M D (1997). “Application of Conjoint Analysis to Evaluate Service Quality,” Total Quality Management, 8(2/3), June, 579-583. Arora, Raj and Stoner, Charles (1996). “Effect of Perceived Service Quality and Name Familiarity on the Service Selection Decision,” Journal of Service Marketing, 10(1), 22-34. Ashness, Diane and Lashley, Conrad (1995). “Empowering Service Workers at Harvester Restaurants,” Personnel Review, 24(16), 17-33. Asubonteng, Patrick and McCleary, Karl J (1996). “SERVQUAL Revisited: Critical Review of Service Quality,” Journal of Service Marketing, 10(6), 62-82. Athiyaman, Adee (1997). “Linking Student Satisfaction and Service Quality Perceptions: The Case of University Education,” European Journal of Marketing, 31(7), 13-19. Atkins, Mardeen P and Marshall, Brenda Stevenso (1996). “Happy Employees Lead to Loyal Patients,” Journal of Health Care Marketing, 16(4), Winter, 595-604. Augustyn, Marcjanna and Ho, Samuel K (1998). “Service Quality and Tourism,” Journal of Travel Research, 37(1), August, 71-76. Auty, Susan and Long, George (1999). “Tribal Warfare and Gaps Effecting Internal Service Quality,” International Journal of Service Industry Management, 10(1), 7-23. Avkiran, Necmi Kemal (1999). “Quality Customer Service Demands Human Contact,” International Journal of Bank Marketing, 17(2), 61-72. Avkiran, Necmi Kemal (1994). “Developing an Instrument to Measure Customer Service Quality in Branch Banking,” International Journal of Bank Marketing, 12(6/7), 1019. Ayres, Q Whitfield and Kettinger, William J (1983). “Information Technology and Models of Governmental Productivity,” Public Administration Review, 43(6), November/December, 561-567. Babbar, Sunil (1992). “Dynamic Model for Continuous Improvement in the Management of Service Quality,” International Journal of Operations and Production Management, 12(2), 38-49. Baker, D A and Fesenmaier, Daniel R (1997). “Effects of Service Climate on Managers’ and Employees’ Rating of Visitors’ Service Quality Expectations,” Journal of Travel Research, 36(1), Summer, 15-22. Ballantyne, David; Christopher, Martin and Payne, Adrian (1995). “Improving the Quality of Services Marketing: Service Redesign is the Critical Link,” Journal of Marketing Management, 11(1-3), January-April, 7-25. Batley, T W (1994). “Service Quality in New Zealand: The New Competitive Edge,” Total Quality Management, 5(4), 139-150. Beach, Lee Roy and Burns, Lawton R (1995). “Service Quality Improvement Strategy,” International Journal of Service Industry Management, 6(5), 5-16. Bebko, Chalene Pleger (1990). “Self-monitoring and Relative Perceived Power as Determinants of CommunicaB I B L I O G R A P H Y

http://vik.sagepub.com/content/29/2/157.full.pdf

Service Quality – II

We define strategic OR/MS as "OR/MS work that leads to a sustainable competitive advantage." We found evidence of strategic OR/MS in the literature of strategic information systems (SIS) and OR/MS. We examined 30 early examples of SIS, many of which contained OR/MS work. Many of the most successful had high OR/MS content, while the least successful contained none. The inclusion of OR/MS work may be a key to sustaining an advantage from information technology. We also examined the Edelman Prize finalist articles published between 1990 and 1999. We found that 13 of the 42 private sector applications meet our definition of strategic OR/MS.

/pdf/in-search-of-strategic-operations-research-management-494nkd5a6q.pdf

In Search of Strategic Operations Research/Management Science

This article reviews the characteristics of the model selection problem for simulation software or analyses and presents a multiobjective decision analysis approach for model selection that addresses these characteristics. The approach is illustrated with an application to selecting a modeling approach for simulating transport agents. The authors discovered that using multiobjective decision analysis for model selection can assist decision makers in more fully understanding all aspects of the simulation design problem and can uncover insights into the particular simulation project being designed.

Model Selection for Simulation Design: A Multiobjective Decision Analysis Approach with an Application to Simulating Transport Agents:

Since 1991, KeyCorp has been developing its Service Excellence Management System SEMS to manage productivity and enhance service throughout its 1,300 branch banking franchise. The SEMS models measure branch activities and generate reports on customer wait times and teller proficiency and productivity levels. These reports help managers to identify reengineering efforts, schedule staff to better match customer arrivals, and enhance productivity and service. For branches using the models, customer processing time has been reduced by 53 percent, customer wait time has improved dramatically with only four percent of customers waiting more than five minutes, and at 94 percent of branches 90 percent of customers are waiting less than five minutes-improvements of 71 and 124 percent, respectively. The SEMS models are expected to reduce personnel expenses by $98 million over five years, yielding an internal rate of return of 3,500 percent.

KeyCorp Service Excellence Management System

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