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Engineering Management, IEEE Transactions on

Issue 1 • Date Feb. 2013

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Displaying Results 1 - 25 of 28
  • Table of Contents

    Page(s): C1
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  • IEEE Transactions on Engineering Management publication information

    Page(s): C2
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  • Editorial for February 2013 Issue

    Page(s): 1 - 3
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  • Key Drivers of Effectiveness in Managing a Group of Multiple Projects

    Page(s): 4 - 17
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1228 KB) |  | HTML iconHTML  

    Because of resource limitations, project managers in many organizations are tasked to lead more than one project at a time. In this research, these project managers are referred to as multiple-project managers and such a management condition is referred to as management of a group of multiple projects (MGMP). This study is among the first to investigate effectiveness in MGMP, a multiple project management form that has been utilized widely in industry but not broadly researched. The objective is to empirically identify the significant predictors of MGMP effectiveness in terms of two criteria: project performance and the learning of project managers. This study is a continuation of previous research, which was conducted using a case study methodology to explore the definition of MGMP effectiveness, factors affecting MGMP effectiveness, and criteria for measuring such effectiveness. Based on a survey of 169 multiple-project managers, the findings from the research reported in this paper suggest multiple factors as significant predictors of MGMP effectiveness. First, the competencies of multiple-project managers in terms of multitasking and multiteam management were found to contribute to both dimensions of effectiveness. Second, project manager assignment and sufficient resource allocation contribute to improved project performance. Finally, management of the interdependence between projects contributes to project manager learning. View full abstract»

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  • Innovation Project Portfolio Management: A Qualitative Analysis

    Page(s): 18 - 29
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (701 KB) |  | HTML iconHTML  

    Doing the right innovation projects is critical to firm's success; therefore, academics and practitioners are striving for optimizing innovation project portfolio management (IPPM). Although some research on certain issues in IPPM has been conducted so far, valid empirical evidence on the use, outcomes, and most important success drivers of portfolio methods in innovation management is rare. We aim at discovering the cause-and-effects of IPPM performance. This paper shows that performance of IPPM may be better understood if it is considered as an integrated system of portfolio balance, strategic alignment, and value maximization simultaneously. Using in-depth data from 29 interviews in 12 companies, we use a grounded theory approach to develop a general model of what drives IPPM in detail and how these causes are related to effects on both project performance and firm performance. According to the findings from these qualitative data, effective IPPM is the result of three constructs: usage of IPPM methods, IPPM design, and project characteristics. These cause-and-effects are moderated by management perception and satisfaction with IPPM. View full abstract»

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  • Integrated Product and Channel Decision in Mass Customization

    Page(s): 30 - 45
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1146 KB) |  | HTML iconHTML  

    This paper explores the effectiveness of mass customization strategies in a manufacturing firm. The manufacturing firm produces standard products in a flexible factory where mass customization is technologically feasible. We integrate product strategy and channel design to explore whether the firm should adopt mass customization and how the distribution channel should be configured for custom products. We find that the mixed mass customization strategy dominates the pure standard product strategy in the centralized system. For the decentralized system, we identify the parameters that would impact superiority of each product strategy. We further discuss two channel structures for mass customization: single-channel strategy and dual-channel strategy, and find that the dual-channel strategy is always superior to the single-channel strategy when mixed mass customization is adopted. View full abstract»

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  • Learning-by-Licensing: How Chinese Firms Benefit From Licensing-In Technologies

    Page(s): 46 - 58
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (619 KB) |  | HTML iconHTML  

    This paper explores how interfirm variations in their in-licensed technology portfolios influence subsequent innovation performance. Existing studies mainly assume licensed technologies are homogeneously accessible to firms, and a prevailing explanation as to why firms vary in their innovation performance lies in differences of absorptive capacity. In this study, we intend to relax this assumption and use data about 186 Chinese indigenous firms to investigate how differences in in-licensing portfolios lead to different effects on innovation performance. We find that firms benefit from prior in-licensing technologies and the result is related to four dimensions of their licensing portfolios. We find that 1) the scale of firms' technology in-licensing has an inverted-U relationship with their subsequent innovation performance; 2) firms that license-in foreign technologies tend to outperform those that predominantly license-in technologies from domestic sources; 3) the newness of firms' technology in-licensing yields a positive effect on subsequent innovation performance; and 4) a diverse portfolio of licensors from whom technologies are licensed-in has an inverted-U relationship with firms' subsequent technological diversity. View full abstract»

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  • Boundary spanning by design: Toward aligning boundary-spanning capacity and strategy in IT outsourcing

    Page(s): 59 - 76
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1031 KB) |  | HTML iconHTML  

    IT outsourcing (ITO) has created new issues for engineering management. Of these, a persistent problem concerns the boundaries between clients and vendors, which have the potential to damage even the most trusting and secure relationship. The rising trend of offshore sourcing has further exacerbated the issue, because of the national boundaries that ITO traverses in the offshore context. However, research on this issue has been limited; existing studies have mainly focused on the client perspective, whereas systematic analyses from the vendor perspective have been limited. In this study, we bridge this gap by studying boundary spanning of two ITO vendors. The data collection and analysis are guided by a novel and sound theoretical lens-alignment between boundary-spanning capacity and strategy. Two alignment models are derived. The alignment-form model depicts the outlook of the alignment and the alignment-path model depicts the process of achieving it. Based on these two models, we further conceptualize that vendor boundary spanning happens by design, with rational deliberation and planning. The study complements the ITO literature by providing a more complete picture of boundary spanning and the boundary-spanning literature by integrating the two diverse yet relevant research streams of boundary spanners and boundary-spanning strategies. View full abstract»

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  • Fuzzy Approaches for Constructing House of Quality in QFD and Its Applications: A Group Decision-Making Method

    Page(s): 77 - 87
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1011 KB) |  | HTML iconHTML  

    Quality function deployment (QFD) is a useful planning approach for constructing new product designs or modifying existing products. The approach has been widely adopted in various applications. For QFD processes, the house of quality (HOQ) is first constructed to describe customer requirements (CRs) and their importance, design requirements (DRs), the relationships between CRs and DRs, and the correlations among DRs. This study proposes a systematic procedure for constructing the HOQ and describes its application from a group decision-making (GDM) perspective. Considering the imprecise information in the design stage, fuzzy set theory is employed to develop fuzzy approaches for constructing the HOQ. In practical applications, a QFD team is usually organized to collect relevant information; therefore, GDM approaches are incorporated into the construction process of the HOQ. To reflect the differences between decision-makers' evaluations of elements in the HOQ, various ways of assessing the components of the HOQ are allowed. A modified fuzzy clustering approach is proposed for finding the consensus of the QFD team. Based on the established HOQ, approaches are presented for prioritizing DRs as a reference for allocating internal resources to appropriate DRs in order to optimally satisfy CRs. A numerical example is used to demonstrate the applicability of the proposed approaches. View full abstract»

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  • Competitive Market Selection With Timing and Capacity Decisions

    Page(s): 88 - 98
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (917 KB) |  | HTML iconHTML  

    Firms faced with large capacity investment decision often face complex decisions: when to invest, which market to pursue, and how much to invest into those markets, all of which have strategic implications in competitive environments. We study a setting where two firms with symmetric costs are each considering capacity investments into one of two alternative projects, one targeting an emerging market and the other a mature market. Demand for the emerging market is uncertain and may expand through firms' market entry (positive diffusion effects), while demand for the mature market is known with certainty and cannot expand. Our analysis reveals that the existence of multiple investment opportunities may induce firms to delay their investment even in the absence of demand uncertainty, and that high diffusion effects coupled with low demand uncertainty can drive firms to invest early even if both firms could increase returns by delaying their investment. The analysis further uncovers a key ratio (a function of the average demand and costs of each market) that can help managers make timely decisions and focus their resources early. In an extension, we consider an alternative sequence of decisions. View full abstract»

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  • Complementary Assets and the Choice of Organizational Governance: Empirical Evidence From a Large Sample of U.S. Technology-Based Firms

    Page(s): 99 - 112
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1286 KB) |  | HTML iconHTML  

    Despite the considerable volume of research on technology commercialization, the role of complementary assets in driving technology commercialization remains controversial. In this paper, we provide a balanced perspective that integrates notions from transaction costs, firm capabilities, and industrial organization studies. In particular, we analyze the offsetting effects of the nature, ownership, and strength of downstream complementary assets on the gains from trade and transaction costs from alternative technology commercialization strategies. These strategies include competition in the product market, licensing, forming a technological joint venture, and selling the company to, or merging it with, holders of complementary assets. We test our hypotheses using a unique dataset encompassing commercialization transactions occurring between 1996 and 2002, among 545 technology-based firms. Our results suggest that innovators operating in industries requiring cospecialized complementary assets or possessing weak downstream capabilities, which are both associated with relatively higher sunk costs of entry in the product markets, are more likely to merge with incumbents rather than compete in the product market. Findings also suggest that innovating firms operating in industries requiring cospecialized complementary assets or possessing weak downstream capabilities, which are also associated with higher transaction costs, are more likely to adopt more integrated cooperative commercialization solutions. View full abstract»

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  • Partners for Business-to-Business Service Innovation

    Page(s): 113 - 123
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (415 KB) |  | HTML iconHTML  

    Firms that open up their organizational boundaries and access valuable external sources of knowledge can create new opportunities for innovation. However, little is known about this conjecture in the business-to-business (B-to-B) service context: whether B-to-B service firms utilize external knowledge and ideas for innovation, and if so, which types of partners they collaborate with in their innovation activities. This research is a step toward filling this void. Tobit regression analysis on secondary data was performed using various types of external partners as sources of innovation to determine the innovation performance of transportation and logistics service firms. The results show that customers, suppliers, and competitors (in descending order) contribute to service improvement, and customers contribute to the development of services that are new to the firm. In contrast, the use of universities and consultants as sources of innovation does not seem to immediately affect innovation performance in the transportation and logistics service industry. View full abstract»

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  • Optimal Pricing and Capacity Investment for Delay-Sensitive Demand

    Page(s): 124 - 136
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (457 KB) |  | HTML iconHTML  

    We study a firm's joint decisions on product prices, delivery lead times, and capacity investments of the production facility. We assume customers are strategic and heterogeneous in their sensitivity to waiting. The firm can offer a single service to all customers or two services with different delivery lead times and prices. We investigate a firm's optimal decisions when the firm is a monopolist or under a duopoly competition. We find that a monopoly firm's optimal capacity level decreases in service level. For a monopoly firm providing differentiated services, we find that the optimal facility utilization level does not depend on unit capacity cost. Furthermore, we demonstrate that a monopoly firm always gets more profits by providing differentiated services than a single service. For duopoly competition, we show the existence of a Nash equilibrium. Finally, we illustrate that a firm offering shorter lead time quotation may earn less profit than one offering longer lead time quotation when two firms compete in an industry with discrete lead times. View full abstract»

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  • A Multilevel Analysis of the Effect of Taxation Incentives on Innovation Performance

    Page(s): 137 - 147
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (466 KB) |  | HTML iconHTML  

    This study investigates how government taxation incentives stimulate R&D expenditures from the organizational field level and accordingly improve innovation performance. Our results, based on an examination of 54 Chinese High-Tech industrial parks in the period of 2002-2008, suggest that government taxation affects industrial parks' R&D expenditure in a U-shaped way over time. Although government taxation incentives have a direct impact on R&D expenditure, the R&D expenditure growth patterns are different for industrial parks with high tax incentives and low tax incentives. Moreover, instead of finding that R&D expenditure has a direct influence on innovation performance as indicated by the previous literature, our study shows that the effect is time-lagged. This paper augments the current literature by providing empirical evidence and a theoretical understanding of regional innovation motivation. View full abstract»

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  • Alliance Formation of SMEs: Empirical Evidence From Standardization Committees

    Page(s): 148 - 156
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (275 KB) |  | HTML iconHTML  

    This paper explores the decision of small- and medium-sized enterprises (SMEs) to participate in official standard setting alliances. Based on micro data of German firms in the electrical engineering and machinery industry, we show that innovation-related variables follow the predictions of our hypotheses. Research and development (R&D) intensity exhibits an inverse U-shaped relationship on the likelihood to join alliances. The positive relation suggests that SMEs aim to access the knowledge of larger firms whereas the negative relationship indicates that SMEs exceeding a certain threshold of R&D activity are reluctant to participate in standardization because their knowledge is too essential to disclose to competitors. The importance to access external knowledge via standardization committees is underlined by a positive correlation with the relevance of incoming knowledge spillovers and a negative correlation with the relative size of companies' patent portfolios. Besides these variables, we also explore the traditionally considered factors for alliance formation and show that firm size and export intensity are positively correlated with participation. View full abstract»

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  • Impact of Economic and Technical Uncertainties on Dynamic New Product Development

    Page(s): 157 - 168
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (558 KB) |  | HTML iconHTML  

    A new product development process is usually under economic and technical uncertainties, and adjustable to the arrival of new information. As a result, new product development is not a one-time decision but a dynamic process under uncertainties. This paper applies repeated real options to derive optimal decision-making rules for a firm that faces two repeated options: 1) an incremental innovation project that is relatively easy to be developed and 2) a radical innovation project that offers superior performance but its development is much more difficult. Our findings can help firms make dynamic investment decisions on coexisting new product development projects. View full abstract»

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  • Prediction Market Performance and Market Liquidity: A Comparison of Automated Market Makers

    Page(s): 169 - 185
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (899 KB) |  | HTML iconHTML  

    The use of prediction markets (PMs) for forecasting is emerging in many fields because of its excellent forecasting accuracy. However, PM accuracy depends on its market design, including the choice of market mechanism. Standard financial market mechanisms are not well suited for small, usually illiquid PMs. To avoid liquidity problems, automated market makers (AMMs) always offer buy and sell prices. However, there is limited research that measures the relative performance of AMMs. This paper examines the properties of four documented and applied AMMs and compares their performance in a large-scale simulation study. The results show that logarithmic scoring rules and the dynamic pari-mutuel market attain the highest forecasting accuracy, good robustness against parameter misspecification, the ability to incorporate new information into prices, and the lowest losses for market operators. However, they are less robust in case of noisy trading, which makes them less appropriate in environments with high uncertainty about true prices for shares. View full abstract»

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  • A Matrix-Calculation-Based Algorithm for Numerical Change Propagation Analysis

    Page(s): 186 - 198
    Save to Project icon | Request Permissions | Click to expandQuick Abstract | PDF file iconPDF (1463 KB) |  | HTML iconHTML  

    Engineering changes (ECs) are raised throughout the lifecycle of engineering products. A single change to one component produces knock-on effects on others necessitating additional changes. This change propagation significantly affects the development time and cost and determines the product's success. Predicting and managing such ECs is, thus, essential to companies. Some prediction tools model change propagation by algorithms, whereof a subgroup is numerical. Current numerical change propagation algorithms either do not account for the exclusion of cyclic propagation paths or are based on exhaustive searching methods. This paper presents a new matrix-calculation-based algorithm which can be applied directly to a numerical product model to analyze change propagation and support change prediction. The algorithm applies matrix multiplications on mutations of a given design structure matrix accounting for the exclusion of self-dependences and cyclic propagation paths and delivers the same results as the exhaustive search-based Trail Counting algorithm. Despite its factorial time complexity, the algorithm proves advantageous because of its straightforward matrix-based calculations which avoid exhaustive searching. Thereby, the algorithm can be implemented in established numerical programs such as Microsoft Excel which promise a wider application of the tools within and across companies along with better familiarity, usability, practicality, security, and robustness. View full abstract»

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  • Into the Unknown: What Big Science Can Teach Business About Collaboration, Complexity, and Innovation [Book Review]

    Page(s): 199 - 203
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  • Journal Subscription Information

    Page(s): 204
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  • Forthcoming engineering management related conferences

    Page(s): 205
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  • Papers to be Published in Future Issues of IEEE Transactions on Engineering Management

    Page(s): 206 - 207
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  • Open Access

    Page(s): 208
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  • February 2013 IEEE Transactions on Engineering Management - Readership survey

    Page(s): 209 - 210
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  • IEEE Xplore Digital Library

    Page(s): 211
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Aims & Scope

Management of technical functions such as research, development, and engineering in industry, government, university, and other settings. Emphasis is on studies carried on within an organization to help in decision making or policy formation for RD&E. 

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Meet Our Editors

Editor-in-Chief
Rajiv Sabherwal
Sam M. Walton College of Business, University of Arkansas