Business Operations Research Articles

Bankruptcy Analysis Using the Altman Z-Score Model (Study on Retail Companies Listed on the Indonesia Stock Exchange)

Bankruptcy is a legal or economic event that often results in the complete cessation of all business activities and operations. This bankruptcy usually starts with liquidity problems, but is closely linked to situations where a company's debt exceeds its total assets. The objective of this study is to evaluate the effectiveness of the Altman Z-score model as a tool to predict bankruptcy. The main focus of this study is retail companies listed on the Indonesia Stock Exchange in 2021-2023. 31 companies participated in the study, supported by 93 financial statements. The researchers used purposive sampling method for the sampling process. The study uses the modified Altman Z-score method (1995) to analyze the obtained data. The analysis revealed that 17 companies (54.8%) could be classified as healthy. 3 companies (9.7%) were classified as weak, and 11 companies (36.7%) were expected to go bankrupt. These results provide insight into the financial health of the retail companies surveyed and highlight the importance of using predictive models to determine bankruptcy risk.

Barriers and Enablers for Equitable Healthy Food Access in Baltimore Carryout Restaurants: A Qualitative Study in Healthy Food Priority Areas.

Black neighborhoods in the U.S., historically subjected to redlining, face inequitable access to resources necessary for health, including healthy food options. This study aims to identify the enablers and barriers to promoting equitable healthy food access in small, independently owned carryout restaurants in under-resourced neighborhoods to address health disparities. Thirteen in-depth interviews were conducted with restaurant owners in purposively sampled neighborhoods within Healthy Food Priority Areas (HFPAs) from March to August 2023. The qualitative data were analyzed using inductive coding and thematic analysis with Taguette software (Version 1.4.1). Four key thematic domains emerged: interpersonal, sociocultural, business, and policy drivers. Owners expressed mixed perspectives on customers' preferences for healthy food, with some perceiving a community desire for healthier options, while others did not. Owners' care for the community and their multicultural backgrounds were identified as potential enablers for tailoring culturally diverse menus to meet the dietary needs and preferences of their clientele. Conversely, profit motives and cost-related considerations were identified as barriers to purchasing and promoting healthy food. Additionally, owners voiced concerns about taxation, policy and regulation, information access challenges, and investment disparities affecting small business operations in HFPAs. Small restaurant businesses in under-resourced neighborhoods face both opportunities and challenges in enhancing community health and well-being. Interventions and policies should be culturally sensitive, provide funding, and offer clearer guidance to help these businesses overcome barriers and access resources needed for an equitable, healthy food environment.

Langkah Praktis Menuju Persaingan Bisnis yang Lebih Sehat Melalui Digitalisasi UMKM Kelurahan Benda, Kota Tangerang

The aim of implementing community service in Benda sub-district is to support business actors in promoting SME products in Benda sub-district, Tangerang-Banten City. This activity began with a preparation and field survey stage, which involved direct discussions with the village administrators and village officials of Benda Subdistrict to identify the needs, opportunities and challenges faced by SME business actors. Next, the service team carries out the socialization and training stage, which includes five important aspects: (1) how to create attractive products, (2) choosing a strategic location, (3) practice of creating easy promotional content on social media, (4) distribution strategy products to reach customers, and (5) online marketing. This activity aims to produce SMEs in Benda sub-district, especially home-based businesses, who have an entrepreneurial spirit so they are able to create good marketing strategies. This research aims to optimize the application of digitalization to MSMEs in Benda Subdistrict, Tangerang City, in order to strengthen their position in increasingly dynamic business competition. Through Community Service with seminars and workshops held to provide motivation and marketing strategies as well as introduce digital technology in MSME business operations. The results show a significant increase in MSMEs' abilities and understanding of marketing strategies and the use of digital technology to face healthy competition.

Research on the Application Maturity of Enterprises’ Artificial Intelligence Technology Based on the Fuzzy Evaluation Method and Analytic Network Process

The aim of this study was to study the impact of artificial intelligence (AI) on enterprises in terms of strategy, technology, business operations, and organizational management. This study used grounded theory analysis to identify the influencing factors of AI technology application maturity in Chinese enterprises. Taking Chinese film and television enterprises as an example, this study constructed an AI technology application maturity evaluation index system for enterprises based on the analytic network process (ANP) and evaluated the application maturity of AI technology in enterprises in terms of enterprise strategy, technology, business operations, and organizational management. To comprehensively evaluate and empirically analyze the application maturity of enterprise AI technology, this study calculated the index weight based on the ANP, and combined it with the fuzzy comprehensive evaluation method to construct a comprehensive evaluation model. The research results showed that intelligence strategy was the element that was believed to be most affected by the maturity of enterprise AI technology. For technology, intelligence technology and equipment were the elements that were believed to be affected the most. For business operations, smart shooting was the element that was believed to be affected the most. With respect to organizational management, corporate culture was the element that was believed to be most affected. The results showed that the proposed methods for evaluating the application maturity of enterprise AI technology are scientific and effective. The results of this study provide a reference for promoting the application of AI, implementing the intelligence transformation, and enhancing the core competitiveness of enterprises.

Strategic Lead Generation and Competitive Positioning for Bid Writing Consultancy Firms

Background The consultancy industry, valued at £18.6 billion, faces evolving challenges and opportunities in the post-COVID era. Consultancy and bid writing firms play a critical role in helping businesses secure contracts and funding, particularly through the preparation of Pre-Qualification Questionnaires (PQQs) and Invitations to Tender (ITTs). Despite the importance of bid writing, there is limited literature on how it can be leveraged for lead generation and business growth. Methods A mixed-methods approach was employed in this study, combining qualitative and quantitative research. Secondary research involved the review of existing literature and data from government databases, internal company records, and published reports. Primary research included surveys and semi-structured interviews with professionals from the Facilities Management and Logistics sectors. A case study of a UK-based bid-writing consultancy was also used to support the analysis. Results The findings highlighted significant knowledge gaps in bid writing among businesses, with only 12.5% of survey respondents expressing confidence in their bid-writing abilities. Despite this, 83.1% showed interest in receiving bid-writing training. The study also revealed that expertise, relationships, and past work are prioritized by businesses when selecting consultancy firms. Additionally, the integration of Artificial Intelligence (AI) in business operations was identified as a key factor for enhancing efficiency and maintaining competitiveness. Conclusions There is a clear opportunity for consultancy and bid-writing firms to address the knowledge gaps in bid writing by offering targeted training programs. Effective networking and a robust social media presence are essential for generating new business leads and maintaining client relationships. Furthermore, integrating AI technologies into business operations can provide consultancy firms with a competitive edge. This study provides actionable insights for consultancy and bid-writing firms to enhance their lead generation strategies and improve their market positioning.

Statistics Evolution and Revolution to Meet Data Science Challenges

AbstractThe advent of the Big Data era has necessitated a transformational shift in statistical research, responding to the novel demands of data science. Despite extensive discourse within statistical communities on confronting these emerging challenges, we offer our unique perspectives, underscoring the extended responsibilities of statisticians in pre-analysis and post-analysis tasks. Moreover, we propose a new definition and classification of Big Data based on data sources: Type I Big Data, which is the result of aggregating a large number of small datasets via data sharing and curation, and Type II Big Data, which is the Real-World Data (RWD) amassed from business operations and practices. Each category necessitates distinct data preprocessing and preparation (DPP) methods, and the objectives of analysis as well as the interpretation of results can significantly diverge between these two types of Big Data. We further suggest that the statistical communities should consider adopting and rapidly incorporating new paradigms and cultures by learning from other disciplines. Particularly, beyond Breiman’s (Stat Sci 16(3):199–231, 2021) two modeling cultures, statisticians may need to pay more attention to a newly emerging third culture: the integration of algorithmic modeling with multi-scale dynamic modeling based on fundamental physics laws or mechanisms that generate the data. We draw from our experience in numerous related research projects to elucidate these novel concepts and perspectives.

Strategi Bisnis Waterpark PTC Jayapura dalam Meningkatkan Keuntungan Usaha

Business strategy can be measured as good and bad using five business strategy indicators, namely marketing, operations, distribution, organization and strategies related to finance. Likewise with the Waterpark business strategy that is implemented to increase profits. The aim of this Scientific Work is to determine the PTC Jayapura Waterpark business strategy in increasing business profits. The research method used is descriptive qualitative. The research results obtained are that the PTC Jayapura Waterpark business strategy in increasing business profits has been implemented in accordance with five business strategy indicators, namely (1) marketing, (2) operations (3) distribution, (4) organization, and (5) related strategies with finances. The business strategy implemented can be said to be able to increase finances because the management has been carried out semi-professionally. This is stated because, even though the business being run is not yet in the form of a PT/CV, Waterpark PTC has carried out a business strategy in a precise and efficient manner, so as to increase profits from business activities

Prospects and challenges in establishing entrepreneurship in post COVID-19 language and culture-related tourist attractions

This study discusses prospects and challenges facing start-up entrepreneurs in language and culture-related tourist attractions in Lombok, Indonesia. Data were collected by observing the operations of tourism entrepreneurs and interviewing the owners, workers, clients, and authorities in the industry. The data were analyzed using a mixed method where tourism sales over one year of business experience were quantitatively analyzed and where prime causes leading to profits and losses were qualitatively explicated. The findings identify six prospective opportunities and five challenges in sustainably establishing language and culture-related tourist attractions as core entrepreneurial businesses. This study enriches our understanding of what micro and small entrepreneurs experience at the early stages of business start-ups and how they respond to uncertainties facing them. The study also provides readers with an understanding of the prospects and the challenges facing small tourist-related entrepreneurs in operations at early start-up stages and serves as a reminder to small businesses about the potential challenges in their business operations. The article also recommends viable management plans to refer to as contingency strategies for probable future challenges. Furthermore, this study attempts to fill a gap in the literature on start-up entrepreneurship in language and culture-related tourist attractions.

Breaking Barriers: Investigating Technology Adoption in Micro, Small, and Medium Enterprises (MSMEs) Among Low-Income Women Entrepreneurs in Malaysia

In Malaysia, the B40 segment, particularly low-income women entrepreneurs, faces distinct challenges in adopting technology within their businesses. This qualitative study explores the low uptake of technology adoption among these entrepreneurs to understand the underlying dynamics. By addressing the "what" and "why" of low technology adoption, the research aims to provide insights for fostering inclusivity and empowerment within Malaysia's entrepreneurial landscape. The study involved an in-depth focus group discussion with 25 women entrepreneurs from four states across Malaysia, utilizing thematic analysis with Atlas TI. Key findings reveal issues related to technology adoption based on TAM theory. The findings indicate that most entrepreneurs are integrating technology into their business operations, either through social media marketing, e-commerce platforms, cashless payment methods, online delivery services, and machines, regardless of whether they are located in rural or metropolitan areas. The majority of the respondent are utilizing technology through their social media marketing. These situations have arisen as a result of the impact of COVID-19, which has compelled all entrepreneurs to adopt technology, even at a minimal level. The majority use social media platforms like Facebook and WhatsApp for marketing and adopt online banking and cashless payment methods such as DuitNow QR Code, Touch 'n Go, Boost, Shopee Pay, and Sarawak Pay. Despite using online food delivery services like Food Panda and Grab Food, trust issues such as payment delays, non-payment by drivers, and high commission fees make these platforms less appealing. Additionally, entrepreneurs prefer traditional methods over machinery to maintain quality and struggle to meet e-commerce demand due to their small-scale production, limiting their ability to fully use technology for business growth and sustainability. The findings support the theoretical insights of the TAM model and suggest actionable strategies for fostering technology adoption and empowerment among low-income women entrepreneurs in Malaysia.

Utilization of Quality Organic Fertilizer at P4S Sari Sedana, Badung, Bali

This Community Partnership Program (CSP) conducted in Desa Selat, Kecamatan Abiansemal, Kabupaten Badung, has achieved significant advancements in organic agricultural development. The program focused on the implementation of both hard and soft technologies. Hard technologies included the development of high-quality organic fertilizers using local waste materials such as livestock manure, biochar, Trichoderma, NPK fertilizers, and dolomite, processed with simple equipment. These innovations addressed local waste management issues and enhanced agricultural productivity. Soft technologies involved comprehensive training on production management, business operations, and marketing strategies, which empowered the P4S Sari Sedana Group with essential skills for sustainable operation. The program demonstrated high relevance to local needs, effectively transforming waste into valuable resources and introducing environmentally friendly production methods. It also fostered active community participation and generated substantial environmental and economic benefits, including increased soil fertility and reduced reliance on chemical fertilizers. The project produced several key outputs: high-quality organic fertilizer, enhanced community skills, scientific publications, intellectual property registration, and online media coverage. Future sustainability will be supported through institutional capacity building, market expansion, product innovation, and ongoing monitoring and evaluation.

Intelligent hybrid deep learning models for enhanced shipboard solar irradiance prediction and charging station

Electrifying marine routes with solar energy significantly reduces ocean carbon emissions, playing a vital role in climate regulation. Solar irradiance forecasting ensures reliable power despite unpredictable sea weather, necessitating innovative model development. This research presents a forecasting model designed for the optimal placement of solar charging stations, providing hour-ahead solar irradiance predictions for onboard solar vessels. India (Jawaharlal Nehru Port Trust)– United States (Port of New York and New Jersey) sea route is selected to test our proposed forecasting model, as it aligns with busy shipping operations and long-distance trade requirements for electrification. Two distinct procedures by two case studies are used to select optimum data to predict the suitable locations for solar charging stations along the navigation route. In the first case study (Medium data analysis – MDA), the data are selected based on a statistical analysis of twenty years of hourly solar irradiance data from 201 locations. In the second case study (Large data analysis – LDA), two years of seasonal data from 201 locations are chosen and combined to form a large amount of hourly data. For both case studies, a hybrid solar irradiance forecasting model (ARIMA – Bi – LSTM) is developed by integrating the deep learning model with the time series model and fine-tuning them using optimization algorithms (PSO and GA). In MDA, the PSO optimization achieves mean absolute error (MAE) values of 0.32, 0.85, 1.83, 1.40, and 1.33 W/m2 for locations 1, 2, 3, 4, and 5, respectively, significantly outperforming the GA, which has MAE values of 1.36, 1.65, 3.25, 0.92, and 1.41 W/m2 for the same locations. In LDA, the PSO model achieves MAE values of 0.79, 0.91, 0.28, and 0.39 W/m2 for winter, rain, summer, and spring, respectively, also outperforming the GA, which has MAE values of 1.54, 2.17, 0.99, and 1.46 W/m2 for the same seasons. Comparatively, the LDA reinforces its best alignment to predict optimal charging station locations.

Dataset of an actual motor vehicle insurance portfolio

AbstractAdvanced analytics plays a vital role in enhancing various aspects of business operations within the insurance sector by providing valuable insights that drive informed decision-making, primarily through effective database utilization. However, open access databases in the insurance industry are exceedingly rare, as they are the basis of the business, encapsulating all the risk structure of the company. This makes it challenging for researchers and practitioners to access comprehensive insurance datasets for analysis and assessing new approaches. This paper introduces an extensive database specifically tailored for non-life motor insurance, containing 105,555 rows and encompassing a wide array of 30 variables. The dataset comprises important date-related information, such as effective date, date of birth of the insured, and renewal date, essential for policy management and risk assessment. Additionally, it includes relevant economic variables, such as premiums and claim costs, for assessments of products’ financial profitability. Moreover, the database features an array of risk-related variables, such as vehicle size, economic value, power, and weight, which significantly contribute to understanding risk dynamics. By leveraging the statistical analysis of this rich database, researchers could identify novel risk profiles, reveal variables that influence insured claims behaviour, and contribute to the advancement of educational and research initiatives in the dynamic fields of economics and actuarial sciences. The availability of this comprehensive database opens new opportunities for research and teaching and empowers insurance professionals to enhance their risk assessment and decision-making processes.

THE DIGITAL ENTERPRISE LANDSCAP: HOW DESI METRICS SHAPE ECONOMIC GROWTH IN THE EU

The European Union’s (EU) economic growth is increasingly driven by digitalization across all areas, including the digital transformation of businesses. This paper explores how the digital transformation of enterprises could influence economic growth in the EU by analyzing data from the Digital Economy and Society Index (DESI) and economic metrics from Eurostat for the post-pandemic period (2021-2022). This paper uses econometric techniques like Panel Corrected Standard Errors (PCSEs) and Robust Regression with Huber Iteration (RRHI) to investigate the cause-and-effect relationships between digitalization and economic factors such as GDP growth rate and real GDP per capita growth. The results show that different digital strategies have varying effects on economic performance. The paper also emphasizes the critical role of real labor productivity in connecting digital transformation with economic performance. The implications of this paper highlight the need for nuanced policy strategies that foster digital skills, improve technological infrastructure and support the Small and Medium Enterprises (SMEs) in their digitalization efforts in order to achieve the ambitious objectives of the EUs Digital Decade. The results also propose a strategic focus on specific technologies that offer immediate economic advantages and enable a stronger incorporation of digital progress across various business operations in the member states.

Overcoming Obstacles of Tesla: Strategies for Problem-Solving

This study aims to explore the key issues currently faced by Tesla Inc. and its potential solutions, further proposing recommendations that have significant impacts on business operations and sustainable development. As a leading electric vehicle and clean energy company, Tesla's innovative models and challenges reflect the major trends in today's automotive industry and new energy sector. It also plays a pivotal role in advancing electric vehicles and renewable energy solutions as the global demand for reducing carbon emissions and improving energy are continuously growing. However, the company faces a series of challenges in production process, market competition and the safety concerns. By thoroughly analyzing these problems and challenges this study aims to provide solutions to help it overcome existing obstacles. By using a comprehensive research methodology to examining Tesla's practices and challenges in various aspects, this paper could identify core issues and provide strategic recommendations to help it mitigate the problems.

A Literature Review of the Impact of Media Response on Business Operations

With the development of the network era, the impact of media attention on enterprises cannot be ignored. Media attention affects investor sentiment as well as a company's attention and resources. Media attention will made enterprises have to fulfill their social responsibilities and enhance their visibility and image. Stock yield is an important reflection of enterprise profitability, innovation and research is the main driving force on an enterprise development, and financing constraints have a direct impact on the financial decision-making and operational efficiency of enterprises. Based on this, this paper the positive and negative impacts of media attention on stock return, innovation and financing constraints, with a view to adding to the development of enterprises, suggesting that enterprises should not only make good use of media attention, plan strategies rationally and promote business growth, but also properly deal with possible negative impacts, avoid bad publicity to damage the development of enterprises.

A Framework of Employee Sustainability in the Current Business Environment

[1] The current business environment is getting more volatile, uncertain, complex and ambigious. Due to this, it has become difficult for organisations to retain their employees. However, there are some organisations that are able to sustain their employees despite all those challenges. Achieving employee sustainability indicates sustainability in the business operations. The key to creating a vibrant and sustainable organisation is to find ways to get all the employees—from the top executives to the assembly line workers—personally engaged in day-to-day corporate sustainability efforts. Employees sustainability could be influenced by their motivation to remain despite the harsh business environment. The business environment is not only harsh but its unpredictable, which affects the stability of the organization as a whole. Their level of motivation could be linked to the theory of needs which covers physiological needs, safety needs, love and belonging needs, self-esteem and self-actualization. The purpose of this study is to examine the variables that frameworks employee sustainability.

ESG Performance and its Impact of on Corporate Performance: Take China Everbright Bank as an Example

This paper has investigated China Everbright Bank (CEB)’s performance on ESG and analyzed the impact of ESG performance on CEB’s financial outcome. During the reported period, CEB has been performing well on ESG, especially on social perspective. From environmental perspective, CEB took proactive steps to mitigate its negative environmental impact. This included reducing emission by strictly conduct regulation within the company, assessing environmental risks associated with key industries and clients and setting rules on energy conservation. The bank also prioritized compliance with environmental standards, pollution control, and ecological protection in its credit approval processes. From social perspective, CEB has been actively promoting democracy and equality in employment by combating various discrimination, and continuously ensuring employee welfare besides wages, such as health care and skill training. Regarding governance, CEB has adopted strict supervision on its supply chain, strengthening the management of the procurement process by establishing an intelligent procurement platform. It has also emphasized supplier risk management. Considering the financial metrics of CEB in last years, the study suggests that the long-term profitability, operational capacity and growth potential of CEB have been positively affected, while the market value and the solvency are not. The paper concludes that ESG criteria can be considered as a reliable tool in business evaluation of potential and sustainability, therefore incorporated into business operation and investment.

Analysis of the Correlation Between Enterprise Digital Transformation and ESG Performance

This essay explores the intricate relationship between enterprise digital transformation and Environmental, Social, and Governance (ESG) integration within modern business strategy and operations. It addresses the dynamic and rapidly evolving nature of today’s business environment, emphasizing the necessity for companies to embed sustainability and digital transformation in their strategic decision-making processes. The essay examines how digital transformation, characterized by the adoption of technologies like artificial intelligence, big data analytics, and cloud computing, fundamentally alters business processes, organizational structures, and corporate culture, leading to enhanced operational efficiency, innovative business models, and improved stakeholder engagement. It also delves into how integrating ESG principles with digital strategies enables companies to address environmental challenges, such as pollution reduction and resource management, as well as social and governance issues, fostering transparency, accountability, and sustainable growth. However, the essay acknowledges the complexities and challenges in merging digital and ESG strategies, including technological integration, data management, and the necessity for cultural change within organizations. Overall, it posits that the successful integration of digital transformation and ESG principles can significantly enhance a company’s competitive advantage while contributing to sustainable development and ethical business practices.

Exploring the Impact of Private Equity Investment on Corporate Performance: A Case Study Pharmablock

Reasonable use of private equity investment not only effectively solves the problem of corporate funds, but also rapidly enhances the expansion of enterprises; Equity participation in enterprise management and decision-making can also make the development of enterprises more scientific and efficient. However, private equity investment also has the attribute of a "double-edged sword", such as excessive participation in internal business operations and the timing of exiting equity, which greatly affect the decision-making direction and debt stability of enterprises. This article takes Nanjing Pharmablock Co., Ltd., hereinafter referred to as "Pharmablock", as an example. By interpreting the process of private equity investment and investment, it studies the changes in the company's financial indicators such as profitability, debt repayment ability, and development ability, interprets the impact of private equity investment on enterprises, and ultimately identifies relevant issues and proposes corresponding suggestions.

“Oh Grandmother, what big teeth you have!” Incentives to spur scientific research at business schools have been treacherous

Scientific research was introduced in business schools in the mid-1950s to raise the quality of business education as well as to improve actual business practices. Schools expected scientific research to provide a benign and respected path toward improvements, and government support for research and students’ strong interest in studying business brought financial resources and hiring opportunities that made large changes possible. Consequently, hundreds of business schools began urging professors to publish scientific research. Sixty years later, plentiful evidence is showing that scientific research has not brought expected benefits for business operations; on the contrary, business-school research has generated a high percentage of untrustworthy “findings”. This disappointing outcome has six interacting causes: (1) Business schools have expanded by hiring professors who study fundamental topics of economics, psychology, and sociology rather than topics relevant for business practices, so few research findings have been adopted and tested by firms. (2) Instead of evaluating the quality or consequences of research, schools have relied on evaluations by journal editors and reviewers, whose overriding criteria emphasize theory at the expense of practical implications. (3) Editorial evaluations have high error rates because editors and reviewers only know what researchers choose to tell them, and because the complexity of manuscripts causes editors and reviewers to disagree frequently. (4) Schools have incentivized professors by making promotions and job security depend on publishing numerous papers in “prestigious” journals. (5) Many professors have responded to these incentives by engaging in covert practices that make studies unlikely to be supported in replications, and some professors have gone so far as to manufacture fake data. (6) Researchers, editors, and reviewers have largely relied on null-hypothesis statistical significance tests, which are prone to interpret small variations or random errors in data as “significant” findings. Although there are fresh efforts to make research findings more reliable and impactful, the need for further interventions to reform the present knowledge-production system is all too apparent.