Business Operations Management Research Articles

Exploring Digital Strategy as a Business Management and Transformation Tool in Developing Countries: The Nigerian Experience

Despite valuable business opportunities and solutions that digital technologies offer, studies show that many business leaders have yet to explore the potential of digital solutions to manage and transform their businesses to capture more value. Through a semi-structured interview with business leaders and managers in Lagos, Nigeria, and content analysis, this paper explored how business leaders may leverage the potency of digital strategies to manage and transform business operations in developing nations like Nigeria to obtain more value. The result provided a distinctive insight into the dynamics around digital strategy adoption in business and the inclusive effects, evidencing that managing and transforming business operations in developing nations is achievable by adopting soft and hardware digital solutions at all levels of the business process. This paper advances the discussion on digital strategy adoption in business and recommends a paradigm shift of businesses in developing countries to a digitally evolved business construct to streamline processes, unlock new opportunities, and benefit from the potency of digital solutions. The paper underscores the government and other stakeholders' roles in driving digital strategy adoption in developing nations' businesses. The recommendation in this paper could be rewarding to influencing change in the process and management of business operations in developing nations, creating an opportunity for theoretical expansion and implementation of digital strategies for business management and transformation to achieve operational efficiency and sustainability objectives.

Feasibility and sustainable development of the medicinal plant sector in the Republic of Moldova

The medicinal plants sector is one of perspective in the Republic of Moldova, which in the past had a good development (1980-1995) and which is currently in a recovery phase with increased interest from agricultural producers and regional markets. The article provides a comprehensive analysis of the international trade in medicinal plants, budgeting of income and expenses for their cultivation, which allows understanding the main players in the target markets and being able to integrate domestic products emerging from international trends. Based on the research and analyses conducted, prominent deficiencies have been identified that extend to the modernization of production and processing technologies of raw materials, marketing strategies for products derived from medicinal plants, the creation of added value, the implementation of ecological systems for production and processing, as well as the practical management of business operations. These are essential for the development of an efficient operational management system, the increased competitiveness of products and enterprises to ensure access to markets. Additionally, strategic conclusions have been formulated for the sustainable development of the medicinal plant sector, necessary for implementation by value chain actors in the industry.

The Past, Present and Future of Enterprise Resource Planning

Enterprise Resource Planning (ERP) is a software system designed to facilitate the automation and management of essential business operations inside businesses, with the aim of achieving optimum performance. ERP software facilitates the integration and synchronization of data across various business processes inside an organization. This results in the establishment of a unified and reliable source of information, which in turn optimizes the efficiency and effectiveness of operations throughout the whole firm. The platform has the capability to integrate a company's human resource functions, financials, manufacturing, supply chain, operations, reporting and commerce into a unified system. The objective of this article is to provide a comprehensive examination of the historical progression and evolution of ERP systems, while also highlighting contemporary advancements facilitated by digital breakthroughs such as cloud computing. The research methodology used in this work included doing a comprehensive evaluation of scholarly literature sourced from academic publications as well as industry sources. The study revealed that ERP systems have undergone significant transformations compared to their predecessors, like MRP (material resource mapping) systems and IC (integrated control) packages. The ongoing transformations are seen in conjunction with the emergence of cloud computing and advancements in modern technologies such as artificial intelligence. Numerous scholarly publications have already examined the progression of Enterprise Resource Planning (ERPs). However, the distinctive value of this particular article lies in its comprehensive coverage of the latest advancements in the field, including debates on cloud-based ERPs and postmodern ERPs.

Applications of Industry 4.0 for Pandemic Responses and Business Continuity: A TOE-DCV Integrated Approach

The fourth industrial revolution, also known as Industry 4.0, covers a broad range of technologies. The applications of Industry 4.0 help in interconnectivity as well as automation process and support seamless operations. Not many studies have taken place to examine how different applications of Industry 4.0 could help in turbulent situations or in crises like COVID-19 pandemic. Thus, there is a research gap. In such background, the aim of this study is to investigate how different applications of Industry 4.0 could help to respond to such turbulent situation and help in business continuity and sustainability of operations. The present study develops a theoretical model combining technology–organization–environment framework and dynamic capability view to examine the role of Industry 4.0 applications for business continuity and sustainability of business operations especially for managing any turbulent situation like COVID-19 pandemic. The theoretical model was validated using partial least square structural equation modeling technique considering 338 respondents from different industries. The study found that there is a greater need to adopt Industry 4.0 applications for managing business operations during any turbulent situation. The study also found that there is a significant moderating impact of corporate governance in adopting Industry 4.0 applications to manage business operations especially during crisis.

Crowdlending Behaviors in the Aftermath of a Crisis: Evidence From a Natural Experiment

Natural disasters and disease outbreaks cause substantial social turbulence and economic damage. The survival and continued operation of local small businesses and entrepreneurs are critical to the development activities in post-disaster recovery. However, these small businesses and entrepreneurs face greater challenges in accessing funding through traditional channels during a crisis. Crowdlending, also known as peer-to-peer microfinancing, has been successfully used to bypass traditional channels and raise funds directly from crowd lenders. However, it is unclear if such platforms can also be effectively used in the aftermath of crises, given that disasters induce both prosocial motivations and risk considerations in lender responses. To understand the operational implications of crowdlending for small businesses, we examine how crowdlenders respond to loan requests during a crisis and what factors moderate their responses. Drawing on the literature on disaster management and crowdlending, we hypothesize that lenders respond positively to loan requests from crisis-affected areas, and such responses are moderated by fundraising objectives and the lender's national culture. With observational data from an influential crowdlending platform and the 2014 Ebola outbreak as the treatment in a natural experiment design, we find that, on average, lenders respond positively to loan requests from crisis-affected areas, and they tend to favor loan requests emphasizing economic rather than social objectives. Furthermore, lenders from collectivistic cultures are more likely to respond positively during a crisis than lenders from individualistic ones. Our study contributes to research and practice in disaster management, particularly small business operations management during crises, by showing that crowdlending can be a useful fundraising channel for small businesses, which is meaningful for post-disaster economic development and recovery. We also offer implications for the recent conversation on the coronavirus disease 2019 (COVID-19) pandemic by analyzing and discussing the similarities and differences between the Ebola outbreak and the COVID-19 pandemic.

Dampak Oligopoli Dan Industri Modern Terhadap Masyarakat

Oligopoly is a form of imperfect market competition where the supply of a product is controlled by a number of companies. In general the number of companies is more than two but less than ten. Each company decides its own policy and all company actions as price changes will be taken into account by other companies, because every company in the market believes in the policy of a company. This business will affect the income and profits of other businesses. In an oligopoly market, each company positions itself as part of a market game so that its profit base is based on the behavior of its competitors. So all promotional efforts, advertising, new product introductions, price changes, etc. This is done with the aim of luring consumers away from competitors. The main cause of this oligopoly is the successful management of business operations to achieve economies of scale which leads to the effectiveness and success of sales promotions in the long term, because it will increase market share. Oligopoly activities are often with the aim of inhibiting potential business participation in the market. More than that, it also aims to enjoy normal profits below the maximum by setting a limited selling price so that price competition between business actors who carry out an oligopoly does not exist.

The Role Of Innovation In Mediating The Influence Of Entrepreneurial Characteristics And Orientation On Performance

Micro, Small and Medium Enterprises (MSMEs) are strategically important in the Indonesian economic system. Entrepreneurs play an important role in managing business operations to achieve high performance. Performance is influenced by entrepreneurial characteristics and orientation mediated by innovation to achieve business success. This study aims to provide empirical evidence on the influence of entrepreneurial characteristics and orientation towards performance mediated by innovation at coffee shops in Malang City. This research is quantitative research using a questionnaire instrument conducted on a research sample of 145 members of the Malang Coffee Lovers Community. Data analysis was performed using PLS-SEM SmartPLS 3.2.9. The results showed that characteristics and entrepreneurial orientation have a significant positive effect on performance, and the innovation plays a role as mediator between characteristics and entrepreneurial orientation towards performance. The high performance in the coffee field could be achieved if MSME actors as entrepreneurs pay attention to their daily attitude characteristics, especially in terms of experience in quality coffee business management and its production, and also have an entrepreneurial orientation, especially by paying attention to the commitment to innovate so that they can produce coffee product innovations which then also have an impact on improving performance in the form of increasing optimal operating profits

Deep Learning and Statistical Models for Forecasting Transportation Demand: A Case Study of Multiple Distribution Centers

Background: Transportation demand forecasting is an essential activity for logistics operators and carriers. It leverages business operation decisions, infrastructure, management, and resource planning activities. Since 2015, there has been an increase in the use of deep learning models in this domain. However, there is a gap in works comparing traditional statistics and deep learning models for transportation demand forecasts. This work aimed to perform a case study of aggregated transportation demand forecasts in 54 distribution centers of a Brazilian carrier. Methods: A computational simulation and case study methods were applied, exploring the characteristics of the datasets through autoregressive integrated moving average (ARIMA) and its variations, in addition to a deep neural network, long short-term memory, known as LSTM. Eight scenarios were explored while considering different data preprocessing methods and evaluating how outliers, training and testing dataset splits during cross-validation, and the relevant hyperparameters of each model can affect the demand forecast. Results: The long short-term memory networks were observed to outperform the statistical methods in ninety-four percent of the dispatching units over the evaluated scenarios, while the autoregressive integrated moving average modeled the remaining five percent. Conclusions: This work found that forecasting transportation demands can address practical issues in supply chains, specially resource planning management.

STREAMLINING ORGANIZATIONAL MANAGEABILITY THROUGH SCALABLE DECISION MAKING

In modern organizations, decision-making processes are critical to effectively managing business operations. However, as organizations grow more complex, decision-making becomes more challenging and time-consuming, leading to a lack of agility, bottlenecks and decreased productivity. One of the assumptions in the article is that excessive complexity and uncontrolled secrecy in organizations lead to lack of understanding of how they work. This can be detrimental to decision-making processes, resulting in misinterpretations of data, misunderstandings of organizational objectives and ultimately, poor decision-making and results. These factors can create a wall of ignorance and irresponsibility within organizations. To address this issue, we propose the hypothesis that simplifying decision-making processes and making them more scalable and this will increase employee involvement and trust in the organization. Implementing scalable decision-making processes can create a framework for making consistent decisions across teams and departments, streamline the decision-making process, encourage critical thinking and enable the organization to respond more quickly and rationally to changing market conditions. The conclusion of the article is that applying scalable decision-making in organization can unlock new levels of manageability, improving the ability to make complex decisions and navigate dynamic situations. This model may be applicable to transportation and logistics companies, production units and plants and construction and manufacturing industries seeking to improve their performance and competitiveness in today's fast-paced business environment.

Digital Maturity of Forecasting and its Impact in Times of Crisis

AbstractEspecially in times of crisis, reliable predictions about probable future developments are difficult, but critical for successfully managing business operations. At the same time, it remains unclear what constitutes a good forecasting process during crises. The aim of this study is to analyze whether and how digital transformation can enhance forecasting processes and enable firms to better deal with crises. To do so, we refer to the concept of digital maturity, i.e., the extent to which digital transformation is adopted in internal processes, studied at the practice of forecasting. Specifically, we analyze whether digitally more mature forecasting processes positively influence (1) satisfaction with forecasting during crises, (2) the effectiveness of countermeasures, and (3) the economic situation during crises. We conduct a cross-sectional survey among 195 medium-sized and large companies in Germany to shed light on the forecasting process and its digital maturity as well as on the impact of the COVID-19 economic crisis on companies. Based on ordinary least squares (OLS) regression, we find that digitally more mature forecasts increase satisfaction with forecasting and the effectiveness of countermeasures. Overall, this study provides new insights into relevant aspects of forecasting to support successful crisis management, and it highlights the importance of advancing digital transformation in forecasting, especially to successfully deal with crises.

Farmers' markets or the supermarket? Channel selection in small farming businesses

PurposeDespite the abundance of small-scale farms in the USA and their importance for both rural economic development and food availability, the extensive research on small business management and entrepreneurship has mostly neglected the agricultural context, leaving many of these farms' business challenges unexplored. The authors focus on informing a specific decision faced by small farm managers: selling directly to consumers (i.e. farmer's markets) versus selling through aggregators. By collecting historical data and a series of interviews with industry experts, the authors employ simulation methodology to offer a framework that advises how small-scale farmers can allocate their product across these two channels to increase revenue in a given season. The results, which are relevant for operations management, small business management and entrepreneurship literature, can help small-scale farmers improve their performance and compete against their larger counterparts.Design/methodology/approachThe authors rely on historical and interview data from key industry players (an aggregator and a small farm manager) to design a simulation analysis that determines which factors influence season-long farm revenue performance under varying strategies of channel allocation and commodity production.FindingsThe model suggests that farm managers should plan to evenly split their production between the two distribution channels, but if an even split is not possible, they should plan to keep a larger percentage in the nonaggregator (farmers' market/direct) channel. Further, the authors find that farmers can benefit significantly from a strong aggregator channel customer base, which suggests that farmers should promote and advertise the aggregator channel even if they only use it for a limited amount of their product.Originality/valueThe authors integrate small business management and operations management literature to study a widely understudied context and present practical implications for the performance of small-scale farms.

Is the profitability of Islamic and conventional banks driven by the same factors?-A study of banking in the Middle East.

The purpose of this paper is to contribute to the existing literature by investigating the determinants of the profitability of Islamic and conventional banks in the Middle East region and revealing the most important factors for these two types of banks. Few papers have studied the performance of Islamic banks and compared their performance with conventional banks. The results from these limited research papers are also various, mainly because the sample sizes are small, or they have analysed data only from one country. Our research used a fixed effect panel data analysis on a sample of 270 banks (111 Islamic and 159 conventional banks) from 12 Middle East countries. We used an unbalanced annual panel of data covering the period 2012-2020. The results show that bank size, equity to assets, annual GDP growth, and annual average oil price have a significant positive effect on Islamic banks' profitability, while non-performing loans to total gross loans and cost of running operations to operating income have a significant negative effect on both bank types. The results also show that non-performing loans to total gross loans and annual GDP growth contribute more to conventional banks profitability, while oil price contributes only to Islamic banks performance. Inflation and net loans to total assets have no effect on bank profitability for either Islamic or conventional banks. Furthermore, we also found that the Islamic banking industry had a more competitive structure. Our findings have important implications for managers, policy makers, investors and other stakeholders. They can help them to make decisions regarding investments, plans, budgeting, evaluation and the management of business operations.

INTERNATIONAL OPERATIONS MANAGEMENT IN INDIA

International Operations Management in India is becoming an increasingly important aspect in today's global business era. India, as one of the largest economies in the world, offers significant business opportunities for international companies. However, managing business operations in India also presents various challenges that need to be overcome. In facing this challenge, companies must adopt an effective strategy. The strategy includes local customization, deep understanding of the Indian market, development of local partnerships and the use of advanced information technology. In addition, it is also important to build good relations with the government, business partners and the local community. Through implementing the right strategy, companies can optimize their business operations in India. This includes efficiency in the supply chain, product and service quality improvement, product innovation relevant to the Indian market, and adaptation to consumer needs and local preferences. Management of international operations in India is a complex challenge but also offers great opportunities for companies. In dealing with these problems and optimizing the potential of the Indian market, companies need to adopt strategies that are adaptive, innovative and sustainable. Thus, companies can successfully manage their international business operations in India and gain a competitive advantage in this dynamic market. Management of international operations in India is a complex challenge but also offers great opportunities for companies. In dealing with these problems and optimizing the potential of the Indian market, companies need to adopt strategies that are adaptive, innovative and sustainable. Thus, companies can successfully manage their international business operations in India and gain a competitive advantage in this dynamic market. Management of international operations in India is a complex challenge but also offers great opportunities for companies. In dealing with these problems and optimizing the potential of the Indian market, companies need to adopt strategies that are adaptive, innovative and sustainable. Thus, companies can successfully manage their international business operations in India and gain a competitive advantage in this dynamic market.

A Study on the Impact of Big Data Management on Business Agility—The Moderating Role of Corporate Strategy and Environmental Uncertainty

With the increasing uncertainty in the market environment and the integration of new IT technologies in business operations management, the use of big data management practices to increase operational agility has become a major concern for enterprises. Based on theories of dynamic capabilities and resource base, this paper analyses how big data management can contribute to the growth of enterprise agility and value, while incorporating the impact of environmental uncertainty and corporate strategy. The study found that:1.Big data infrastructure development, application management and human resource development better characterize enterprise big data management practices and effectively contribute to enterprise agility;2.Corporate strategy significantly moderates the relationship between big data management and agility, with big data application management and human resource development having a greater impact on the agility of forward-looking companies than defender strategies;3.External environmental uncertainty can effectively moderate the relationship between Big Data management and enterprise agility, as the environment becomes more dynamic, Big Data management can enhance enterprise agility, while the increase of environmental hostility will lead to Big Data management reducing enterprise agility. From the three aspects of big data infrastructure construction, big data application management and big data human resources training, it explores the impact of enterprise big data management on enterprise agility, but does not conduct an in-depth analysis of the interaction between the above three aspects; Although the sample size of this study meets the requirements of the structural equation model test, the sample size of the analytical strategy type of enterprises is relatively small, so the analytical strategy is not included in the moderating effect test. Further research can be carried out in depth from the above two aspects.

Impact of digital innovations to manage the challenges of COVID-19 lockdown: A study based on the lessons from Indian organizations

The purpose of this study is to identify and analyse the impact of digital innovations to manage business operations during COVID-19 lockdown. Due to COVID-19, a nation-wide lockdown affected the Indian economy severely as both service and manufacturing organizations were closed for a long duration. Thus, to manage with these challenges and address the expectations of their employees, organizations identified various artificial intelligence (AI) and cloud-based digital innovations to continue their business operations during lockdown. The study used a systematic review of literature and document analysis to unravel such innovations that have been initiated and implemented in Indian organizations during COVID-19 lockdown. The study finds that digital innovations and strategies are useful for coping with unseen challenges and also can transform the organizations into smarter ones. The study proposes a conceptual framework on the basis of findings, which will be used for futuristic studies.

Research and Application of Governance System Development of Digital Government

Digital government is an important content and task of national governance modernization. Nevertheless, the existing research lacks the systematic consideration regarding digital government governance system, which is the key to the development of digital government. Thus, this paper adopts the analysis method of holistic governance, focuses on the technology governance system, business governance system and operation management system of digital government. Moreover, this paper puts forward the trinity of governance system practices, that is, intensive sharing technology governance framework, open and integrated business governance structure, and operation management system of collaborative development. On this basis, this paper further summarizes the specific suggestions to promote the coordinated development of digital government.

The Past, Present, and Future of Enterprise Resource Planning

Enterprise Resource Planning (ERP) is a software system designed to facilitate the automation and management of essential business operations inside businesses, with the aim of achieving optimum performance. ERP software facilitates the integration and synchronization of data across various business processes inside an organization. This results in the establishment of a unified and reliable source of information, which in turn optimizes the efficiency and effectiveness of operations throughout the whole firm. The platform has the capability to integrate a company's human resource functions, financials, manufacturing, supply chain, operations, reporting and commerce into a unified system. The objective of this article is to provide a comprehensive examination of the historical progression and evolution of ERP systems, while also highlighting contemporary advancements facilitated by digital breakthroughs such as cloud computing. The research methodology used in this work included doing a comprehensive evaluation of scholarly literature sourced from academic publications as well as industry sources. The study revealed that ERP systems have undergone significant transformations compared to their predecessors, like MRP (material resource mapping) systems and IC (integrated control) packages. The ongoing transformations are seen in conjunction with the emergence of cloud computing and advancements in modern technologies such as artificial intelligence. Numerous scholarly publications have already examined the progression of Enterprise Resource Planning (ERPs). However, the distinctive value of this particular article lies in its comprehensive coverage of the latest advancements in the field, including debates on cloud-based ERPs and postmodern ERPs.

Identification of Core Competencies for Managing Farmer Producer Organizations Using Factor Analysis

The study was conducted to identify core competencies essential for efficient management of Farmer Producer Organizations (FPOs) and their contribution to performance of FPOs in the national capital region of Delhi during 2021. Using random sampling procedure, data were collected from 80 farmer-directors from twelve FPOs in six districts of Delhi, Haryana and Uttar Pradesh in NCR of Delhi. Since directors of FPOs were found to lack managerial capabilities, they were exposed to several training programmes on how to manage their FPOs efficiently. But gaining knowledge and skills may not reflect in the competencies of trained farmers. Competency being the ability to apply knowledge and skill in accomplishing a task successfully, to measure the degree of competency possessed by directors of FPOs, a competency inventory was developed. The data were subjected to factor analysis to arrive at significant core competencies vital for success of FPOs. The factor analysis could confirm that six core competencies as indispensable for managing producer companies were; competencies for planning and business development, marketing management, controlling operations, financial management, democratic leadership, and managing business operations. Out of these, four competencies were found to significantly contribute to the performance of FPOs.

공유경제에 관한 고찰 및 새로운 연구 방향

In the past decade, the emergence of two new sharing business models, C2C sharing represented by Airbnb, Uber, Lyft and TaskRabbit and B2C sharing represented by Mobike, ofo and Spinlister, has led to the rise of various studies on this topic in the marketing discipline. However, the impact of the sharing economy on marketing thought and practice is still unclear. Based on scientific quantitative research and literature analysis, this paper firstly grasps the connotation of sharing economy from the definition, essence and characteristics. Secondly, the article also studies the impact of the traditional beliefs and practice of the sharing economy on marketing. According to the Theory of Collaborative Consumption, Theory of Two-sided market and Theory of Firms Operations analytical framework, From consumers (Engagement Motivation, Satisfaction and Purchase Intent), Sharing Platforms (Dynamic Pricing, Reputation Mechanism, Search Mechanism and Matching Mechanism) and Enterprises (Operations: Supply Chain/Channel, Management: Enterprise Pricing/Product Strategy) three major perspectives, sort out the progress of the sharing economy, emphasize the current problems of participating entities of the sharing economy, and provide the future research direction to promote sharing economic marketing. Finally, a set of forward-looking guiding principles is proposed for the sharing economy market participants-consumers, sharing platforms, and business operations management. In summary, this paper aims to help guide management and governance insights into the scientific practice of the sharing economy and help marketing scholars not only keep pace with the sharing economy, but also shape its future direction.

How to Improve Shareholder Value Creation: With special reference to Listed Food Manufacturing Companies in Vietnam

This article studies the impact of factors on shareholder value creation in a developing economy. We carried out an investigation into 40 listed food processing companies in Vietnam from 2015 to 2019. In this study, the regression analytical technique is used to study more deeply the effects of variables on shareholder value creation of food processing companies. The research helps us to have some conclusions. First, the financial performance of listed food-producing companies in Vietnam significantly impacts their shareholder value creation. Second, our research suggests that changes in the leverage, asset management, and flexibility of business operations could modify the firm financial performance, leading to the influence on shareholder value creation of Vietnam listed companies manufacturing food products. Despite extensive prior research on the subject, none of them delves deeper into how to improve shareholder value creation in Vietnam's listed food-producing companies. Instead of determining measures that can directly enhance shareholder value creation, our research suggests that this goal could be achieved through making decisions to change the internal factors of a company. Although the aim of "maximizing shareholder wealth" is achieved by solutions built based on the bridging effects of internal factors, they are more detailed and easier to implement.