Operations Management Research Research Articles

How performance measurement systems enable or hinder organizational ambidexterity

PurposeThis study aims to examine how different uses of performance measurement systems (PMS) enable or hinder organizational ambidexterity (OA), intended as the simultaneous pursuit of exploitation and exploration.Design/methodology/approachFollowing a qualitative research design, we gathered data through semi-structured interviews, observations and reviews of documents at four departments of an automotive firm.FindingsWe contribute to operations management research and practice by demonstrating how PMS, which are typically associated with exploitation, can also foster exploration and enable organizations to become ambidextrous. Specifically, we show how PMS can be structured and used in more agile ways and, in relation to innovation, we identify which PM practices should be introduced and with what effects and those that should be avoided. We also contribute to organization theory by highlighting how a single management tool can promote the achievement of both exploration and exploitation.Practical implicationsIn investigating PMS uses and their effects, we identify several positive practices. For example, we show how managers can use PMS more effectively and how targets could be deployed to stimulate creativity and innovation. We also emphasize the need for managers to opt more often for team incentives rather than individual ones to encourage the collaboration needed for OA.Originality/valueWe provide in-depth insight into how PM tools affect an organization’s ability to pursue exploitation and exploration, thus contributing to research in operations, innovation and organization theory.

MSD: Continuous Pharmaceutical Manufacturing Data for the 2024 MSOM Data-Driven Research Challenge

To support the 2024 MSOM Data-Driven Research Challenge, Merck & Co., Inc., Rahway, New Jersey (hereafter “MSD”), provides pharmaceutical manufacturing data from a continuous tablet production setting. The data set contains approximately 300 million data points related to around 75 process parameters monitored over 120 hours. In this paper, we present the data set and share our vision to inspire and facilitate new applications of operations management (OM) methodologies in pharmaceutical manufacturing. We begin with an introduction to pharmaceutical manufacturing for OM researchers and then elaborate on emerging technologies, common industry challenges, and research opportunities. We explain the data set and propose a roadmap for future research directions. Researchers are welcome to examine the proposed research questions or analyze other research questions using the data set. History: This paper has been accepted as part of the 2024 MSOM Data-Driven Research Challenge. Funding: This work was supported by The Dutch Research Council - NWO VIDI Grant. Supplemental Material: The online appendix is available at https://doi.org/10.1287/msom.2024.0860

EXPRESS: Can Digital Skills Empower Disadvantaged Castes and Women? Evidence from India

How do digital skills influence individuals’ wages in contexts where caste-based and gender-based social stratification play an important role? We draw on sociology and economics literature to argue that the returns to digital skills in such contexts are shaped by caste and gender, and that digital skills empower disadvantaged individuals to increase their wages. Our empirical analysis of a rich micro-dataset on more than 20,000 individuals over two years of observations in India yields two key findings. First, we find that the positive returns to digital skills are greater for individuals from the Scheduled Castes and Scheduled Tribes in India than for individuals from other castes. Second, we find that the returns to digital skills are greater for women than for men. We also find that movement up the skilled occupation ladder is a mechanism that mediates the relationship between digital skills and wages. Our post hoc exploratory analyses suggest that among individuals from the lowest castes, the returns to digital skills are greater for women than for men, and that returns to digital skills are lower in regions with less developed infrastructure and lower literacy rates than in other regions. We discuss the implications of our findings for diversity, equity, and inclusion research in operations management.

Reflecting on how action research enables theorising in operations management: a provocation to interiority

This reflection on action research in operations management explores some undeveloped themes: the place of meaning in the social science of OM and how quality may be assessed, how knowledge/theory is developed and how action research in OM creates impact. The case is made that action researchers’ interiority as attentiveness to data of consciousness and to data of sense as they enact the cycles of action and reflection through the meta learning cycle is undeveloped in OM research and is central to cogenerating practical knowledge and grounding the impact of their work.

Carbon neutrality: Operations management research opportunities

AbstractClimate change, primarily driven by greenhouse gas emissions (GHGs), is a pressing environmental and societal concern. Carbon neutrality, or net zero, involves reducing carbon dioxide emissions, the most common GHG, and then balancing residual emissions through removing or offsetting. Particularly difficult challenges have emerged for firms seeking to reduce emissions from Scope 1 (internal operations) and Scope 3 (supply chain). Incremental changes are very unlikely to meet the objective of carbon neutrality. Synthesizing a framework that draws together both the means of achieving carbon neutrality and the scope of change helps to clarify opportunities for research by operations management scholars. Companies must assess and apply promising technologies, form new strategic relationships, and adopt novel practices while taking into account costs, risks, implications for stakeholders, and, most importantly, business sustainability. Research on carbon neutrality is encouraged to move beyond isolated discussions focused on specific tactics and embrace a more, though not fully, holistic examination. Research opportunities abound in both theoretical and empirical domains, such as exploring tradeoffs between different tactics, balancing portfolios, and investigating the strategic deployment of initiatives over time. As a research community, we are critically positioned to develop integrative insights at multiple levels, from individual processes to horizontal and vertical partnerships and ultimately to large‐scale systemic realignment and change.

Integrating advanced digital technologies in existing lean-based production systems: analysis of paradoxes, imbalances and management strategies

PurposeThe purpose of this paper is to advance the understanding of paradoxes, underlying tensions and potential management strategies when integrating digital technologies into existing lean-based production systems (LPSs), with the aim of achieving synergies and fostering the development of production systems.Design/methodology/approachThis study adopts a collaborative management research (CMR) approach to identify patterns of organisational tensions and paradoxes and explore management strategies to overcome them. The data were collected through interviews and focus group interviews with experts on lean and/or digital technologies from the companies, from documents and from workshops with the in-case researchers.FindingsThe findings of this paper provide insights into the salient organisational paradoxes embraced in the integration of digital technologies in LPS by identifying different aspects of the performing, organising, learning and belonging paradoxes. Furthermore, the findings demonstrate the intricacies and relatedness between different paradoxes and their resolutions, and more specifically, how a resolution strategy adopted to manage one paradox might unintentionally generate new tensions. This, in turn, calls for either re-contextualising actions to counteract the drift or the adoption of new resolution strategies.Originality/valueThis paper adds perspective to operations management (OM) research through the use of paradox theory, and we (1) provide a fine-grained perspective on why integration sometimes “fails” and label the forces of internal drift as mechanisms of imbalances and (2) provide detailed insights into how different management and resolution strategies are adopted, especially by identifying re-contextualising actions as a key to rebalancing organisational paradoxes in favour of the integration of digital technologies in LPSs.

Research in Diversity: Lessons for Operations Management From the Women's Studies Field

We postulate that the study of diversity, equity, and inclusion can deepen and add relevance to research in operations management (OM). Specifically, the role of gender is little studied in the existing OM literature—to the detriment of the field. This article considers OM issues by employing the theories, data, and topics from the field of Women's Studies. Our findings indicate that incorporating viewpoints from Women's Studies can change what is considered research, improve the accuracy of OM research, extend existing studies in the field through new parameters, and open new areas of inquiry.

Data Science Supporting Lean Production: Evidence from Manufacturing Companies

Research in lean production has recently focused on linking lean production to Industry 4.0 by discussing the positive relationship between them. In the context of Industry 4.0, data science plays a fundamental role, and operations management research is dedicating particular attention to this field. However, the literature on the empirical implementation of data science to lean production is still under-investigated and details are lacking in most of the reported contributions. In this study, multiple case studies were conducted involving the Italian manufacturing sector to collect evidence of the application of data science to support lean production and to understand it. The results provide empirical proof of the link and examples of a variety of data science techniques and tools that can be combined to support lean production practices. The findings offer insights into the applications of the traditional lean plan–do–check–act cycle, supporting feedback on performance metrics, total productive maintenance, total quality management, statistical process control, root cause analysis for problem-solving, visual management, and Kaizen.

Seeking and Exploiting Synergies Among the UN Sustainability Development Goals: Research Opportunities for Operations Management

In 2015, the United Nations (UN) countries signed up to achieve 17 sustainable development goals (SDGs) for people, planet, prosperity, peace, and partnership by 2030. However, the trend of progress toward achieving these goals indicates that none of the 17 goals may be achieved by 2030 globally. We first provide La foundation for operations management (OM) researchers to help shape the interventions for countries and companies to help achieve the SDGs by (1) identifying the synergies among the SDGs so that interventions can impact multiple SDGs positively and (2) linking some of the extant OM research with the synergies among the various SDGs. This way, researchers can understand the complexity of the challenges ahead and build on the OM literature to influence the interventions of governments and organizations to maximize the attainment of the SDGs. We also list some research opportunities to help OM researchers develop research agendas.

The role and significance of operations research in management

The article explores the pivotal role of Operations Research (OR) in contemporary management, tracing its origins from World War II to its evolution into an indispensable tool for optimizing decision-making in various industries. OR, characterized by mathematical modelling, statistical analysis, and optimization techniques, aligns seamlessly with management objectives, enhancing efficiency, resource allocation, and strategic decision-making. The multifaceted contributions of OR are elucidated, encompassing its role in strategic decision-making, the development of Decision Support Systems, resource allocation, risk management, and interdisciplinary collaboration. Emphasizing the dynamic and multifaceted nature of OR, the article underscores its significance in shaping effective management strategies. The core tenet of optimization becomes a catalyst for efficiency gains and strategic resource utilization. As organizations grapple with the complexities of a rapidly evolving business landscape, the integration of OR principles is portrayed not merely as beneficial but imperative for sustained success. It emerges as a guiding philosophy, empowering organizations to navigate uncertainties, make informed decisions, and foster innovation and excellence. The synergy between Operations Research and management is positioned as a strategic imperative, steering organizations towards efficiency, innovation, and long-term prosperity in an era where data-driven decision-making is paramount.

The application of operation research in the quality management engineering

The integration of Operations Research (OR) principles into Quality Management Engineering constitutes a powerful strategy for enhancing product and service quality throughout the entire lifecycle. This synergistic relationship unfolds within the context of OR, a discipline rooted in mathematical models, analytical methods, and decision-making tools, originally developed during World War II. Quality Management Engineering, built upon principles like Total Quality Management (TQM) and Six Sigma methodologies, systematically combines engineering principles with quality management techniques to ensure consistent high-quality outcomes. This interdisciplinary approach proves particularly critical in industries emphasizing precision, reliability, and efficiency. The application of OR in Quality Management Engineering encompasses diverse facets, including process optimization, supply chain management, quality control, root cause analysis, resource allocation, and risk management. This integration leverages mathematical modelling, statistical analysis, and optimization techniques to systematically improve and sustain product and process quality. Emphasizing continuous improvement, the collaboration integrates Lean principles, waste reduction strategies, and a commitment to ongoing assessment. The partnership between OR and Quality Management Engineering remains adaptable to changing business landscapes, addressing human factors, environmental considerations, and the era of data-driven decision-making. This abstract highlights the evolution of OR and its contribution to creating a structured, data-driven, and analytical approach to decision-making in quality management. Ultimately, this integration shapes efficient, resilient, and quality-focused organizations, positioning them for success and competitiveness in dynamic industries.

Design science research in operations management: is there a single type?

Although many authors claimed that Design Science Research (DSR) could bring new insights to Operations Management (OM), this research method is still little used in OM studies. Aiming to present the main characteristics of DSR studies in the OM field, this study starts by conducting a systematic literature review of DSR studies published between 2013 and 2022. We identify that although DSR studies have increased in quantity and quality during this period, they remain concentrated in a few journals, authors and countries. DSR remains still under development in OM, and with a significant influence of the case study research method. Furthermore, we also propose that there is not just one type of DSR in OM, but two. The first type is practitioner-focused and highlights the empirical contributions and the results. The second is academy-focused and emphasises the methodology development and the understanding of how the results were generated. As those two types aim for different audiences, we believe that they will coexist in the future.

Impact of Employee Performance Appraisal System On Employee Productivity A Study of Selected of Educational Institutes

The Employee performance is the strength of organization and Employee performance has traditionally been accorded prime focus by human resource managers. As a result, a number of performance appraisal techniques have over time been devised to help establish employee„s performance. In the contemporary times, the use of performance appraisals has been extended beyond the rating of the employee„s performance to aspects such as motivation. Accordingly, by the sought to investigate effectiveness of performance appraisal systems and its effect on employee motivation.
 Performance appraisal is a widely discussed concept in the field of performance management. The importance accorded to performance appraisal systems in part arises from the nature of the current business environment, which is marked by the need to achieve organisational goals as well as remain relevant in intensely competitive markets through superior employee performance. The organisations can however control how employees perform their jobs. In addition, performance management research shows that a significant number of employees tend to have the desire to perform their jobs well as part of their individual goals as well as a demonstration of loyalty towards the organisation.

Sequences in Developing Operational Capabilities for Competitive Performance – A Critical Review and Practical Implications

This article reviews how operations management researchers have developed their understanding of operational capabilities within the service and manufacturing industry with respect to the three established capabilities models, namely tradeoff, cumulative capabilities and the theory of performance frontiers (the integrated model). The purpose of this article is to understand contingencies that may shape capability development strategies in practice and to stimulate further research on the issue using a –critical literature review. The methodology defines the research purpose, crafting inclusion and exclusion criteria, determining search procedures, and synthesizing and reporting key findings from the literature. A total of 61 articles published in the last three decades pertaining to the three models were selected and analyzed. This article produces a number of practical and theoretical insights, which includes often overlooked yet important contingency factors, such as time and technological intensity as well as other structural and environmental considerations, in developing operations capabilities. The findings of the article are useful in gaining a better understanding of the importance of operational capabilities and their evolution. For managers in service and manufacturing industries, the findings can foster informed ways of developing strategies in line with resources.

The Open University Comprehensive Budget Performance Management Research Integrating Quality Management Cycle and Balanced Scorecard

The Open University Comprehensive Budget Performance Management Research Integrating Quality Management Cycle and Balanced Scorecard

Instituting learning mechanisms: an enabler for relevant and rigorous action research in operations management

This paper discusses the usefulness and challenges of Action Research in generating rigorous knowledge while solving relevant and real problems in organizations. The paper emphasizes the importance of instituting learning mechanisms in Action Research to ensure useful and valuable data collection and sustainable changes after an Action Research project completion. By presenting two action learning cases at the companies LEGO and VELUX, the paper demonstrates how action learning can enable the institution of learning mechanisms, generating data, and creating a supportive learning environment that fosters continuous improvement and innovation with Action Research. Hence, the paper provides insights into how researchers can institute learning mechanisms through action learning interventions to guide and help them conduct relevant and rigorous action research. Overall, this paper highlights the benefits of Action Research in solving real problems in organizations and generating theoretical knowledge, as well as the importance of learning mechanisms in ensuring the effectiveness and sustainability of Action Research projects through action learning.

Inventory and financial performance in the pharmaceutical industry: what transpired over the last two decades?

PurposeThe objective of this study is to explore the structural attributes of the pharmaceutical industry before the onset of the COVID-19 pandemic by examining the relationship between inventory and firm performance and developing a taxonomy of pharmaceutical firms based on the earns-turns matrix.Design/methodology/approachThis study examines the inventory–firm performance linkage, considering both total inventory and its discrete inventory components in pharmaceutical firms. In addition, this research develops a new taxonomy of pharmaceutical firms based on the earns-turns matrix. A large panel dataset of firms in the US pharmaceutical industry was collected for the period 2000–2019.FindingsThe results reveal that strategic groups identified based on this taxonomy show different levels of profitability and inventory turns in the earns-turns matrix. Most pharmaceutical firms moved from the low-right to the top-left section in the earns-turns matrix, indicating that these firms have generally pursued profitability rather than effective inventory management.Research limitations/implicationsThis study explores the structural attributes of the pharmaceutical industry using the earns-turns matrix. This two-dimensional analysis may not, however, capture the full complexity of inventory–firm performance dynamics.Practical implicationsThe mapping of strategic groups on the earns-turns matrix provides a useful tool for visual representations of the dynamics of strategic groups in terms of financial performance and inventory management performance. Practitioners can use the earns-turns matrix to benchmark their firm's position against their competitors.Originality/valueThis study broadens the scope of operations management research by introducing the earns-turns matrix as an empirical validation tool for operational and strategic management theories. This study emphasizes the effectiveness of the earns-turns matrix in analyzing strategic groups of pharmaceutical firms.

OM Forum—The Operations of Well-Being: An Operational Take on Happiness, Equity, and Sustainability

Problem definition: The meaning of life must surely be more about well-being than wealth, but what does that have to do with operations? Well-being encompasses a lot: Are we happy as individuals? Are groups treated fairly? Is society sustainable? Operations management has many impacts on well-being at each of these levels, some more obvious than others. Methodology/results: This MSOM Fellow forum article offers a wide-ranging exploration of linkages between operations and well-being. It organizes “operations” into five broad areas: pace and productivity, predictability and probability, process and prevention, performance and payment, and pollution and protection. For each of those, it explores what makes individuals (un)happy, what is fair, and what is sustainable. Managerial implications: It concludes with 7 recurrent themes for research in Operations Management.

(Re)-discovering simulation as a critical element of OM/SCM research: call for research

Purpose This study focuses on (re-)introducing computer simulation as a part of the research paradigm. Simulation is a widely applied research method in supply chain and operations management. However, leading journals, such as the International Journal of Operations and Production Management, have often been reluctant to accept simulation studies. This study provides guidelines on how to conduct simulation research that advances theory, is relevant, and matters.Design/methodology/approach This study pooled the viewpoints of the editorial team of the International Journal of Operations and Production Management and authors of simulation studies. The authors debated their views and outlined why simulation is important and what a compelling simulation should look like.Findings There is an increasing importance of considering uncertainty, an increasing interest in dynamic phenomena, such as the transient response(s) to disruptions, and an increasing need to consider complementary outcomes, such as sustainability, which many researchers believe can be tackled by big data and modern analytical tools. But building, elaborating, and testing theory by purposeful experimentation is the strength of computer simulation. The authors therefore argue that simulation should play an important role in supply chain and operations management research, but for this, it also has to evolve away from simply generating and analyzing data. Four types of simulation research with much promise are outlined: empirical grounded simulation, simulation that establishes causality, simulation that supplements machine learning, artificial intelligence and analytics and simulation for sensitive environments.Originality/value This study identifies reasons why simulation is important for understanding and responding to today's business and societal challenges, it provides some guidance on how to design good simulation studies in this context and it links simulation to empirical research and theory going beyond multimethod studies.

Mechanisms as boundary objects for connecting design with science in operations management research

Mechanisms as boundary objects for connecting design with science in operations management research