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New research on business operations from Harvard Business School faculty on issues including the digital supply chain, supply chain strategy, outsourcing and evolving skillsets.
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Crowdsourcing Is Helping Hollywood Reduce the Risk of Movie-Making

by Michael Blanding

Hollywood insiders have created "The Black List," which helps surface good but often overlooked scripts. Does the wisdom of the crowd work at the box office? Research by Hong Luo. Open for comment; Comment(s) posted.

Are Overlooked Forces Shielding the US from Severe Economic Downturns?

by James Heskett

SUMMING UP: Many of Jame's Heskett's readers believe that one factor more than any other could kills expansion of the United States economy: actions by the Federal Reserve. Open for comment; Comment(s) posted.

Improving Customer Compatibility with Operational Transparency

by Ryan W. Buell and MoonSoo Choi

Service firms seeking prospective customers usually highlight the advantages of their offerings and downplay the tradeoffs. This study suggests a different approach: Provide transparency into advantages as well as tradeoffs. The transparency helps customers make informed decisions and can lead to better outcomes for both firms and customers over the long run.

Big Infrastructure May Not Always Produce Big Benefits

by Martha Lagace

Government spending on bridges, roads, and other infrastructure pieces does not always ignite economic good times, say William Kerr and Ramana Nanda. The key question: Are financiers nearby? Open for comment; Comment(s) posted.

Walmart's Workforce of the Future

by Julia Hanna

A case study by William Kerr explores Walmart's plans for future workforce makeup and training, and its search for opportunities from digital infrastructure and automation. Open for comment; Comment(s) posted.

Infrastructure and Finance: Evidence from India's GQ Highway Network

by Abhiman Das, Ejaz Ghani, Arti Grover, William R. Kerr, and Ramana Nanda

In India, the Golden Quadrilateral highway network connects four major cities. This study of the relationship between the infrastructure project and development of the local financial sector finds that, in districts along and near the GQ, initial levels of financial development shaped how, and where, infrastructure investment could jumpstart real economic activity.

How Transparency into Internal and External Responsibility Initiatives Influences Consumer Choice

by Ryan W. Buell and Basak Kalkanci

Three studies examined how firms can use transparency into social and environmental responsibility initiatives to differentiate themselves in the consumer market. Results show that transparency into internal, responsible operations practices can increase sales at least as much as transparency into external, corporate social responsibility practices, if not more so.

If the Key to Business Success Is Focus, Why Does Amazon Work?

Re: Sunil Gupta

Sunil Gupta explores the infiltration of Amazon into dozens of industries including web services, grocery, and movie production. What’s the big plan? Is the company spread too thin? Open for comment; Comment(s) posted.

Managed Ecosystems and Translucent Institutional Logics: Engaging Communities

by Elizabeth J. Altman, Frank Nagle, and Michael Tushman

Organizations increasingly rely on engagement with external communities of contributors. This paper explores transitions to a managed-ecosystem governance mode and its implications for strategy and innovation. To be successful, firms must develop the capabilities to shepherd communities, leverage without exploiting them, and share intellectual property rights.

The Secret Life of Supply Chains

by Michael Blanding

While US policymakers and politicians focus on reviving the manufacturing sector, Mercedes Delgado and Karen Mills unearth a source of better jobs hidden in plain sight. Call it the supply chain economy. Open for comment; Comment(s) posted.

The Impacts of Increasing Search Frictions on Online Shopping Behavior: Evidence from a Field Experiment

by Donald Ngwe, Kris J. Ferreira, and Thales Teixeira

This paper challenges the logic that making it easier for consumers to search across a wide assortment of products is the best strategy for online retailers. Experiments show that adding extra search costs to find discounted items can improve gross margins and sales by increasing the number of items inspected and serving as a self-selecting price discrimination mechanism among customers.

The Better Way to Forecast the Future

by Roberta Holland

We can forecast hurricane paths with great certainty, yet many businesses can't predict a supply chain snafu just around the corner. Yael Grushka-Cockayne says crowdsourcing can help. Open for comment; Comment(s) posted.

Find and Replace: R&D Investment Following the Erosion of Existing Products

by Joshua Krieger, Xuelin Li, and Richard T. Thakor

This study sheds light on how product outcomes shape the direction of innovation and markets for technology. In the drug development industry in particular, negative product shocks appear to spur investment changes both within the directly affected firm and in competing firms in the same R&D markets.

Platform Competition: Betfair and the U.K. Market for Sports Betting

by Ramon Casadesus-Masanell and Neil Campbell

Since the early 2000s, online betting exchanges have had a new relationship with customers relative to traditional bookmakers, providing a platform to match individuals willing to lay and back the same outcome. This study shows how exchanges’ platform design choices have major implications for their likelihood of success.

Forecasting Airport Transfer Passenger Flow Using Real-Time Data and Machine Learning

by Xiaojia Guo, Yael Grushka-Cockayne, and Bert De Reyck

Passengers arriving at international hubs often endure delays, especially at immigration and security. This study of London’s Heathrow Airport develops a system to provide real-time information about transfer passengers’ journeys through the airport to better serve passengers, airlines, and their employees. It shows how advanced machine learning could be accessible to managers.

How to Use Free Shipping as a Competitive Weapon

by Kristen Senz

Free shipping is an increasingly important tool in the online retailer's marketing arsenal, but profit is lost when not done right, says Donald Ngwe. Open for comment; Comment(s) posted.

The Hidden Benefit of Giving Back to Open Source Software

by Kristen Senz

Firms that allow their software programmers to "give back" to the open source community on company time gain benefits—even though competitors might benefit too, says Frank Nagle. Open for comment; Comment(s) posted.

Supersmart Manufacturing Tools are Lowering Prices on TVs, Bulbs, and Solar Panels

by Sean Silverthorne

Electronics manufacturers are finding it increasingly difficult to stay ahead of low-cost competitors, says Willy Shih. Open for comment; Comment(s) posted.

In America, Immigrants Really Do Get the Job Done

by Michael Blanding

Far from being a drain on the US economy, William Kerr’s research finds immigrants are a driver of innovation and entrepreneurship. Open for comment; Comment(s) posted.

Cut Salaries or Cut People? The Best Way to Survive a Downturn

by Rachel Layne

When times are tight, companies usually respond with employee layoffs. But what if they held on to workers and cut their salaries instead? New research by Christopher Stanton and colleagues has the answer. Open for comment; Comment(s) posted.