Faculty
Ping-Hung Hsieh
Professor
Supply Chain Logistics Management

Ping-Hung Hsieh

541-737-6060

ping-hung.hsieh@bus.oregonstate.edu

Faculty
Ping-Hung Hsieh
Overview
Overview
Background
Publications

Overview

Credentials

Ph.D. Statistics and Management Science (May 1997) School of Business Administration, University of Michigan, Ann Arbor, Michigan

Career Interests

Ping-Hung ("Ping") Hsieh is Professor of Quantitative Methods in the College of Business. His research interests include the fields of extreme value analysis and Bayesian modeling with application to risk management and strategic planning.

Background

Experience

  • Discipline Director of Business Core, Oregon State University (September 2011 - present)
  • Associate Professor, College of Business, Oregon State University (9/03 – present)
  • Assistant Professor, College of Business, Oregon State University (1/98 - 9/03)
  • Acting Assistant Professor, College of Business, Oregon State University (9/97 - 1/98)
  • Instructor, School of Business, Bowling Green State University, Ohio (9/96 - 8/97)
  • Teaching Assistant, School of Business Administration, University of Michigan (1/96 - 4/96)
  • Research Assistant, School of Business Administration, University of Michigan (9/93 - 12/95)
  • Financial Analyst, Shin-Kong Life Insurance, Taipei, Taiwan (7/92 - 8/93)
  • Graduate Teaching Assistant, Department of Statistics, University of Michigan (1/88 - 5/90)

Professional Affiliations

Member of the American Statistical Association

Member of the Institute of Mathematical Statistics

Member of the International Chinese Statistical Association

Service

PROFESSIONAL SERVICE

  • Reviewer, Journal of Managerial Finance, May 2011
  • Panel Reviewer, National Science Foundation, April 2010
  • Review Board, The Open Statistics & Probability Journal, 2008 –
  • Ad Hoc Reviewer, IEEE Transactions on Engineering Management, 2008 –
  • Member, the Loss Simulation Model Working Group, Society of Actuaries, 2006
  • Ad Hoc Reviewer, Statistical Methodology, 2005 –
  • Session Chair, National Joint Statistical Meetings, American Statistical Association, August 2004
  • Review Board, Journal of Business Disciplines, 2003 –
  • Session Chair, National Joint Statistical Meetings, American Statistical Association, August 2003
  • Ad Hoc Reviewer, International Conference on Robust Statistics, July 2003
  • Ad Hoc Reviewer, Journal of Business & Economic Statistics, 1995

UNIVERSITY SERVICE

  • University Committee Appointments

Research Council, 2010 – 2012 
University Council on Student Engagement and Experience, 2006
Faculty Senate, 2004 – 2005, 2010
Faculty Recognition and Awards Committee, 2004 – 2005 

  • College of Business Committee Appointments

Member, Strategic Planning Task force, January 2012 – 
Director, Business Core Group, September 2011 – August 2012
Participant, Leadership Academy, October 2011
Presenter at the COB fall retreat about the findings on intercultural communication, September 2009
Participant, Summer Institute for Intercultural Communication, August 2009
Member, SRTIF Review Committee, 2009
Chair, Peer Review of Teaching Committee (appointed), 2003 – 2004, 2008 – 2009, 2010 – 2011.
Chair, Research Excellence Workgroup, 2006
Member, Research Excellence Workgroup, 2005
Member, Promotion and Tenure Committee, 2003 – 2004, 2005 – 2006
Member, Undergraduate Program Committee (elected), 2000 – 2002
Member, Newcomb Scholarship Committee, 2000
Member, Peer Review of Teaching Committee (appointed), 1999 – 2000,  2002 – 2003
Member, Affirmative Action Committee, 1997 – 1999

  • Search Committees

Chair, Quantitative Methods Search Committee for a tenure-track position, 2011
Operations Management Search Committee for a tenure-track position, 2006
College of Business Dean Search Committee, 2000 – 2003
Operations Management Search Committee for a tenure-track position, 2002
Operations Management/Statistics Search Committee for a tenure-track position, 1999
Operations Management/Statistics Search Committee for a visiting position, 1998

  • Student Recruitment

INTO Presentation, Taiwan, August 2010
Presented a 2-hour introduction on U.S. business schools to about 200 perspective MBA students in Taiwan, July 2000.
Assisted the Admission and Orientation Office and English Language Institute at Oregon State University in recruiting Taiwanese students.  Translated meeting announcements and University description into Chinese.  Distributed the information to various bulletin boards in Taiwan.  Visited Oregon Trade and Information Center in Taiwan to acquire information for recruiting students, summer 1998 and 1999.

Honors & Awards

  • Betty and Forrest Simmons Excellence in Graduate Teaching Award, College of Business, Oregon State University, 2010 – 2011
  • The Outstanding UHC Faculty Member of the Year, University Honors College, 2010 - 2011
  • Teaching Excellence Award, Oregon Executive MBA program 2006
  • Society of Actuaries, Individual Grants Competition, “Extreme Value Analysis for Partitioned Insurance Losses,” 2006.  Amount awarded $17,000.
  • Vivian Bales Research Fellowship, College of Business, Oregon State University, 2000, 2001, 2003,  2004, 2005, 2006, 2008, 2009.
  • Distinguished Research Award, "When Online Recruiting is a Jurisdictional Hook: How Using Interactive Web Technology Gets E-Business Sued in Distant Courts," (co-author: Nancy J. King), Allied Academics, April, 2003.
  • Austin Family Business Research Fellowship in Family Business & Entrepreneurship, "Organizational Outcomes of Using Online Recruiting among Family-Owned and Non-Family-Owned Businesses," (co-authors: Frances M. McKee-Ryan and Nancy J. King), College of Business, Oregon State University, 2003 - 2004.
  • Vivian Bales Research Fellowship, College of Business, Oregon State University, 2000, 2001, 2003, 2004.
  • The Newcomb Faculty Meritorious Performance Award, College of Business, Oregon State University, 2000 - 2001.
  • Byron L. Newton Award - Excellence in Teaching, College of Business, Oregon State University, 2000 - 2001.
  • The Contributed Paper Award, "Robustness of Conditional Moments: An Application to Premium Caalculation for Reinsurance Treaties," Seciton on Risk Analysis, Joint Statistical Meetings, American Statistical Association, Baltimore, Maryland, August 1999.

Publications

Academic Journal
Supply Chain

“On Social Dynamics Factors in Multi-stakeholder Decision Making in the Early State of Product Development”

When design decisions are made by a group of diverse stakeholders, the decision making process is affected by both technical and social dynamic factors and the design results are consequently a product of the joint influences. Though it is important, the role of social dynamic factors in design process is currently not well understood. In this work, our study is focused on a prioritising problem concerning understanding customer needs at the early stage, in particular, identifying Quality Requirements and their relative importance. We introduced one among many social dynamic factors, i.e. trust and investigated its role in the early stage design decision making of product development. Derived from the definition and principle forms of general trust, the trust concept used in the prioritising problem for our study is specified. The existing measurement scales used in social science are modified for measuring the trust in terms of trustworthiness.
Details

100 - 121 pages 2007 Journal of Design Research Ping Ge Ping-Hung Hsieh

Academic Journal
Supply Chain

“A Data-Analytic Method for Forecasting Next Record Catastrophe Loss”

We develop in this article a data-analytic method to forecast the severity of next record insured loss to property caused by natural catastrophic events. The method requires and employs the knowledge of an expert and accounts for uncertainty in parameter estimation. Both considerations are essential for the task at hand because the available data are typically scarce in extreme value analysis. In addition, we consider three-parameter Gamma priors for the parameter in the model and thus provide simple analytical solutions to several key elements of interest, such as the predictive moments of record value. As a result, the model enables practitioners to gain insights into the behavior of such predictive moments without concerning themselves with the computational issues that are often associated with a complex Bayesian analysis. A data set consisting of catastrophe losses occurring in the United States between 1990 and 1999 is analyzed, and the forecasts of next record loss are made under various prior assumptions. We demonstrate that the proposed method provides more reliable and theoretically sound forecasts, whereas the conditional mean approach, which does not account for either prior information or uncertainty in parameter estimation, may provide inadmissible forecasts.
Details

309-322 pages 2004 Journal of Risk and Insurance Ping-Hung Hsieh View on: Google Scholar

Academic Journal
Supply Chain

“Interdependence and its Consequence in Distributor-Supplier Relationships: A Distributor Perspective Through Response Surface Approach”

Interdependence and its consequences in marketing channels have received substantial research attention, but two issues remain unresolved. First, the validity of the extant methods to measure interdependence has not been verified, and those methods have not been contrasted. Second, the impact of interdependence on an outcome variable is difficult to analyze and its potential to provide managerial insight hampered. To address those gaps, the authors first review prior approaches. The review of prior approaches raises key methodological and theoretical issues in measuring interdependence and analyzing its impacts, including the additivity of distributor and supplier dependences for measurement of interdependence and the nonlinear functional forms of dependences for the impact of interdependence. The authors use the response surface approach (RSA) and derive three managerial insights that can be garnered from its use: interdependence for the highest (lowest) level of an outcome, directions for change in interdependence, and change in outcome when receding from the ideal combination. They apply RSA to the relationship between interdependence and three outcome variables—distributor commitment, bilateral communication, and supplier control—in industrial distributor”supplier relationships and contrast it with previous methods. The empirical study results suggest that (a) distributors perceive differential effects of supplier dependence and distributor dependence on outcome variables and (b) highest magnitude and lowest asymmetry of interdependence do not lead to the highest distributor commitment or supplier control. From a distributor's standpoint, highest commitment and supplier control occur when distributor dependence is high and supplier dependence is modest. The following implications emerge: Distributor dependence and supplier dependence must be decoupled and treated separately. Distributor dependence can be encouraged and nurtured, while supplier dependence needs to be kept moderate. A supplier's too little or too great dependence on a distributor will deteriorate channel outcomes, at least from a distributor's point of view.
Details

101 - 112 pages 2003 Journal of Marketing Research Steve Kim Ping-Hung Hsieh

Academic Journal
Supply Chain

“The Return on R&D Versus Capital Expenditures in the Pharmaceutical and Chemistry Industies”

The impact of research and development (R&D) on firm performance is generally agreed to be positive, but the nature and extent of this impact share little agreement in the previous research. Using an improved, time series, cross-sectional regression model that accounts for both contemporaneous and firm-specific serial correlation, as well as the feedback between firm profitability and investments, our study compares the rate of return from a dollar investment on R&D to a dollar investment on fixed assets in pharmaceutical and chemical industries. We find positive associations of R&D intensity and all variables of firm performance (net margin, operating margin, sales growth, and market value). We find that an investment in R&D earns an operating margin return much higher than the industry cost of capital. We also find that the effect of an investment in R&D on the firm's market value is about twice as much the effect of an investment in fixed assets. These findings have implications for corporate investment strategies, indicating that additional R&D investment is more likely to provide a firm with a unique and sustainable competitive advantage.
Details

141 -150 pages 2003 IEEE Transactions on Engineering Management Ping-Hung Hsieh C. Mishra

Academic Journal
Supply Chain

“An Exploratory First Step in Teletraffic Data Modeling: Evaluation of Long-run Performance of Parameter Estimators”

Examination of the tail behavior of a distribution F that generates teletraffic measurements is an important first step toward building a network model that explains the link between heavy tails and long-range dependence exhibited in such data. When knowledge of the tail behavior of F is vague, the family of the generalized Pareto distributions (GPDs) can be used to approximate the tail probability of F, and the value of its shape parameter characterizes the tail behavior. To detect tail behavior of F between two host computers on a network, the estimation procedure must be carried out over all possible combinations of host computers, and thus, the performance of the estimator under repeated use becomes the primary concern. In this article, we evaluate the long-run performance of several existing estimation procedures and propose a Bayes estimator to overcome some of the shortcomings. The conditions in which the procedures perform well in the long run are reported, and a simple rule of thumb for choosing an appropriate estimator for the task of repeated estimation is recommended.
Details

263-283 pages 2002 Computational Statistics and Data Analysis Ping-Hung Hsieh View on: Google Scholar

Academic Journal
Supply Chain

“Modeling the Frequency and Severity of Extreme Exchange Rate Returns”

Risk managers are often concerned about tail probabilities of asset return distributions, in particular the frequency and severity of extreme returns. In this article, we propose a model that integrates extreme value theory and point processes to model the frequency and severity of exchange rate returns. The proposed model is applied to daily spot exchange rate series and the parameters of interest, such as the tail index, the mean size and rate of occurrence of extreme returns, are estimated using maximum likelihood estimation. We study the impact of recent currency crises on the frequency and severity of the series and find that, during 1995-9, the frequency of extreme daily Japanese yen-US dollar spot exchange rate returns increases twofold, and the time duration of high volatility persists longer for the Japanese yen series than for the Swiss franc and Danish krone series. Copyright © 2001 John Wiley & Sons, Ltd.
Details

485-499 pages 2001 Journal of Forecasting Ping-Hung Hsieh

Academic Journal
Supply Chain

“On Bayesian Predictive Moments of Next Record Value Using Three-parameter Gamma Priors”

A forecasting model of next record value proposed by Hill [1] assumes the underlying distribution F(x) is of an algebraic functional form with a shape parameter a for large x. That is, 1 - F(x) ?Cx-a, for large x. In this article, we extend his model by incorporating a three-parameter Gamma prior of a to derive analytical solutions of the predictive distribution and moments of X given that X is a new record value. These closed-form formulas can be represented as ratios of moments of Gamma distributions. We apply the proposed model to a real-life data set that consists of the insured property losses of 33 catastrophes caused by tropical storms in the United States in 1995. The example illustrates the importance of incorporating prior experience and accounting for uncertainty in parameter estimation when forecasting record values. Both considerations are the main ingredients in the development of the proposed model.
Details

729-738 pages 2001 Communications in Statistics - Theory & Methods Ping-Hung Hsieh

Academic Journal
Supply Chain

“Robustness of Conditional Moments: An Application to Premium Calculation for Reinsurance Treaties”

In this study, the tail probability of a class of distributions commonly used in assessing the severity of insurance losses was examined. Without specifying any particular distribution, the use of an algebraic functional form Cx to approximate the tail behavior of the distributions in the class was demonstrated. Norwegian fire insurance data were examined, and the algebraic functional form was applied to derive the expected loss of a reinsurance treaty that covers all losses exceeding a retention limit. It was shown that (1) the expected loss is insensitive to the parameter á for a high retention limit (e.g., a catastrophe treaty), and (2) with a low retention limit (e.g., a largest claim treaty), a reliable estimate of the parameter á and a sound judgment on the maximum potential loss of the treaty could provide useful and defensible summary statistics for pricing the treaty. Thus, when dealing with the losses of certain reinsurance treaties, it was concluded that knowledge of a specific probability distribution is not critical, and the summary statistics derived from the model are robust with respect to a large class of loss distributions.
Details

225-234 pages 2001 Risk Analysis Ping-Hung Hsieh

Academic Journal
Supply Chain

“Robustness of Tail Index Estimation”

The implementation of the Hill estimator, which estimates the heaviness of the tail of a distribution, requires a choice of the number of extreme observations in the tails, $r$, from a sample of size $n$, where $2 \leq r+1 \leq n$. This article is concerned with a robust procedure of choosing an optimal $r$. Thus, an estimation procedure, $\delta_s$, based on the idea of spacing statistics, $H^{(r)}$, is developed. The proposed decision rule for choosing $r$ under the squared error loss is found to be a simple function of the sample size. The proposed rule is then illustrated across a wide range of data, including insurance claims, currency exchange rate returns, and city size.
Details

318-332 pages 1999 Journal of Computational and Graphical Statistics Ping-Hung Hsieh