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Conference
BIS

“Does Using CobiT Improve IT Solution Proposals?”

The CobiT (Control Objectives for Information and related Technology) framework is designed to help organizations implement IT governance practices by systematically shaping identifiable IT processes to better leverage IT expenditures. The control structure advocated in CobiT embodies governance notions including business alignment, a risk/control perspective, systematic measurement, accountability, and continuous improvement. Despite the rise of internal control regulation, not all organizations have implemented systematic IT controls and many, notably small, organizations may never do so. This study explores whether exposing decision makers to CobiT positively affects the IT solutions they generate. We present a framework (drawn primarily from the structure of CobiT) for identifying normatively better IT plans as measured by application of governance principles. We report on 115 IT solution proposals created by business students. The proposals developed using CobiT more frequently took a risk/control approach, addressed the need for continuous improvement, referred to general IT processes, identified the people who should implement a solution, and proposed more measures of success. Thus, exposing decision makers to a systematic IT governance framework promises to help them generate more comprehensive solutions to IT challenges.
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Academic Journal
Supply Chain

“Drivers and Implications of Combined Investment in Renewables and Energy Storage in the Residential Sector”

Residential consumers are increasingly combining renewables with energy storage systems. However, changes in policies and support for these technologies may impact their adoption and the outlook for the energy industry. In this paper, we consider a grid-connected household's problem of determining the optimal capacities of these two technologies as well as the battery operating policy that minimizes its electricity costs when faced with time-of-use electricity prices and sellback credits. We identify the impact of household characteristics, technological progress, and electricity pricing policies on the levels of investment in these two technologies. Furthermore, we supplement our analytical results with a case study of two U.S. cities and identify policy guidelines for the design of a technology subsidy program aimed at stimulating the adoption of these technologies and the ensuing implications for residential customers, the environment, and grid reliability. Our paper has implications for several stakeholders in practice on (i) how the adoption of renewables is affected by energy storage (and vice versa) and (ii) how electricity pricing, technological progress, and subsidy policies can shape the adoption of both technologies.
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Book
Management

“Dyadic Fit and the Process of Organizational Socialization”

Person-environment fit matters. Research has repeatedly shown that employees who fit with their jobs, their work groups, and their organizations are more committed and more satisfied (Kristof-Brown, Barrick, & Stevens, 2005). However, despite the demonstrated importance of person-environment fit, there has been a notable absence of research on interpersonal, dyadic fit at work (Ferris, Liden, Munyon, Summers, Basik, & Buckley, 2009). This is a surprising omission, because most people only feel like they really “fit” in a job if they have positive dyadic relationships with their co-workers and supervisor. As such, our understanding of behavior at work is incomplete if we fail to take the role of person-to-person relationships into account. There is also a practical, operational side to understanding dyadic relationships at work, because they facilitate the exchange of information and resources (e.g., Ibarra, Kilduff, & Tsai, 2005; Labianca & Brass, 2006; Nebus, 2006). Unfortunately, research on social relationships at work does not yet reflect the rich body of knowledge that has been amassed in other fields (Barry & Crant, 2000). Thus, while we know that interpersonal relationships are important, we currently do not know a great deal about these relationships in organizational contexts.
In this chapter, we outline a model of how person-environment fit develops in the course of social interactions among established organizational members and those who are new to the organization. The focus on the initial period of relationship development (i.e. organizational socialization) will help to illustrate a number of important processes that occur primarily in the initial acquaintance phase and unfold as individuals come to know one another better. Our theoretical development will proceed from a relationship science perspective (e.g., Berscheid, 1999; Kelley et al., 1983). This perspective offers insights that have been unexplored in both the person-environment fit and organizational socialization literatures, including an increased understanding of how people come to have close affective bonds with one another, a better set of tools for discussing the processes of social acceptance (and rejection), and a useful typology for differentiating types of relationships. To date, there has been only limited transfer of this material into the organizational behavior literature (for exceptions, see Ferris et al., 2009; Poteat, Shockley, & Allen, 2009; or Ragins & Dutton, 2007).
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Academic Journal
Business Analytics

“Dynamic relation of Chinese stock price-volume pre- and post- the Split Share Structure Reform: New evidence from a two-state Markov-switching approach”

Purpose – The purpose of this paper is to identify the bull and bear regimes in Chinese stock market and empirically analyze the dynamic relation of Chinese stock price-volume pre- and post- the Split Share Structure Reform.

Design/methodology/approach – The authors investigate the price-volume relationship in the Chinese stock market before and after the Split Share Structure Reform using Shanghai Composite Index daily data from July 1994 to April 2013. Using a two-state Markov-switching autoregressive model and a modified two-state Markov-switching vector autoregression model, this study identifies bull or bear market and also examine the existence of regime-dependent Granger causality.

Findings – Using a two-state Markov-switching autoregressive model, the authors detect structural changes in the market volatility due to the reform, and find evidence of a positive rather than an asymmetric price-volume contemporaneous correlation. There is a strong dynamic Granger causal relation from stock returns to trading volume before and after the reform regardless of the market conditions, but the causal effects of volume on returns are only seen in the bear markets before the reform. The model is robust when using different stock indices and time periods.

Originality/value – The work is different from previous studies in the following aspects: most of the existing empirical literature focus on the well-developed economies, but our interest lies in the emerging Chinese market that has witnessed rapid growth in the past decade; in contrast to many works in the literature that examine the price-volume relationship during one market condition, the authors compare the relationship in a bull market with that in a bear market, using a two-state MS-AR model; the authors also employ a modified two-state Markov-switching vector autoregression model to examine the existence of regime-dependent Granger causality; as the most massive systematic reform for the Chinese stock market since its inception in 2005, the Split Share Structure Reform has a profound impact on the Chinese stock market, thus it is of vital importance to explore its effects on both the price-volume relationship and the market structure.
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