Seminar
Department of Systems Engineering and Engineering
Management
The Chinese University
of Hong Kong
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Title
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Coordinating Service Quality in Service
Outsourcing
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Speaker
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Prof. Justin Ren
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School
of Management
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Boston
University
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Date
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Dec. 20th, 2007 (Thursday)
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Time
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4:30 p.m. - 5:30 p.m.
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Venue
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Room 602
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William
M.W. Mong
Engineering Building
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(Engineering
Building Complex
Phase 2)
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CUHK
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Abstract:
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In this research,
we study contracting issues in an outsourcing supply chain
consisting of a user company and a service provider (e.g. a call center)
that does outsourcing work for the user company. We model the service
provider as a general queuing system, where each job has a revenue
potential, and service quality is measured by the probability that a job
is
successfully resolved. The service provider makes two strategic
decisions:
how much capacity to install and how much effort to exert to achieve a
certain level of quality. We focus on two cases related to information
asymmetry: one is the unobservability of effort, and the other, that of
the
cost information of the service provider. Our results suggest that
outsourcing companies can use relatively simple and yet robust contracts
to
assure a high level of capacity and quality service even when they do not
have perfect information about the service provider.
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Biography:
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Justin Ren
is an Assistant Professor at the Boston University School of
Management. Professor Ren\'s research focuses on supply chain coordination
and operations quality, particularly in the service sector. His research
has
appeared in publications including Management Science, and Manufacturing
and
Service Operations Management. He has received several recognitions,
including INFORMS George B. Dantzig Dissertation Award, INFORMS Junior
Faculty Paper Competition Award, and recently, the Production and
Operations
Management Society (POMS) Wickham Skinner Early-Career Research
Accomplishments Award in 2007.
Professor Ren has worked for INTEL as a consultant in its Capital
Equipment
Development group. He received his Ph.D. in Operations and Information
Management and an M.S in Operations Research from the Wharton School
at the
University of Pennsylvania.
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************************* ALL ARE WELCOME ************************
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