Search results

1 – 10 of over 12000
Article
Publication date: 1 July 2021

Jennifer Morton, Russell Sacks, Jenny Ding Jordan, Steven Blau, P. Sean Kelly, Taylor Pugliese, Andrew Lewis and Caitlin Hutchinson Maddox

This article provides a resource for traders and other market participants by providing an overview of certain automatic circuit breaker mechanisms and discretionary powers that…

384

Abstract

Purpose

This article provides a resource for traders and other market participants by providing an overview of certain automatic circuit breaker mechanisms and discretionary powers that the U.S. Securities and Exchange Commission (SEC), Financial Industry Regulatory Authority (FINRA) and the U.S. president, as applicable, can exercise to pause or stop the trading of individual securities or trading activities across exchanges during extreme market volatility, each of which can cause interruptions to trading activity.

Design/methodology/approach

This article surveys automatic and discretionary mechanisms to halt trading activity under extreme market conditions. In particular, the article examines automatic cross-market circuit breakers, limit up-limit down pauses, the alternative uptick rule, as well as discretionary authority to stop short selling of particular securities and to stop trading across exchanges.

Findings

The article concludes that market participants must be cognizant not only of automatic cross-market circuit breakers, but also several other forms of potential market disruptions that may occur due to increased market volatility during the COVID-19 pandemic and beyond.

Originality/value

By exploring various mechanisms that respond to market disruption, this article provides a valuable resource for traders and other market participants looking to identify and respond to potential interruptions to their trading activity.

Details

Journal of Investment Compliance, vol. 22 no. 3
Type: Research Article
ISSN: 1528-5812

Keywords

Article
Publication date: 5 October 2015

Sanjay Kumar, Jiangxia Liu and Jess Scutella

Supply chain structure, characteristics, and applicable policies differ between developing and developed countries. While most supply chain management research is directed toward…

1621

Abstract

Purpose

Supply chain structure, characteristics, and applicable policies differ between developing and developed countries. While most supply chain management research is directed toward supply chains in developed countries, the authors wish to explore the financial impact of disruptions on supply chains in a developing country. The purpose of this paper is to highlight the importance of effective supply chain management practices that could help avoid or mitigate disruptions in Indian companies. The authors study the stock market impact of supply chain disruptions in Indian companies. The authors also aim to understand the difference in financial implications from disruptions between companies in India and the USA.

Design/methodology/approach

Event study methodology is applied on supply chain disruptions data from Indian companies. The data are compiled from public news release in Indian press. A data set of 301 disruptions for a ten-year period from 2003-2012 is analyzed. Stock valuation of a company is used to assess the financial impact.

Findings

The results show that Indian companies on average lose −2.88 percent of shareholder wealth in an 11-day window covering the event day and five days pre- and post-disruption announcement. A significant stock decline was observed as early as three days prior to announcement, indicating possibility of insider trading and information differentials between investors. Irrespective of the location and responsibility of a disruption, companies experience significant negative returns. Company size, book-to-market ratio, and debt-to-equity ratio were found to be insignificant in affecting the stock market reactions to disruptions. The authors also compiled supply chain disruptions data for US companies. When compared to the US companies, Indian companies register a significantly higher stock decline in the event of a disruption.

Research limitations/implications

Supply chain disruptions data from India and the USA are analyzed. Broad applicability of results across countries may require studying other developing countries. The research demonstrates potential effectiveness of investment in supply chain management initiatives. It also motivates research focussed specifically on supply chains in developing countries.

Practical implications

Supply chain decision makers in India could benefit from investment in disruptions management and mitigation practices. The results provide a valuation of effective supply chain management. The findings provide guidance for investors in making decisions when supply chains face disruptions.

Originality/value

The paper studies the financial consequences of supply chain disruptions in a developing country. The study is valuable because of increasing globalization, outsourcing, and the economic role of developing countries.

Details

International Journal of Physical Distribution & Logistics Management, vol. 45 no. 9/10
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 17 July 2017

Brian Leavy

This Masterclass considers the lessons of two recent important books have contrasting but complementary insights to offer to company leaders and strategists on how to improve the…

2743

Abstract

Purpose

This Masterclass considers the lessons of two recent important books have contrasting but complementary insights to offer to company leaders and strategists on how to improve the odds for developing successful innovations in response to game changes in markets.”

Design/methodology/approach

In Dual Transformation: How to Reposition Today’s Business While Creating the Future (2017), disruptive innovation experts, Scott Anthony, Clark Gilbert and Mark Johnson offer corporate leaders a “dual transformation” template for simultaneously repositioning the traditional core business in the face of disruptive change, while also creating new businesses to harness the growth potential typically unlocked by such disruption. In The Power of Little Ideas: A Low-Risk, High-Reward Approach to Innovation (2017), innovation guru, David Robertson, and his collaborator, Kent Lineback, offer companies a “third way” for coping with historic market inflections by innovating around a core product to make it more compelling, rather than having to choose between attempting the radical or incremental innovation of the product itself.

Findings

The most powerful message that both books featured in this masterclass have to offer is that while it may be true, as they go on to observe, that large companies can’t innovate faster than the market, they can learn “to innovate better than the market,” through more imaginative use of legacy products, platforms and assets.

Practical implications

A “third way” to cope with market disruption is based on innovating around the core product, by surrounding it with a set of complementary innovations, rather than re-featuring the product itself. All of the complementary innovations operate together with the product “as a system or family to satisfy a compelling promise to the customer.”

Originality/value

Both Dual Transformation and The Power of Little Ideas, present different, but far from mutually exclusive, innovation strategies that can help many more great companies to survive disruptive competition.

Details

Strategy & Leadership, vol. 45 no. 4
Type: Research Article
ISSN: 1087-8572

Keywords

Article
Publication date: 19 February 2024

Allahyar Beigi Firoozi, Mohammad Bashokouh, Naser Seifollahi and Ghasem Zarei

The rising complexity of business changes has increasingly highlighted the requirements to provide a comprehensive and empirical framework for the supply chain agility (SCA). A…

Abstract

Purpose

The rising complexity of business changes has increasingly highlighted the requirements to provide a comprehensive and empirical framework for the supply chain agility (SCA). A review of extant studies shows that the results are complicated and ambiguous. Moreover, this study is a meta-analytical review of previous empirical studies to identify SCA antecedents and effects of SCA on firm performance.

Design/methodology/approach

According to the protocol, 64 studies were chosen as the sample to survey the relationships between five clusters of SC allopoietic properties (SCAPs) (SC connectivity, symbiotic relationship (SR), cognitive openness (CO), homeostasis and collaboration) and SCA, as well as its effects on firm performance.

Findings

Among antecedents, horizontal collaboration’s effect on SCA is the strongest, and the relationship between SR-SCA and CO-SCA is less than moderate. SCA affects firm performance and its dimensions, with a stronger effect on financial performance (FP). Furthermore, the SCA study in the framework of allopoietic systems is a good starting point for future research.

Practical implications

Managers are advised to constantly review repetitive interactions between the company and its environment and to learn about interactions between SC and the environment. Learning from these interactions and disseminating their explicit knowledge among company members lead to a quick response to the environmental instability.

Originality/value

As the first meta-analysis on SCA antecedents and its effects on firm performance, this study contributes to the SCA literature and provides research directions for the future.

Details

Journal of Manufacturing Technology Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-038X

Keywords

Content available
Article
Publication date: 17 July 2017

Larry Goodson

294

Abstract

Details

Strategy & Leadership, vol. 45 no. 4
Type: Research Article
ISSN: 1087-8572

Open Access
Article
Publication date: 16 February 2021

Arto Wallin, Matti Pihlajamaa and Nando Malmelin

The article explores what forms of disruption are prioritized by top executives of large manufacturing companies in Finland and what strategies they consider appropriate for the…

4084

Abstract

Purpose

The article explores what forms of disruption are prioritized by top executives of large manufacturing companies in Finland and what strategies they consider appropriate for the management of disruptive threats and opportunities.

Design/methodology/approach

The empirical study was based on interviews with top executives in some of Finland's largest manufacturing companies.

Findings

Based on the data, we identify exploitative and explorative strategies in four dimensions that executives consider important in anticipating and responding to disruptions: internal development efforts, stance on new entrants, ecosystems and institutional change. Due to the presence of multiple potential disruptions, which often generate conflicting demands, executives have to consider them simultaneously and balance between them when making strategic decisions. They therefore do not necessarily have a specific response strategy, but their aim is to develop their companies' capabilities so that they are well-placed to face the future with confidence.

Originality/value

The findings indicate that the executives envision a disruption landscape that is more complex than typically described in the literature. In addition, it answers the call for a more systematic understanding of incumbents' response strategies by linking different disciplinary views with well-grounded empirical data.

Details

European Journal of Innovation Management, vol. 25 no. 6
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 28 March 2022

Mahour Mellat Parast and Adegoke Oke

In this paper, the authors draw from the concept of a “focused factory” to examine whether a focused strategy provides superior performance over a non-focused strategy in firms…

Abstract

Purpose

In this paper, the authors draw from the concept of a “focused factory” to examine whether a focused strategy provides superior performance over a non-focused strategy in firms experiencing service disruptions.

Design/methodology/approach

The authors test their hypotheses using panel data of the US domestic airline industry from 1998 to 2019.

Findings

Overall, the study findings show that a focused strategy provides superior financial performance over a non-focused strategy in both stable environments and unpredictable environments. The authors also find that the effect of service disruptions on profitability is less pronounced for firms following a focused strategy. This shows that focused firms need to grow over time to sustain profitability. Their post hoc analysis shows that for a non-focused strategy (but not for a focused strategy), firm size moderates the effect of service disruptions on profitability. This suggests that a firm pursuing a non-focused strategy can mitigate the negative effect of service disruptions by increasing its size.

Originality/value

This is the first study that examines the effectiveness of the focused strategy in mitigating service disruptions. The results provide further support for the effectiveness of the focused strategy in responding to service disruptions in service organizations.

Details

International Journal of Operations & Production Management, vol. 42 no. 5
Type: Research Article
ISSN: 0144-3577

Keywords

Abstract

Details

Leading and Managing Change in the Age of Disruption and Artificial Intelligence
Type: Book
ISBN: 978-1-78756-368-1

Article
Publication date: 23 September 2013

Ismail Golgeci and Serhiy Y. Ponomarov

The purpose of this paper is to investigate the nexus of relationships linking firm innovativeness, innovation magnitude, disruption severity, and supply chain resilience. These…

5505

Abstract

Purpose

The purpose of this paper is to investigate the nexus of relationships linking firm innovativeness, innovation magnitude, disruption severity, and supply chain resilience. These relationships are examined within a supply chain disruptions context.

Design/methodology/approach

This study employed between subjects scenario-based experimental methodology combined with a survey method. Participants in the study were senior level logistics/supply chain and operations managers in US and European manufacturing companies. The hypotheses were tested via linear regression models.

Findings

Findings suggest that both firm innovativeness and innovation magnitude are positively associated with supply chain resilience. In addition, it was found that disruption severity is positively associated with innovation magnitude.

Research limitations/implications

Based on the findings, the authors expect that firm innovativeness as a dynamic capability should have a positive impact on achieving supply chain resilience. The more severe the disruption faced, the higher the magnitude of innovation adopted by firms. Therefore, firm innovativeness and innovation magnitude work in tandem to positively influence supply chain resilience.

Originality/value

This paper contributes to the supply chain risk management literature by enhancing the understanding of both positive outcomes of firm innovativeness and drivers of supply chain resilience. It responds to the question, “What enables firms to respond effectively to supply chain disruptions?” from an innovation perspective that has been ignored in the previous literature.

Details

Supply Chain Management: An International Journal, vol. 18 no. 6
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 5 February 2018

Jan Veuger

The real estate world finds itself at a tipping point of a transition: a dramatic and irreversible shift in (real estate) systems in society. This paper is a State of the art of…

4644

Abstract

Purpose

The real estate world finds itself at a tipping point of a transition: a dramatic and irreversible shift in (real estate) systems in society. This paper is a State of the art of Disruption, Blockchain and Real Estate in the Netherlands and international.

Design/methodology/approach

The following questions were asked to all those involved: What do you think is the essence of Blockchain for real estate? What is the most current situation with respect to Blockchain and real estate from your perspective? Which publications are important from your perspective? What do you expect with respect to the impact of Blockchain on real estate for (social) real estate? What are questions for the future for real estate and Blockchain? In addition, interviews, exploratory conversations and correspondence took place, and the content was peer reviewed.

Findings

Changes in value concepts affect the valuation of real estate and the thinking about it. The orientation of changing users and owners of real estate affects innovativeness, values and flexibility in managing that property. Orientation on disruption must be seen as proof that the real estate world is able to actually innovate the accumulated assets and consolidate this. The financial and real estate markets are markets that exaggerate through irrational behaviour. Fear of “eat or be eaten” determines people’s behaviour. Financial and thus real estate markets are always unstable and must always be regulated by people and organizations.

Research limitations/implications

The question that remains is whether it is important to look at disruptive innovations in existing markets or newcomers in the real estate market and Blockchain. The question is whether Blockchain is only a technological disruption, or a real game changer, and whether the entire value chain of the real estate market will embrace it. No two disruptions are the same. Trust in Blockchain is a prerequisite for guiding the predictable form of that disruption where start-up companies use new technology to offer cheaper and inferior alternatives to real estate in the market. You could also talk about anti-fragile value: “Some things benefit from shocks; they thrive and grow when exposed to volatility, randomness, disorder, and stressors and love adventure, risk, and uncertainty. Yet, in spite of the ubiquity of the phenomenon, there is no word for the exact opposite of fragile. Let us call it antifragile” (Taleb, 2012), in other words: attention to disruption and Blockchain creates a viable real estate economy.

Practical implications

The true meaning of the Blockchain technology for real estate still needs to be investigated. The author is still curious to understand and clarify the value of Blockchain for real estate processes. Doubt continues to exist and is therefore a feeding ground for further research, because we do not know what we have not seen.

Social implications

Looking at the impact of Blockchain on real estate, a number of conclusions can be drawn. First of all, the relationship between Blockchain and real estate has not yet been proven in practice. It is expected to develop further in the form of registering transaction processes and the DNA passport of a real estate object. Secondly, completeness and transparency are the basic ingredients for trust in the system. Third, real estate wants to remain viable. For this reason, taking the offense is necessary for real estate and management to connect with social demand. Behaviour also leads to new earnings models of the social and economic spin-off of disruptive real estate. If the Dutch real estate sector embraces Blockchain and is able to realize innovations, there are opportunities for real estate entrepreneurs to exploit the disruptive character to provide those new services.

Originality/value

The way in which disruption, Blockchain and real estate will develop in the coming years are not the only obvious characteristics of a particular era but also its social impact and user behaviour. This also applies to how this real estate transition can best be tracked, guided and utilized in society at the international, national and regional level. Disruptive organizations clearly respond to the viability of the (built) environment and therefore determine competitive strength. This affects the current and future valuation of real estate.

Details

Facilities, vol. 36 no. 1/2
Type: Research Article
ISSN: 0263-2772

Keywords

1 – 10 of over 12000