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Can Managerial Military Experience Affect Corporate Innovation? : Evidence from an Emerging Market

  • Lang, Xiangxiang;You, Dandan;Cui, Li;Peng, Zhe
    • Journal of East Asia Management
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    • v.1 no.1
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    • pp.1-27
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    • 2020
  • Military experience has a great impact on a soldier ability to handle risks. Therefore, when those soldiers become managers, they may behave differently in making risky corporate decisions, especially in activities like the R&D investment. However, studies on how military experience affect R&D have been largely missing in the largest emerging economy, i.e. China, despite that the country hires a higher percentage of military managers than the US. In addition, it remains a question whether military managers affect the state-owned enterprises (SOEs) in China, as many of the corporate decisions are made by the government. This paper tries to address these questions. The imprinting theory and the upper echelon theory suggest that managers' personal experience can affect their behaviour, which in turn influences their corporate decisions. In this paper, we examine whether managers with military experience lead to higher R&D investment and whether such an effect exists in state-owned enterprises. Based on a sample of listed firms in China's A-share market over 2008-2017, we make two findings. First, companies with military managers have high R&D investment. By dividing managers' military positions into high and low rank, we find that companies tend to have higher (lower) R&D investment if their managers hold a high-rank (low-rank) position. Second, the effect of high-rank military managers on R&D investment is more pronounced if the manager is also the founder and the company is a non-state-owned enterprise. For low-ranking military managers, a stronger effect on R&D investment is also observed if they are also the founder, but whether their companies are state-owned or not has no impact on R&D investment. This study identifies managers' military experience as a contributing factors to corporate R&D investment in the largest emerging economy. This paper tests an implication of the imprinting theory and the upper echelon theory, i.e., managers' personal experience can affect their behaviour, which in turn influences their corporate decisions. Specifically, we focus on one aspect of personal experience - military experience - and look at whether it is beneficial to firms' technological innovation, therefore enriches the literature of managerial heterogeneity. Our findings on the influence of managers' military experience on firms' technological innovation can help us better understand the role of managers play in corporate decision making, and how managers' individual traits interact with the firm's characteristics.

Structural Capacity of High Strength Steel Pipe Pile After Pile Driving (고강도 강관말뚝의 항타후 구조성능 분석)

  • La, SeungMin;Yoo, Hankyu
    • KSCE Journal of Civil and Environmental Engineering Research
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    • v.31 no.6C
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    • pp.251-258
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    • 2011
  • Steel pipe piles have been used as various deep foundation materials for a long time. Recent increase in steel material cost has made engineers reluctant in using it even with its good quality and ease of construction. Therefore when constructing with steel pipe pile, the decision to reuse the excessive pile length that is cut off from the designed pile head elevation after pile driving can be cost saving. This has caused many constructors to reuse the pile leftovers with new piles, but the absence of quantitative structural capacity behaviors of steel pipe pile after pile driving or appropriate countermeasures and standards in reusing steel pipe pile has resulted in wrong applications, pile structural integrity problems, inappropriate limitation of reusable pile length, etc. The structural performance analysis between a new pile and a pile that has undergone working state and ultimate state stress level during pile driving was performed in this research by means of comparing the results between the dynamic pile load test, tensile load test, charpy energy test and fatigue test for high strength steel of $440N/mm^2$ yield strength. Test results show that under working load conditions the yield strength variation is less than 2% and for ultimate load conditions the variation is less than 5% for maximum total blow count of 3000. The results have been statistically analyzed to check the sensitivity of each factors involved. From the test results, reusability of steel pipe pile lies not in the main pipe yield strength deviation but in the reduction of absorb energy, strength changes and quality control at the welded section, shape deformation and local buckling during pile driving.

The Effects of Advanced Design Innovation Strategy on Business Performance (선행 디자인 혁신 전략이 기업 성과에 미치는 영향)

  • Kim, Yong-Wook;Song, In-Am;Hwang, Hee-Joong
    • Journal of Distribution Science
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    • v.11 no.10
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    • pp.27-36
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    • 2013
  • Purpose - This paper empirically studies the effects of advanced design innovation strategy on business performance, to investigate manufacturing industries that can develop design-driven-innovation strategies. Many researchers now recognize the importance of design in a CEO's decision-making process. To analyze these effects, this study deduces the definition of advanced design strategy by reviewing existing studies. The advanced design is a strategy that is applied to improve business performance instead of the appearance of a product for increasing its sales. In terms of business processes, the advanced design strategy is defined as the incorporation of business activities prior to the development of the product, to offer new experiences and values to users, from those designs. Research design/data/methodology - This paper establishes a model for empirical analysis. In this study, we derived factors of the characteristics of advanced design based on previous studies. We tried to investigate whether advanced design innovation strategy and entrepreneur's characteristics could have any impact on business performance. At the same time, we tried to find out the moderating effect of entrepreneurs' characteristics. The advanced design is made up of three elements: precedence, integration, and immersion of design activities. These three elements are independent variables for the model. The dependent variables are: increased rate of sales, R & D performance, and public image of the company. Specifically, this study establishes a CEO's characteristics as a moderating variable between the independent and dependent variables. Results - We proved that the level of entrepreneurs' characteristics has a moderating effect on the business performance. The findings of this study offer the following theoretical implications. The precedence of design activities positively affects the increased rate of sales by offering new experiences to users and creating new values. The integration of design activities also has a positive effect on the R&D performance. In addition, the immersion of design activities positively influences all the elements comprising business performance. The analysis of moderating variables elucidates that CEO's characteristics have a moderating role between precedence, integration, and immersion of design activities, and business performance. Conclusions - The practical implications of the study are as follows. This study contributes to the progression of advance design theories by conducting an empirical study on the advanced design concept. More importantly, the empirical study on the CEO group seeking exploratory innovation supports Verganti's "design-driven innovation" concept, according to which design can make innovation successful by offering useful values to users, as evident in the case of many innovative companies, such as Nintendo and Apple. Future studies need to investigate the reliability of practical examples, including the various activities of business. We suppose that there may be real differences between the results of this study and the applicative situation in the presence of a CEO group.

Development of System Dynamics model for Electric Power Plant Construction in a Competitive Market (경쟁체제 하에서의 발전소 건설 시스템 다이내믹스 모델 개발)

  • 안남성
    • Korean System Dynamics Review
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    • v.2 no.2
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    • pp.25-40
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    • 2001
  • This paper describes the forecast of power plant construction in a competitive korean electricity market. In Korea, KEPCO (Korea Electric Power Corporation, fully controlled by government) was responsible for from the production of the electricity to the sale of electricity to customer. However, the generation part is separated from KEPCO and six generation companies were established for whole sale competition from April 1st, 2001. The generation companies consist of five fossil power companies and one nuclear power company in Korea at present time. Fossil power companies are scheduled to be sold to private companies including foreign investors. Nuclear power company is owned and controlled by government. The competition in generation market will start from 2003. ISO (Independence System Operator will purchase the electricity from the power exchange market. The market price is determined by the SMP(System Marginal Price) which is decided by the balance between demand and supply of electricity in power exchange market. Under this uncertain circumstance, the energy policy planners such as government are interested to the construction of the power plant in the future. These interests are accelerated due to the recent shortage of electricity supply in California. In the competitive market, investors are no longer interested in the investment for the capital intensive, long lead time generating technologies such as nuclear and coal plants. Large unclear and coal plants were no longer the top choices. Instead, investors in the competitive market are interested in smaller, more efficient, cheaper, cleaner technologies such as CCGT(Combined Cycle Gas Turbine). Electricity is treated as commodity in the competitive market. The investors behavior in the commodity market shows that the new investment decision is made when the market price exceeds the sum of capital cost and variable cost of the new facility and the existing facility utilization depends on the marginal cost of the facility. This investors behavior can be applied to the new investments for the power plant. Under these postulations, there is the potential for power plant construction to appear in waves causing alternating periods of over and under supply of electricity like commodity production or real estate production. A computer model was developed to sturdy the possibility that construction will appear in waves of boom and bust in Korean electricity market. This model was constructed using System Dynamics method pioneered by Forrester(MIT, 1961) and explained in recent text by Sternman (Business Dynamics, MIT, 2000) and the recent work by Andrew Ford(Energy Policy, 1999). This model was designed based on the Energy Policy results(Ford, 1999) with parameters for loads and resources in Korea. This Korea Market Model was developed and tested in a small scale project to demonstrate the usefulness of the System Dynamics approach. Korea electricity market is isolated and not allowed to import electricity from outsides. In this model, the base load such as unclear and large coal power plant are assumed to be user specified investment and only CCGT is selected for new investment by investors in the market. This model may be used to learn if government investment in new unclear plants could compensate for the unstable actions of private developers. This model can be used to test the policy focused on the role of unclear investments over time. This model also can be used to test whether the future power plant construction can meet the government targets for the mix of generating resources and to test whether to maintain stable price in the spot market.

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Predictive Factors of Blood Transfusion Requirement in Blunt Trauma Patients Admitted to the Emergency Room (응급실에 내원한 둔상환자의 수혈 필요성 예측인자)

  • Oh, Ji Sun;Kim, Hyung Min;Choi, Se Min;Choi, Kyoung Ho;Hong, Tae Yong;Park, Kyu Nam;So, Byung Hak
    • Journal of Trauma and Injury
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    • v.22 no.2
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    • pp.218-226
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    • 2009
  • Purpose: In multiple blunt trauma patients, transfusion may be a significant therapeutic adjunct to non-operative management. The blood products must be expedited and efficiently to patients in impending shock caused by hemorrhage or traumatic coagulopathy, but the decision to perform blood transfusion has been made empirically, based on the clinician' and has not been guided by objective parameters, but own opinion, that may result in an underestimate of or a failure to detect bleeding, in delayed transfusion, and in a reduced outcome. This article presents quickly assessable predictive factors for determining if a blood transfusion is required to improve outcomes in multiple blunt trauma patients admitted to the emergency room. Methods: In a retrospective review of 282 multiple blunt trauma patients who visited our emergency center by emergency rescuer during a 1-year period, possible factors predictive of the need for a blood transfusion were subjected to univariate and multivariate logistic regression analysis. Results: Of blunt trauma patients, 9.2% (26/282), received red blood cells in the first 24 hours of care. Univariate analysis revealed significant associations between blood transfused and heart rate (HR) > 100 beats/min, respiratory rate (RR) > 20 breaths/min, Glasgow Coma Scale (GCS) < 14, Revised Trauma Score (RTS) < 11, white blood cell count (WBC) < 4000 or > 10000, and initial abnormal portable trauma series (Cspine lateral, chest AP, pelvis AP). A multiple regression analysis, with a correction for diagnosis, identified HR > 100 beats/min (EXP 3.2), GCS < 14 (EXP 4.1), and abnormal trauma series (EXP 2.9), as independent predictors. Conclusion: In our study, systolic blood pressure (SBP) < 90 mmHg, old age > 65 years, hemoglobin < 13g/dL, mechanism of injury were poor predictors of early blood transfusion. Initial abnormal portable trauma series, HR > 100 beats/min, and GCS < 14 were quickly assessable useful factors for predicting a need for early blood transfusion in blunt trauma patients visiting the emergency room.

Choice of Medical Care Institution for Delivery and Evaluation of the Institution after Delivery (분만기관 선택과 이용 후의 평가)

  • 권순호;한달선
    • Health Policy and Management
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    • v.8 no.2
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    • pp.1-24
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    • 1998
  • There exists a general consensus in Korea that patients tend to concentrate in large hospitals and this tendency is partly responsible for inefficiency in health services. The process of choosing a medical care provider for health care services and evaluating the provider after utilization seems to involve many diverse factors to become very complex. Therefore a systemsatic study is needed to achieve sufficient understanding of the proeess. For this point of view, this study investigates patient's selection of medical care institution for delivery care services and their evaluation of the institution after delivery. In more specific, the objectives of the study are twofold: 1) to identify the factors associated with expectant mothers' choice of type of medical care institution for delivery among tertiary hospitals, general hospitals, small hospitals, and clinics: and 2) to understand the factors affecting patient evaluation of the medical care institution after delivery. The data used for the analysis were collected through face-to-face interviews with those women who had childbirth during the period from January 1, 1996 to the date of interview in February 1998. The survey was conducted using preqared structured questionnaire in Seoul. The sample was drawn from each of arbitrarily defined four regions of Seoul, Northeast, Northwest, Southeast and Southwest, in proportion to the number of births reported in 1996 in each of them. The distribution of the interviewed women by educational level was made similar to that of mothers of new babies reported in 1996. The sample size was planned to be about 300, but ended up with analytical sample of 319. Major conclusions emerged from the analysis can be summarized as follows: 1) Large hospitals were evaluated as much better for technical quality than other types of institutions, whereas they were compared similar to or worse for other attributes. And it was found that technical quality of care is considered as the most important condition of medical care institution for delivery, while the amount of direct cost is considered as the least important one. Taken together, the utilization of large hospitals is not likely to decrease even though they cannot give satisfaction to patients in other aspects than technical quality. 2) The activeness in the search for information affected the respondents' evaluation of medical care institutions, which would influence their later decision or recommendation to other persons as to the choice of source of health care services. Therefore, increased efforts should be directed to improving availability of useful and correct information for patients in relation to the utilization of health care services. 3) Since the findings of this study were obtained from the analysis of delivery care services, their applicability to other kinds of services may be limited. Thus it would be useful to conduct a comparative study of several kinds of services explicitly taking into account the characteristics of those services in the analysis.

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Hospice & Palliative Care Policy in Korea (한국의 호스피스완화의료정책)

  • Kim, Chang Gon
    • Journal of Hospice and Palliative Care
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    • v.20 no.1
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    • pp.8-17
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    • 2017
  • Globally, efforts are being made to develop and strengthen a palliative care policy to support a comprehensive healthcare system. Korea has implemented a hospice and palliative care (HPC) policy as part of a cancer policy under the 10 year plan to conquer cancer and a comprehensive measure for national cancer management. A legal ground for the HPC policy was laid by the Cancer Control Act passed in 2003. Currently in the process is legislation of a law on the decision for life-sustaining treatment for HPC and terminally-ill patients. The relevant law has expanded the policy-affected disease group from terminal cancer to cancer, human immunodeficiency virus/acquired immune deficiency syndrome, chronic obstructive pulmonary disease and chronic liver disease/liver cirrhosis. Since 2015, the National Health Insurance (NHI) scheme reimburses for HPC with a combination of the daily fixed sum and the fee for service systems. By the provision type, the HPC is classified into hospitalization, consultation, and home-based treatment. Also in place is the system that designates, evaluates and supports facilities specializing in HPC, and such facilities are funded by the NHI fund and government subsidy. Also needed along with the legal system are consensus reached by people affected by the policy and more realistic fee levels for HPC. The public and private domains should also cooperate to set HPC standards, train professional caregivers, control quality and establish an evaluation system. A stable funding system should be prepared by utilizing the long-term care insurance fund and hospice care fund.

A Study on the Fishing Efficiency of the Jigging Gear Neon Flying Squid , Ommastrephes Bartrami in the North Pacific (북태평양 빨강오징어 채낚기의 조획성능에 관한 연구)

  • 오희국
    • Journal of the Korean Society of Fisheries and Ocean Technology
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    • v.30 no.3
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    • pp.150-160
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    • 1994
  • Drift gillnet fishery for neon flying squid in the North pacific was one of the major pelagic fisheries of Korea until 1992, its annual catch was 79, 000M/T as average during 1988-1992, but moratoriumed since 1993 according to the decision of UN. Therefore, for the developing of the new fishing gear for the squid, the seven types of rip hook by automatic squid jigging machine were experimented by the korean research vessel Pusan 851 (G/T 1.126, 2.600 PS) in the North Pacific (38 $^{\circ}$30'-43 $^{\circ}$N, 152 $^{\circ}$E-178 $^{\circ}$W) from July 6. 1993 to August 31. 1993. The investigation on catch rate, dropout rate, and catch condition of the rip hooks related to the fishing lamp power for aggregating the squid were carried out during the period. The results obtained are as follows: The composition of catch by automatic squid jigging machine was 83.9% for neon flying squid. 15.5% for boreopacific gonate squid. 0.6% for boreal clubhook squid, and 0.01% for luminous flying squid. The catch rate of neon flying squid was 94.6% in 13.6-18.3$^{\circ}C$ of surface water temperature and 5.4% in others. The higher catch rate of neon flying squid was made in the range 13.6-18.3$^{\circ}C$ of temperature at the surface and about 1$0^{\circ}C$ of temperature at the 100m layer. The CPUE of neon flying squid in the 13.6-18.3$^{\circ}C$ of surface water temperature was ranged 0.8-11.8kg (8.7kg as average). The mantle length and body weight of neon flying squid caught in the experiment were ranged 18.3-51.3 cm, 140-3, 980g and mean mantle length and mean body weight were 29.4cm, 972g respectively. The catch rate of neon flying squid was the highest at dawn with a value of 25.0% of the total catch. The body weight of neon flying squid caught by the D type hooks was 1.7 times more than that of the A type hooks. The dropout rate of neon flying squid caught by the seven types hooks was 7.9-57.5% (19.0% as average), and dropout rate of the D type hooks was 7.9% with 2.7 times decrease than that of the A type hooks. The catch efficiency of small sized neon flying squid in case of using on-off switch method on fishing lamp in 15 minutes intervals was 2.6 times higher than that of the on-switch method with same fishing lamp power.

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Establishment of the standard recipe according to preference of Korean, residents foreigner in Korea and American (국내인과 미국인 대상 기호도 조사를 통한 불고기의 표준 레시피 설정에 관한 연구)

  • Kim, Eun-Mi;Seo, Sang-Hee;Kwock, Chang-Keun;Lee, Eun-Jung;Wie, Seug-Hee
    • Korean journal of food and cookery science
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    • v.29 no.5
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    • pp.463-468
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    • 2013
  • This study was conducted to establish a standard recipe for Bulgogi. For the initial result of the study, the process of establishing standard quality indicators was presented based on surveys with regard to the preferences of the Korean people, American residing in Korea and Americans in USA. A basic recipe was selected based on the preference test. Then additional surveys targeting groups of Korean people, American residents in Korea and Americans were conducted after resetting the contents of soy sauce, sugar, spring onion + garlic of the basic recipe. As a result, differences in preferred seasoning contents between the groups were found. Eventually, the decision for the final recipe of the on-the-spot market search was made.

Spatial Division of Labor in Korea and The Characteristics of Kumi Local Labor Market (공문적 분업과 지방 노동시장의 특성에 관한 연구 -구미공업단지 섬유.전기전자산업을 중심으로-)

  • 박원석
    • Journal of the Korean Regional Science Association
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    • v.6 no.1
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    • pp.11-38
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    • 1990
  • The purpose of this thesis is, first to present the spatial division of labor in Korea and its mechanism, and second, to elucidate the organic integral relation between local labor market and local community by studing the mechanism that the spatial division of labor is projected into the individual lacal labor marker, and reproduction of labor force process in this local labor market. According to this purpose, the theoretical frame of this analysis is done, the positive analysis is made and Kumi is choosed as its analysis case area. The main data is from 'Survey Report on Manufacturing Idustry Wage Conditions' published by Minimum Wage Council, Ministry of Labour and from the questionnaires and interview on textile industry and electric electronics industry firms in Kumi Export Industrial Estate. The following are the results of this study. 1. The mechanism of spatial division of labor in Korea, seen through the employment structure index, is accelerating the regional discrimination by fixing the regional hierarchisation between Seoul (or Seoul Metropolitan Area as expanded Seoul) and other areas. But it is also developing highly the regional employment structure at the level of technical division of labor, since the spatial division of labor in Korea is leaded by large firms and influenced by the policy for regional development. 2. Local labor market is formed in Kumi area and its delimitation is Kumi city. The employment structure of Kumi local labor market is occupying lower hierarchy division at management hierachical level and occupying upper hierarchy division at the level of technical division of labor, and brand plants of large firs are determinating and dominating this emplogment structure. These bdranch plants of large firs are forming more favorable and stabel labor marker than locally controlled ploants in Kumi local labor market. But the reproduction of labor force process in Kumi local labor market is not fully carried out and leaked into central city, therefore Kumi is now becoming an unstable local community, suffering from large movement of population. This is because Kumi local labor market is found not for itself, but by the state policy and externally controlled plants of large firms, and therefore no potentiality to control and to absorb the exterior influences is built in Kumi local labor market. 3. The case firms A, B have spatial division of labor between decision-making function and production function, and between upper management hierachical labor force and lower management hierachical labor force in internal labor market.

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