• Title/Summary/Keyword: strategic model

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An Empirical Study on Statistical Optimization Model for the Portfolio Construction of Sponsored Search Advertising(SSA) (키워드검색광고 포트폴리오 구성을 위한 통계적 최적화 모델에 대한 실증분석)

  • Yang, Hognkyu;Hong, Juneseok;Kim, Wooju
    • Journal of Intelligence and Information Systems
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    • v.25 no.2
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    • pp.167-194
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    • 2019
  • This research starts from the four basic concepts of incentive incompatibility, limited information, myopia and decision variable which are confronted when making decisions in keyword bidding. In order to make these concept concrete, four framework approaches are designed as follows; Strategic approach for the incentive incompatibility, Statistical approach for the limited information, Alternative optimization for myopia, and New model approach for decision variable. The purpose of this research is to propose the statistical optimization model in constructing the portfolio of Sponsored Search Advertising (SSA) in the Sponsor's perspective through empirical tests which can be used in portfolio decision making. Previous research up to date formulates the CTR estimation model using CPC, Rank, Impression, CVR, etc., individually or collectively as the independent variables. However, many of the variables are not controllable in keyword bidding. Only CPC and Rank can be used as decision variables in the bidding system. Classical SSA model is designed on the basic assumption that the CPC is the decision variable and CTR is the response variable. However, this classical model has so many huddles in the estimation of CTR. The main problem is the uncertainty between CPC and Rank. In keyword bid, CPC is continuously fluctuating even at the same Rank. This uncertainty usually raises questions about the credibility of CTR, along with the practical management problems. Sponsors make decisions in keyword bids under the limited information, and the strategic portfolio approach based on statistical models is necessary. In order to solve the problem in Classical SSA model, the New SSA model frame is designed on the basic assumption that Rank is the decision variable. Rank is proposed as the best decision variable in predicting the CTR in many papers. Further, most of the search engine platforms provide the options and algorithms to make it possible to bid with Rank. Sponsors can participate in the keyword bidding with Rank. Therefore, this paper tries to test the validity of this new SSA model and the applicability to construct the optimal portfolio in keyword bidding. Research process is as follows; In order to perform the optimization analysis in constructing the keyword portfolio under the New SSA model, this study proposes the criteria for categorizing the keywords, selects the representing keywords for each category, shows the non-linearity relationship, screens the scenarios for CTR and CPC estimation, selects the best fit model through Goodness-of-Fit (GOF) test, formulates the optimization models, confirms the Spillover effects, and suggests the modified optimization model reflecting Spillover and some strategic recommendations. Tests of Optimization models using these CTR/CPC estimation models are empirically performed with the objective functions of (1) maximizing CTR (CTR optimization model) and of (2) maximizing expected profit reflecting CVR (namely, CVR optimization model). Both of the CTR and CVR optimization test result show that the suggested SSA model confirms the significant improvements and this model is valid in constructing the keyword portfolio using the CTR/CPC estimation models suggested in this study. However, one critical problem is found in the CVR optimization model. Important keywords are excluded from the keyword portfolio due to the myopia of the immediate low profit at present. In order to solve this problem, Markov Chain analysis is carried out and the concept of Core Transit Keyword (CTK) and Expected Opportunity Profit (EOP) are introduced. The Revised CVR Optimization model is proposed and is tested and shows validity in constructing the portfolio. Strategic guidelines and insights are as follows; Brand keywords are usually dominant in almost every aspects of CTR, CVR, the expected profit, etc. Now, it is found that the Generic keywords are the CTK and have the spillover potentials which might increase consumers awareness and lead them to Brand keyword. That's why the Generic keyword should be focused in the keyword bidding. The contribution of the thesis is to propose the novel SSA model based on Rank as decision variable, to propose to manage the keyword portfolio by categories according to the characteristics of keywords, to propose the statistical modelling and managing based on the Rank in constructing the keyword portfolio, and to perform empirical tests and propose a new strategic guidelines to focus on the CTK and to propose the modified CVR optimization objective function reflecting the spillover effect in stead of the previous expected profit models.

The Simulation and Forecast Model for Human Resources of Semiconductor Wafer Fab Operation

  • Tzeng, Gwo-Hshiung;Chang, Chun-Yen;Lo, Mei-Chen
    • Industrial Engineering and Management Systems
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    • v.4 no.1
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    • pp.47-53
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    • 2005
  • The efficiency of fabrication (fab) operation is one of the key factors in order for a semiconductor manufacturing company to stay competitive. Optimization of manpower and forecasting manpower needs in a modern fab is an essential part of the future strategic planing and a very important to the operational efficiency. As the semiconductor manufacturing technology has entered the 8-inch wafer era, the complexity of fab operation increases with the increase of wafer size. The wafer handling method has evolved from manual mode in 6-inch wafer fab to semi-automated or fully automated factory in 8-inch and 12-inch wafer fab. The distribution of manpower requirement in each specialty varied as the trend of fab operation goes for downsizing manpower with automation and outsourcing maintenance work. This paper is to study the specialty distribution of manpower from the requirement in a typical 6-inch, 8-inch to 12-inch wafer fab. The human resource planning in today’s fab operation shall consider many factors, which include the stability of technical talents. This empirical study mainly focuses on the human resource planning, the manpower distribution of specialty structure and the forecast model of internal demand/supply in current semiconductor manufacturing company. Considering the market fluctuation with the demand of varied products and the advance in process technology, the study is to design a headcount forecast model based on current manpower planning for direct labour (DL) and indirect labour (IDL) in Taiwan’s fab. The model can be used to forecast the future manpower requirement on each specialty for the strategic planning of human resource to serve the development of the industry.

The Effects of Information Characteristic on Information Capabilities (정보특성이 정보역량에 미치는 영향)

  • Park, Kwang O.
    • The Journal of the Korea Contents Association
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    • v.13 no.12
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    • pp.389-401
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    • 2013
  • The objective of this study is to devise and empirically validate a model in which information characteristics influence the success of SCM system as assessed by the Information Capabilities method. The four factors examined in this study include Information Quality, Operational Information Sharing, Strategic Information Sharing, Information Capabilities. The research model was analyzed by the structural equation modeling(SEM) technique, supported by SPSS 21 and SMART-PLS 2.0. The results of this study can be summarized as follows. The study confirmed the presence of positive influence of information quality on operational information sharing, strategic information sharing and IO. And, information sharing, as expected, had a significant impact on SCM performance as assessed by the IO method. A major contribution of the study is that it provides empirical evidence of the relationships that have been presumed to exist between information characteristics and information performance of SCM system. Also, the study provides both researchers and practitioners a solid foundation for future studies and practice for more successful implementation of SCM system.

Strategic Framework for $Web^2$ Mobile Marketing

  • Lee, Bong-Gyou;Seo, Hyun-Sik;Kim, Yong-Beom;Park, Soo-Kyung;Kim, Taisiya
    • KSII Transactions on Internet and Information Systems (TIIS)
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    • v.5 no.11
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    • pp.2087-2102
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    • 2011
  • The purpose of this study is to develop and present a strategic framework for mobile Internet marketing in the $Web^2$ environment. The $Web^2$ mobile Internet marketing is characterized by services, such as augmented reality and social network services. Considering the changes in the effects and types of advertisements in the mobile Internet, few studies of mobile advertisements have been conducted thus far in the $Web^2$ environment, including the cloud computing environment. Accordingly, this research aims to identify the relationships between importance and satisfaction and to uncover the characteristics of mobile advertisements through smart phones using the IPA (Importance-performance Analysis) methodology in the $Web^2$ environment. To induce the minimum required characteristics of a mobile advertisement in terms of the importance and satisfaction of IPA, Kano's model is applied to this analysis. The study also probes the relationships between the overall satisfaction and factors of each dimension of IPA through a regression analysis. As a result, this study presents four types of $Web^2$ mobile Internet marketing strategies. It was also confirmed that the maintenance reinforcement factors of the IPA dimension affect the degree of overall satisfaction. This study has implications for businesses and researchers preparing $Web^2$ mobile services and marketing.

The Analysis of Knowledge Structure using Co-word Method in Quality Management Field (동시단어분석을 이용한 품질경영분야 지식구조 분석)

  • Park, Man-Hee
    • Journal of Korean Society for Quality Management
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    • v.44 no.2
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    • pp.389-408
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    • 2016
  • Purpose: This study was designed to analyze the behavioral change of knowledge structures and the trends of research topics in the quality management field. Methods: The network structure and knowledge structure of the words were visualized in map form using co-word analysis, cluster analysis and strategic diagram. Results: Summarizing the research results obtained in this study are as follows. First, the word network derived from co-occurrence matrix had 106 nodes and 5,314 links and its density was analyzed to 0.95. Average betweenness centrality of word network was 2.37. In addition, average closeness centrality and average eigenvector centrality of word network were 0.01. Second, by applying optimal criteria of cluster decision and K-means algorithm to word co-occurrence matrix, 106 words were grouped into seven clusters such as standard & efficiency, product design, reliability, control chart, quality model, 6 sigma, and service quality. Conclusion: According to the results of strategic diagram analysis over time, the traditional research topics of quality management field related to reliability, 6 sigma, control chart topics in the third quadrant were revealed to be declined for their study importance. Research topics related to product design and customer satisfaction were found to be an important research topic over analysis periods. Research topic related to management innovation was emerging state and the scope of research topics related to process model was extended to research topics with system performance. Research topic related to service quality located in the first quadrant was analyzed as the key research topic.

An Evaluation Model of IT Investment Effect (정보기술 투자 효과 평가방법에 관한 연구)

  • Kim, Lark Sang
    • Journal of Digital Convergence
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    • v.16 no.2
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    • pp.27-36
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    • 2018
  • Financial IT evaluation methods have been unable to satisfy firms' requirements. There has been a growing demand for more comprehensively and non-financially measuring the IT performance. We developed a process-based approach in evaluating impacts of IT on primary activities. In this research we proposed a model that uses the corporate objective of IT and strategic fitt as the core independent variables in measuring the IT effect. Based on the data collected from the management variables of the 125 companies located in Korea, the companies were classified into the 4 different groups according to their corporate objective for IT: un-oriented, operations oriented, market oriented and dual oriented. Through the empirical analysis, we were able to demonstrate that the management of the companies showing a higher orientation level perceives a better IT investment performance, and this shows that the corporate objective for IT serves as a useful index for measuring the IT investment effect. In this research, it was also demonstrated that the strategic alignment has a positive influence on perceiving the IT investment effect.

Strategic Performance Measurement of Knowledge Management in Construction Industry (건설산업 지식경영의 전략적 성과측정 방법 연구)

  • Ko Sung-Kwan;Kim Jae-Jun;Baek Jong-Kun;Kim Dae-Ho
    • Korean Journal of Construction Engineering and Management
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    • v.2 no.3 s.7
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    • pp.45-57
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    • 2001
  • Knowledge management was introduced as a new strategy in many construction companies aiming at paradigm shift since Asian financial Crisis. However, intensive focusing on acquiring and sharing knowledge couldn't keep pace with the primary goal. Increasing financial profits. That is because clear strategic process and performance measurement are absent in time of the introduction of knowledge management. Based on case analysis in domestic construction industry, this research work presents an alternative plan on Balanced Scorecard(BSC) model. The objective of this study is to develop a model of strategic performance measurement in knowledge management by sorting and grasping core operational knowledge, which can draw key performance indicators accompanied by knowledge map from case study.

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How User's Participation in Feasibility Study Enhances Use of Business Intelligence Systems

  • Kim, Nam Gyu;Kim, Sung Kun
    • Journal of Information Technology Applications and Management
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    • v.24 no.3
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    • pp.1-21
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    • 2017
  • Business Intelligence (BI) system is a strategic tool that presents an analytical perspective about business and external environments. Even though its strategic value was well known, users often avoid using it or adopt it ceremonially. In fact, over 50 per cent of BI projects worldwide are reported to end in failure. Such an unexpectedly lower success rate has been a key issue in BI studies. In order to enhance a proper use of information systems, MIS field provided a number of theoretical constructs. One example is Goodhue & Thompson's Task-Technology Fit (TTF). In addition, internalization, the degree to which people make their own effort to modify behavior, was recently suggested as another important determinant of use. Though in MIS community both TTF and internalization proved to be a key determinant of system use, there has been not much study aiming to discover antecedents influencing these constructs. In this study we assert that user participation should be highlighted in BI projects. Especially, we emphasize user participation at the phase of feasibility study that is mainly conducted to determine whether a BI system is essentially necessary and practicable. Our research model employs participative feasibility study as a major antecedent for TTF and internalization that consequently will lead to user satisfaction and actual use. This model was empirically tested on 121 BI system users. The result shows that user participation in feasibility study is positively associated with TTF and internalization, each being related to user satisfaction and system use. It implies that, if an organization has BI users get involved in strategic feasibility study phase, the BI system would turn out to fit users' tasks and, furthermore, users would put more efforts spontaneously in order to use it properly.

A Strategy Model for Strengthening Knowledge Creation Capabilities of Korean Foreign Subsidiaries (한국기업 해외자회사의 지식창출 역량 강화를 위한 전략모형)

  • Kim, Min Sook;Kang, Han Gyoun
    • International Area Studies Review
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    • v.16 no.3
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    • pp.209-237
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    • 2012
  • Multinational enterprises(MNEs) try to strengthen their global innovative capabilities by incorporating the foreign subsidiaries' knowledge bases. Foreign subsidiaries play an important role in MNEs' knowledge creation activities. This study develops a strategy model that strengthening the knowledge creation capabilities of Korean firms' foreign subsidiaries. Four strengthening strategy types are derived from three research areas related with center of excellence, subsidiary strategic roles, and knowledge creation capabilities. The strategies that strengthen knowledge creation capabilities are including organizational culture and autonomy reinforcing strategy, subsidiary's absorptive capacity reinforcing strategy, local environment management strategy, and network building strategy. Strategic fit conditions which support the success of each strategy type are also discussed.

Does Brand Orientation Matter? An Empirical Study of Korean SMEs

  • Park, Sang IL;Kim, Mi Jeong
    • Asia Marketing Journal
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    • v.14 no.4
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    • pp.117-142
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    • 2013
  • Brand orientation is a relatively new paradigm in marketing which was first introduced in the 1990s. Since then, an accumulating body of research has addressed the strategic importance of brand orientation. Although there is a growing body of literature on brand orientation, there have been no empirical studies examining the mediation effect of brand orientation on market orientation-performance relationship to date. Moreover, most studies on brand orientation have been carried out in the context of large enterprises. Hence, the aim of this research is to extend the literature and address market orientation, brand orientation, and firm performance against the backdrop of Korean SMEs. The authors empirically investigate the impact of market/brand orientation on organizational performance and the mediating role of brand orientation. They utilize 178 usable responses to test the four research hypotheses. The hypothesized model predicts that there is a positive association among market orientation, brand orientation, and firm performance. It is also expected that brand orientation mediates the relationship between market orientation and organizational performance. The statistical results based on PLS analysis confirm our prediction among the constructs in the research model. The empirical evidence provides significant theoretical and managerial implications for brand orientation among SMEs. The first theoretical implication is that we provide empirical evidence regarding the important role of brand orientation in explaining the multi-trait perspectives of strategic orientation. The second theoretical implication is that the concept of brand orientation can be empirically validated in the context of SMEs. In terms of managerial implications, managers of SMEs should attempt to build a brand-oriented corporate culture or mindset that places brand values and brand norms as the top priority among their company's tasks. In addition, managers should recognize that brand orientation is critical for SMEs as well as large enterprises. In the last section, the authors address limitations of the study and provide directions for further research.

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