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Journal Article

Why crowdsourcing fails

Journal of Organization Design 9 (24)
Linus Dahlander, Henning Piezunka (2020)
Subject(s)
Strategy and general management
Keyword(s)
Crowdsourcing, organizational design, innovation
Crowdsourcing—asking an undefined group of external contributors to work on tasks—allows organizations to tap into the expertise of people around the world. Crowdsourcing is known to increase innovation and loyalty to brands, but many organizations struggle to leverage its potential, as our research shows. Most often this is because organizations fail to properly plan for all the different stages of crowd engagement. In this paper, we use several examples to explain these challenges and offer advice for how organizations can overcome them.
Volume
9
ISSN (Online)
2245-408X
Book Chapter

(Nicht-)Finanzielle Renditen auf soziale Investments [(Non-)Financial returns to social investments]

In High Impact Investing: Erfolgsfaktoren für die Finanzierung von Social-Entrepreneurship-Projekten, edited by Bernd Fischl, 69–77. Gräfelfing Munich: Realis Verlag.
Subject(s)
Entrepreneurship; Ethics and social responsibility; Finance, accounting and corporate governance; Strategy and general management
Keyword(s)
Social return on investment, sustainability, high impact investing, social responsibility
Secondary Title
High Impact Investing: Erfolgsfaktoren für die Finanzierung von Social-Entrepreneurship-Projekten
Pages
69–77
ISBN
978-3930048847
Online article

Two steps back? Germany's revised Foreign Intelligence Service Law is still hurting press freedoms

Opinio Juris
Henning Christian Lahmann (2020)
Subject(s)
Information technology and systems
Keyword(s)
Surveillance, constitutional law, human rights, freedom of information, freedom of expression, journalism, disinformation, fake news
The Federal Chancellery recently finished its first draft of the revised Foreign Intelligence Service Law (BND-Gesetz) that has become necessary subsequent to the judgment of the Federal Constitutional Court in May of 2020. While the draft bill contains numerous improvements, some crucial provisions pertaining to the treatment of journalists and their trusted sources remain insufficient. The article analyses some of the problems.
Journal Article

GitLab: Work where you want, when you want

Journal of Organization Design 9 (23)
Prithwiraj Choudhury, Kevin Crowston, Linus Dahlander, Marco S. Minervini, Sumita Raghuram (2020)
Subject(s)
Strategy and general management; Technology, R&D management
Keyword(s)
Organizational design, new forms of organizing, remote work, all remote, virtual organizations, COVID-19
GitLab is a software company that works “all remote” at the scale of more than 1000 employees located in more than 60 countries. GitLab has no physical office and its employees can work from anywhere they choose. Any step of the organizational life of a GitLab employee (e.g., hiring, onboarding and firing) is performed remotely, except for a yearly companywide gathering. GitLab strongly relies on asynchronous coordination, allowing employees to work anytime they want. After highlighting some of the main practices implemented by GitLab to effectively work all remotely and asynchronously, I asked renowned organizational scientists their thoughts on this interesting case and to question the generalizability of the all remote asynchronous model. Understanding whether and under what conditions this model can succeed can be of guidance for organizational designers that are now considering different remote models in response of the COVID-19 shock and its aftermath.
Volume
9
ISSN (Online)
2245-408X
Magazine article

Kriminalität, Sicherheit und Freiheit [Crime, security and freedom]

Informationen zur politischen Bildung 344 (3): 52–61
Henning Christian Lahmann, Philipp Otto (2020)
Keyword(s)
digital transformation, human rights, cyberwar, surveillance, espionage, cybercrime, autonomous weapons systems
Over the past two decades, the progressing digital transformation has brought along a growing number of challenges in the context of security: internet crime, cyberwar and espionage, surveillance and autonomous weapons systems. While increased security measures seem indispensable, they need to be weighed against individual human rights guarantees. This chapter provides an overview of the pertinent questions.
Volume
344
Journal Pages
52–61
Online article

The maverick is a mainstream success story

Forbes
Subject(s)
Human resources management/organizational behavior; Strategy and general management
Keyword(s)
Success, ideology, influence
ISSN (Print)
0015-6914
Journal Article

Warning against recurring risks: An information design approach

Management Science 66 (10): 4359–4919
2018 Best Paper Award
Saed Alizamir, Francis de Véricourt, Shouqiang Wang (2020)
Subject(s)
Health and environment; Management sciences, decision sciences and quantitative methods
Keyword(s)
Information design, Bayesian persuasion game, dynamic programming, statistical decision, global health, disaster management
The World Health Organization seeks effective ways to alert its member states about global pandemics. Motivated by this challenge, we study a public agency’s problem of designing warning policies to mitigate potential disasters that occur with advance notice. The agency privately receives early information about recurring harmful events and issues warnings to induce an uninformed stakeholder to take preemptive actions. The agency’s decision to issue a warning critically depends on its reputation, which we define as the stake- holder’s belief regarding the accuracy of the agency’s information. The agency faces then a trade-off between eliciting a proper response today and maintaining its reputation in order to elicit responses to future events.
We formulate this problem as a dynamic Bayesian persuasion game, which we solve in closed form. We find that the agency sometimes strategically misrepresents its advance information about a current threat in order to cultivate its future reputation. When its reputation is sufficiently low, the agency downplays the risk and actually downplays more as its reputation improves. By contrast, when its reputation is high, the agency sometimes exaggerates the threat and exaggerates more as its reputation deteriorates. Only when its reputation is moderate does the agency send warning messages that fully disclose its private information.
Our study suggests a plausible and novel rationale for some of the false alarms or omissions observed in practice. We further test the robustness of our findings to imperfect advance information, disasters without advance notice, and heterogeneous receivers.
Copyright © 2020, INFORMS
Volume
66
Journal Pages
4359–4919
ISSN (Online)
1526-5501
ISSN (Print)
0025–1909
Journal Article

Forward thinking for sustainable business value: A new method for impact valuation

Sustainability 12 (20): 8420
Herwig Buchholz, Thomas Eberle, Manfred Klevesath, Alexandra Juergens, Douglas Beal, Alexander Balc, Joanna Radeke (2020)
Subject(s)
Ethics and social responsibility
Keyword(s)
Impact valuation, impact assessment, corporate sustainability performance, Sustainable Business Value, SBV model
JEL Code(s)
M14
How can a company commit to maximizing stakeholder value while maintaining financial performance? Companies increasingly have the ambition to provide stakeholder value to their owners and shareholders, employees, consumers, suppliers, partners, the environment, and future generations. However, such companies often face difficulties in demonstrating the value they bring to stakeholders, due to the lack of universal methods for assessing their impact. Besides the practical need to develop a method for impact valuation, we researched the existing literature and discovered the lack of a holistic method to evaluate all impacts of a company using a common currency with flexible adaptations at different levels. We developed a new method called Sustainable Business Value (SBV) to address these gaps and enable companies to evaluate their impacts. We tested the SBV in two pilots. The SBV method differs from currently used methods, including sustainability reporting, sustainability rating and indices, and sustainability accounting. SBV can be used for decision-making, portfolio management, benchmarking, stakeholder communication, investor communication, and business development and also provides a comprehensive perspective of a company’s impact across six standardized dimensions. However, further development and standardization of proxies and cross-industry standards are needed.
Volume
12
Journal Pages
8420
ISSN (Online)
2071-1050
ESMT Working Paper

Queuing systems with rationally inattentive customers

ESMT Working Paper No. 18-04 (R1)
Caner Canyakmaz, Tamer Boyaci (2020)
Subject(s)
Management sciences, decision sciences and quantitative methods
Keyword(s)
Service operations, rational inattention, strategic customers, rational queueing, information costs, system throughput, social welfare
Problem description: Classical models of queueing systems with rational and strategic customers assume queues to be either fully visible or invisible while service parameters are known with certainty. In practice, however, people only have “partial information” on the service environment in the sense that they are not able to fully discern prevalent uncertainties. This is because assessing possible delays and rewards is costly as it requires time, attention, and cognitive capacity which are all limited. On the other hand, people are also adaptive and endogenously respond to information frictions. Methodology: We develop an equilibrium model for a single-server queueing system with customers having limited attention. Following the theory of rational inattention, we assume that customers optimize their learning strategies by deciding the type and amount of information to acquire and act accordingly while internalizing the associated costs. Results: We establish the existence and uniqueness of a customer equilibrium and delineate the impact of service characteristics and information costs. We numerically show that when customers allocate their attention to learn uncertain queue length, limited attention of customers improves throughput in a congested system that customers value reasonably highly, while it can be detrimental for less popular services that customers deem rather unrewarding. This is also reflected in social welfare if the firm's profit margin is high enough, although customer welfare always suffers from information costs. Managerial implications: Our results shed light on optimal information provision and physical design strategies of service firms and social planners by identifying service settings where they should be most cautious for customers' limited attention. Academic/practical relevance: We propose a microfounded framework for strategic customer behavior in queues that links beliefs, rewards, and information costs. It offers a holistic perspective on the impact of information prevalence (and information frictions) on operational performance and can be extended to analyze richer customer behavior and complex queue structures, rendering it a valuable tool for service design.

 


View all ESMT Working Papers in the ESMT Working Paper Series here. ESMT Working Papers are also available via SSRN, RePEc, EconStor, and the German National Library (DNB).

Pages
42
ISSN (Print)
1866–3494
Book Chapter

Die völkerrechtliche Dimension der IT-Sicherheit [The international legal dimension of IT security]

In IT-Sicherheitsrecht, edited by Gerrit Hornung, Martin Schallbruch, Baden-Baden: Nomos.
Henning Christian Lahmann (2020)
Subject(s)
Information technology and systems
Keyword(s)
international law, cybersecurity, united nations, use of force, intervention, sovereignty, internet governance, arms control, cyber operations
The chapter summarises the current state of the application of international law to cyberspace and reviews attempts to find consensus among the community of states. While virtually all states agree that international law applies to state conduct in cyberspace, the 'how' remains a hotly contested issue. The chapter focuses on the prohibition of the use of force, the prohibition of intervention, and the principle of sovereignty and assesses their legal status vis-à-vis cyber operations. It follows a brief treatment of further international efforts to increase transnational cybersecurity, such as internet governance and arms control treaties.
Secondary Title
IT-Sicherheitsrecht
ISBN
978-3-8487-5764-0