Article ID: | iaor20003349 |
Country: | Netherlands |
Volume: | 118 |
Issue: | 2 |
Start Page Number: | 295 |
End Page Number: | 314 |
Publication Date: | Oct 1999 |
Journal: | European Journal of Operational Research |
Authors: | Shapiro Jeremy F. |
Keywords: | programming: mathematical |
This paper examines connections between data-driven models for analyzing a firm's stategic plans, which use activity-based costing and mathematical programming, and the resource-based view of the firm. After brief reviews of the three disciplines, extensions of activity-based costing methods to mathematical programming models for strategic resource planning are discussed. Applications of these models to supply chain planning in a multi-national food manufacturer, a speciality chemicals company, and a wholesaling/retailing company are presented. The paper concludes by using concepts from the resource-based view of the firm to interpret optimal solutions from mathematical programming models. Extensions to strategic planning under uncertainty using stochastic programming are also discussed briefly.