Article ID: | iaor20021000 |
Country: | United Kingdom |
Volume: | 12 |
Issue: | 1 |
Start Page Number: | 21 |
End Page Number: | 26 |
Publication Date: | Jan 1999 |
Journal: | OR Insight |
Authors: | Bodle Rachel |
Keywords: | performance, simulation: applications |
Managers from a major corporation met with representatives of contractors to whom business-critical activity was out-sourced so that they could review their combined management of performance. Their meeting generated a number of insights as to how they might reverse deterioration in both the relationships between them, and in the performance achieved in the out-sourced activity. However, rather than closing their discussions at the end of the day, the group passed their deliberations over to a modeller who, over the next 24 hours, built a system dynamic representation of their thinking. When the group worked with this relatively simple model, it stimulated further insights and ideas for managing their out-source contracts to the greater satisfaction of both parties.