nep-ppm New Economics Papers
on Project, Program and Portfolio Management
Issue of 2008‒02‒09
seven papers chosen by
Arvi Kuura
Parnu College - Tartu University

  1. A Genetic Algorithm for the Multi-Mode Resource-Constrained Project Scheduling Problem By V. VAN PETEGHEM; M. VANHOUCKE
  2. Dynamic cost-benefit analysis of large projects: The role of capital and investment costs By Li, Chuan-Zhong; Löfgren, Karl-Gustaf
  3. Public Support to Firm-Level Innovation: an Evaluation of the FONTEC Program By José Miguel Benavente; Gustavo Crespi; Alessandro Maffioli
  5. Quantifying institutional impacts and development synergies in water resource programs : a methodology with applicatio n to the Kala Oya basin, Sri Lanka By Dinar, Ariel; Saleth, R. Maria
  6. Can institutional forces create competitive advantage? An empirical examination of environmental innovation By Berrone, Pascual; Gelabert, Liliana; Fosfuri, Andrea; Gomez-Mejia, Luis R.
  7. Innovation and information acquisition under time inconsistency and uncertainty By Sophie Chemarin; Caroline Orset

    Abstract: In this paper we present a genetic algorithm for the multi-mode resource-constrained project scheduling problem (MRCPSP), in which multiple execution modes are available for each of the activities of the project. In contrast to a conventional genetic algorithm, we apply a bi-population genetic algorithm, which makes use of two seperate populations. We extend the serial schedule generation scheme by introducing a mode optimization procedure.We present detailed comparative computational results, which reveals that our procedure is among the most competitive algorithms for the MRCPSP.
    Keywords: project scheduling, genetic algorithm, multi-mode RCPSP
    Date: 2008–01
  2. By: Li, Chuan-Zhong (Uppsala University, Box 513); Löfgren, Karl-Gustaf (Department of Economics, Umeå University)
    Abstract: Based on an ideal index for de.ating after-project prices, we derive a dynamic cost-bene.t rule for evaluating large projects. We show that, in addition to the conventional income and consumer surplus meaures, the rule also entails an extra term involving capital and investment cost changes.
    Keywords: cost-benefit rules; large projects; capital costs
    JEL: D60 D90 Q20 Q40
    Date: 2008–02–01
  3. By: José Miguel Benavente (INTELIS, Department of Economics, University of Chile); Gustavo Crespi (International Development Research Centre); Alessandro Maffioli (Inter-American Development Bank)
    Abstract: In this paper, we analyzed the effectiveness of a Chilean TDF, the FONTEC program. We found that FONTEC’s subsides partially crowded-out private investments in innovation and they more effectively promoted technological upgrades and process innovations, rather than radical product innovations. In the empirical analysis, we considered four levels of potential impact: input additionality, behavioral additionality, innovative output, and performances. In terms of input additionality, although FONTEC increased the overall R&D budget of the firms, it did not stimulate additional private investment in innovation activities. In terms of behavioral additionality, FONTEC effectively promoted process innovation and induced changes in the innovation strategy of the firms. In terms of innovative outputs, FONTEC did not significantly foster patenting activities and had no significant impact on the creation and adoption of new products. In terms of performances, although FONTEC increased the sales, employment and export, it did not significantly foster productivity. In the absence of randomized experiments, we estimated these impacts through a quasi-experimental approach that combines difference-in-difference and propensity score matching techniques.
    Keywords: FONTEC; Chile; Research and Development; Matching Grants; Policy Evaluation.
    JEL: O30 O38 H43
    Date: 2007–12
  4. By: Giancarlo Corò (Department of Economics, University Of Venice Cà Foscari); Stefano Micelli (Department of Business, University Of Venice Cà Foscari)
    Abstract: This essay examines the situation and the lines of development of industrial districts from the point of view of local systems of innovation. First of all, this article points out to the modernity factors of the district model – which are ascribable to the supply chain economy, to entrepreneurial dynamics and to the importance of geography as a competitive resource – through the analysis of recent contributions of economic literature that examined the emerging organizational models in knowledge economy. Secondly, the outcomes of recent research on leading companies of Italian industrial districts will be presented, looking at three particularly topics of ongoing changes: the process of international opening of the value chain, the technological conditions of competitive advantage, the relationship between strategies and economic performance. Finally, some considerations on the issue of policies will be developed. Such considerations underline the need to re-think the traditional models of local governance of development and suggest to look at the new external district economies, based on service economies, on much more considerable investments in training, technological and cultural activities and, finally, on more aware institutional actions with reference to the association of companies in innovation projects.
    Keywords: Industrial districts, Innovation Systems, Entrepreneurship, Global Value Chain
    JEL: L26
    Date: 2007
  5. By: Dinar, Ariel; Saleth, R. Maria
    Abstract: The success of development programs, including water resource projects, depends on two key factors: the role of underlying institutions and the impact synergies from other closely related programs. Existing methodologies have limitations in accounting for these critical factors. This paper fills this gap by developing a methodology, which quantifies both the roles that institutions play in impact generation and the extent of impact synergies that flows from closely related programs within a unified framework. The methodology is applied to the Kala Oya Basin in Sri Lanka in order to evaluate the impacts of three water-related programs and the roles of 11 institutions in the context of food security. The results provide considerable insights on the relative role of institutions and the flow of development synergies both within and across different impact pathways. The methodology can also be used to locate slack in impact chains and identify policy options to enhance the impact flows.
    Keywords: Economic Theory & Research,Food & Beverage Industry,E-Business,Rural Poverty Reduction,Climate Change
    Date: 2008–01–01
  6. By: Berrone, Pascual (IESE Business School); Gelabert, Liliana (Universidad Carlos III); Fosfuri, Andrea (Universidad Carlos III); Gomez-Mejia, Luis R. (Arizona State University)
    Abstract: We examine institutional pressures as antecedents of environmental innovation. Drawing on institutional theory and a resource-based view of the firm, we argue that regulatory and normative forces influence companies' propensity to innovate in environment-related projects. Furthermore, we suggest that this relationship is contingent on the availability and specificity of the companies' resources. These relationships were tested using environmental patents and citations of 340 publicly-traded companies from polluting industries in the U.S. Results suggest that institutional pressures can be a source of competitive advantage, and regulatory forces are becoming more strongly associated with environmental innovations as the intensity of companies' R&D activities increase.
    Keywords: environmental innovation; institutional theory; resource-based view;
    Date: 2007–11–21
  7. By: Sophie Chemarin (PREG - Pole de recherche en économie et gestion - CNRS : UMR7176 - Polytechnique - X); Caroline Orset (LERNA - Economie des Ressources Naturelles - INRA : UR1081 - CEA : DPG - Université des Sciences Sociales - Toulouse I)
    Abstract: This paper analyzes the impact of hyperbolic discounting preferences on the agent's information acquisition decision who wants to undertake a potential dangerous activity for human health or the environment. We find that below certain discount rate threshold, an agent prefers ignoring information and continuing his project. On the other hand, above this threshold, it is optimal for him to acquire information, and the investment for acquiring the information is increasing with the discount rate. We then conclude that hyperbolic discounting preferences limit the information acquisition. Moreover, we explain that the lack of self-control induced by hyperbolic discounting preferences also restraints the information acquisition. Finally, we analyze the efficiency of the strict liability rule and the negligence rule to motivate the agent to acquire information.
    Date: 2008

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