Publication:
Operations manager turnover and inventory fluctuations

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URI: https://hdl.handle.net/10016/7542
ISSN: 0925-5273
DOI: 10.1016/S0925-5273(02)00268-2
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operations_tribo_2003_IJPE_ps.pdf (106.93 KB)
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2003-01
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Elsevier
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Abstract
We argue that a recently appointed operations manager deploys a higher variability inventory policy than a high-tenure operations manager does. This contention is supported by the idea that the former manager determines the production schedule by focusing on the current-period demand for information, while the latter also incorporates her expectations over future demand shocks. A second theoretical outcome of this study is that the variability of inventory and of the number of firm's employees are positively correlated, especially in firms with a recently appointed operational manager. Such managers use cojointly inventory and temporary workers to buffer demand shocks more often than high-tenure managers. Empirical support for these propositions was gathered from two databases of Spanish manufacturing firms.
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Operations manager, Turnover, Inventory fluctuations
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International Journal of Production Economics, 2003, vol. 81, nº1, p. 51-58.
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