Engineering Economist articles from September 1993

Engineering Economist archives from September 1993

Integrating working capital decisions.
September 22, 1993... INTRODUCTION This paper considers the problem of integrating the main components of working capital (WC) decisions into a comprehensive framework in order to study the interrelationships among inventory, procurement, cash discounts, accounts...

The IRR, NPV and payback period and their relative performance in common capital budgeting decision procedures for dealing with risk. (Internal Rate of Return; Net Present Value)
September 22, 1993... INTRODUCTION Risk, no matter how slight, is an element of virtually every capital budgeting decision. Numerous decision procedures have been proposed in the literature and reported in surveys of practitioners for dealing with risk. However,...

Capital rationing under risk: a chance constrained approach using uniformly distributed cash flows and available budgets.
September 22, 1993... INTRODUCTION In economic analysis of a given project, the analyst often uses input parameters which include initial investment amount, annual cash inflows and outflows, applicable interest rate, and project duration. Often, those input...

An economic order quantity model with a random planning horizon.
September 22, 1993... INTRODUCTION There have been extensive discussions in the literature of extensions of the basic Economic Order Quantity (EOQ) Model to improve the practicality of the model. See, for example, Carlson and Rousseau |1~, Cheng |2~, etc. One of...

Decision making and display methods: the case of prescription and practice in capital budgeting.
September 22, 1993... INTRODUCTION Academicians in business and engineering are often perplexed to find that after having prescribed a theoretically optimum technique, practitioners do not always follow their advice. A typical case of divergence between...

A note on evaluating investments in inventory systems: a net present value framework.
September 22, 1993... INTRODUCTION Kim, Philippatos and Chung |1~ studied a method for evaluating investments in various systems using the Discounted Cash Flow (DCF) approach. As pointed out by Roumi and Schnabel |4~, it is an important paper because it holds the...

Engineering Reliability: Fundamentals and Applications.
September 22, 1993... Although it is stated in the preface that this book is not meant to be a compendium on reliability, it is probably the most comprehensive book on the subject that I have seen. I will discuss the content and organization of the book presently, but...

Performance Modeling of Automated Manufacturing Systems.
September 22, 1993... Viswanadham and Narahari's book focuses on the application of analytical models in the evaluation of manufacturing systems. Special emphasis is placed on analysis of the increasingly popular Flexible Manufacturing System. The authors limit the...

Capital Budgeting Under Uncertainty.
September 22, 1993... This book is an interesting and thought-provoking compilation of issues dealing with uncertainty in current capital budgeting methodology. New ground is broken by taking a view that broadens the focus from traditional approaches to consideration...

Estimating and Costing for the Metal Manufacturing Industries.
September 22, 1993... While numerous books have been written on cost estimation principles and techniques, relatively few texts on the topic are applicable to the materials processing and manufacturing sectors. Until now the books by G. Boothroyd and by P. Ostwald...

Exploiting Cycle Time in Technology Management.
September 22, 1993... This book is in the McGraw-Hill Engineering and Technology Management Series. Appropriately so, since it is a book concerned with management. It is quite an interesting book, and I think managers at all levels will be well repaid if they invest...