Information Economics

Information economics can be best described as a shift in the traditional neoclassical assumption of perfect information. Neoclassical economics assumes that all actors have access to perfect information and are rational in their behavior. Over the years, as scholars have realized that the assumptions of neoclassical economics are not an accurate reflection of the real world, other research streams have developed that relax these assumptions. Information economics is one such stream, arguing that actors or parties have differential access to information, which raises the concern of adverse selection and moral hazard when the actors or parties participate in a transaction. Adverse selection occurs when one party has more information about the product or service than the other party and it leads to a less profitable or riskier transaction for the uninformed party. Alternatively, moral hazard occurs after the transaction, where one party has an incentive to engage in risky behavior when the other party bears the cost of failure. Information economics offers insights to both these concerns and offers solutions in the form of signaling and protection mechanisms. Signaling theory, a component of information economics, addresses how one party can credibly convey information to its potential exchange partners to facilitate transactions. The concepts of information asymmetry and signaling have been widely used in economics and business research to understand concepts ranging from game theoretic models of investments to principal–agent relationships to adverse selection problems in transactions. Information economics offers strong foundations for research within management as it helps understand several phenomena related to organizational transactions. For instance, corporate strategy scholars have utilized the predictions stemming from information economics in acquisition research to study target search, selection, signaling behavior, acquisition contracting, premiums, and governance. Information economics also has broad potential to affect firms’ organizational governance and entry mode choices. The following paragraphs will discuss how this theory has been developed and provide a few applications of information economics in strategy and management research.

Siklus Tata Kelola Organisasi Badan Pemusyawaratan di Desa Sepakat, Kabupaten Kutai Kartanegara

The Law on Villages has shifted the position of the Village Consultative Body (BPD) as an element of village administration to become a village institution. As a village institution, the function and position of the BPD include the village legislature. This regulation also demands changes in organizational governance for BPD, particularly in Sepakat Village (Loa Kulu District, Kutai Kartanegara Regency). This encourages researchers to look at and provide recommendations related to the organizational governance of BPD in Sepakat. The approach used in this service is a qualitative-based descriptive analysis. The process here focuses on four elements. In the first topic of discussion is the organizational structure of the BPD in Sepakat Village, the second is the division of the main tasks and functions of each BPD member, the third includes the standard operating procedure (SOP) for implementing activities and the fourth is the supervision of the BPD. Through data collection with in-depth interviews, it designed the analysis model with five units (checking the data got, reducing data, applying data, namely data processing, analyzing, and drawing conclusions). to get an overview of the field. Practical ideas suggest that there should be regular supervision and training of human resources for BPD of Sepakat Village

Governance and Design of Digital Platforms: A Review and Future Research Directions on a Meta-Organization

The burgeoning digital-platforms literature across multiple business disciplines has primarily characterized the platform as a market or network. Although the organizing role of platform owners is well recognized, the literature lacks a coherent approach to understanding organizational governance in the platform context. Drawing on classic organizational governance theories, this paper views digital platforms as a distinct organizational form where the mechanisms of incentive and control routinely take center stage. We systematically review research on digital platforms, categorize specific governance mechanisms related to incentive and control, and map a multitude of idiosyncratic design features studied in prior research onto these mechanisms. We further develop an integrative framework to synthesize the review and to offer novel insights into the interrelations among three building blocks: value, governance, and design. Using this framework as a guide, we discuss specific directions for future research and offer a number of illustrative questions to help advance our knowledge about digital platforms’ governance mechanisms and design features.

The assistance of Village-Owned Enterprises (BUMDes) as a support of the Jembayan Tengah tourism village

Preparation of Jembayan Tengah Village towards an agro-tourism area based on agriculture and a creative economy is one of the priorities. BUMDes DJT Berjaya in collaboration with the Tourism Awareness Group (POKDARWIS) Kampong Seraong to create a sustainable Jembayan Tengah Tourism Village. In terms of organizational governance, BUMDes DJT Berjaya is in crisis, but this organization is open to restructuring management by the community who are committed to advancing the village. This service program is focused on BUMDes management training to improve the governance system and classify business units. In addition, training on the creation and management of village websites was carried out as a first step in digitizing which will work together with kutaicoding.com. The results are an increase in the quality of organizational governance for BUMDes and POKDARWIS as well as the creation of a website that contains profiles, organizational activities and complaint features.

Vertical Integration and Outsourcing Decision Impact On Firm Performance: A Review Based Research on the Influence of Organizational Governance On firm Performance.

This studyexamines that how companies take decision of outsourcing and vertical integration a value-chain activity currently the most complex problem faced by most the organization around the globe and also find the relationship and highlight the role of every activity related to outsourcing and vertical integration. In result of survey and interviews of different small, medium and corporate level companies in KPK, procurement managers and operations managers mostly in view of that outsourcing is thebest way to work in the market, because of the cost reduction, minimumturnaround time and especially in the uncertain market of KPK.

Striving for Enterprise Sustainability through Supplier Development Process

Much research has already been dedicated to the impact of the supply chain, but less attention has been paid to the potential of supplier development (SD) processes in strengthening enterprises’ sustainability performance. This study aimed to indicate how the approach to socially responsible supplier development has changed over the years (2010–2019) in the automotive sector considering the types of practices and the applied areas of social responsibility. The study was based on original and empirical content analysis research of sustainability reports of car producers. To identify changes in the approach to socially responsible supplier development (SRSD) practices, 17 criteria were identified within direct as well as indirect types of supplier development practices. Considering areas of social responsibility, we applied the core subjects of social responsibility based on the ISO 26000 standard. The findings revealed that during the analyzed period, there has been a recursive use of both direct and indirect SD practices by the car producers but to varying degrees. The environmental protection, human rights, labor practices, fair operating practices, and organizational governance issues were the major concerns. When comparing 2010 and 2019, a clear increase was observed within all identified SRSD initiatives. The study outputs and examples of SRSD practices of car producers can act as a role model for automotive suppliers as well as other industries regarding how to incorporate sustainability into supplier development processes.

Evaluation of Information Technology Governance Using the COBIT 5 Framework (Case Study of Integrated Licensing Service Agency Medan City Government)

IT governance is the responsibility of the board of directors and executive management in the organization. This, is an integrated part of organizational governance and contains leadership and organizational structures and processes that ensure that IT organizations contain and support IT organizational strategies and objectives implemented through applications or systems in the organization will provide added value to everyone who uses IT such as staff, managerial and directors, therefore IT is very much needed by organizations because it can provide added value to the organization. Application of IT as a supporting instrument in the administrative process as well as providing useful information for all circles, so that it is in accordance with the goals previously set. This is to ensure the use of information technology that can truly support the expected IT goals while also taking into account the efficient use of resources and risk management as the basis for IT governance. Keywords: Frame work COBIT 5 from ISACA.

Omni-channel integration: the matter of information and digital technology

PurposeThis paper aims to explore how omni-channel data flows should be integrated by specifying what data, omni-channel agents and information and digital technologies (IDTs) should be considered and connected.Design/methodology/approachA multiple case study method is used with 17 British companies. The studies are supported by 68 interviews with the case companies and their consumers, 5 site visits, 4 focus group meetings and the companies’ archival data and documentations.FindingsThis paper provides novel frameworks for omni-channel data flow integration from consumer and business perspectives. The frameworks consist of omni-channel agents, their data transactions and their supporting IDTs. Relatedly, this paper formalizes the omni-channel data flow integration in the forms of horizontal, vertical and total integrations and explores their contributions to the adaptability of omni-channel, as a complex adaptive system (CAS). It also discusses that how inter-organizational governance mechanisms can support data flow integration and their relevant IDT implementations.Research limitations/implicationsThe breadth and depth of the required IDTs for omni-channel integration prove the necessity for omni-channel systems to move toward total integration. Therefore, supported by CAS and inter-organizational governance theories, this research indicates how data flow integration and IDT can transform the omni-channel through self-organization and autonomy capability enhancement.Originality/valueThis research’s recommended frameworks provide a robust platform to formalize data flow integration as the omni-channel's core driver. Accordingly, it moves the literature from a basic description of “what omni-channel is” and provides a novel and significant debate on what specific data should be shared at what levels between which agents of the omni-channel, and with what type of relationship governance mechanism, to assure omni-channel horizontal, vertical and total integrations.

E-GOVERNMENT ORGANIZATIONAL GOVERNANCE, POLICY COMMUNICATION AND DIGITALIZATION OF LAND OWNERSHIP IDENTITY (NETNOGRAPHIC STUDY ON THE ISSUANCE OF ELECTRONIC LAND CERTIFICATES)

The purpose of the research is to obtain an empirical picture of the factors that cause difficulties in implementing public policies based on identity digitalization in e-certificates. The research is based on e-government theory, identity digitization, and policy communication. Netnography research methods were used in a constructive/interpretive paradigm. Data collection was carried out through the ATR Public Group on Facebook on February 24, 2021, March 6 & 8, 2021. Data were analyzed using thematic analysis and netnography models in five steps: defining research questions, selecting and identifying communities, collecting data, analyzing, and reporting. Data verification is supported by theoretical triangulation to obtain better credibility. The research findings cover three aspects. First, the public believes that agrarian reform is considered incomplete. This opinion is characterized by a variety of unresolved land issues. Second, electronic land certificates, which are the entrance to digital identity-based e-government governance, are very risky. Third, the crucial aspect is that the government is considered unskilled in choosing the model of communication channels for the public. Consequently, there are pros and cons to the e-certificate policy, which resulted in the state’s failure to execute the electronic land certificate rule. The novelty of this research is in applying netnography design that is relatively new in qualitative research and focuses on the virtual community study. Netnography has a strong and prospective contemporary relevance, especially in the world impacted by the Covid-19 pandemic. This research recommends the state to carefully consider the public’s response when issuing information technology-based regulations.