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It takes three types of thinking to be smart

Katelynn C Hipolito — Tue, 10 Feb 2026 19:07:24 +0000

It takes three types of thinking to be smart Katelynn C Hipolito Tue, 02/10/2026 - 14:07

Balancing and combining different kinds of intelligence may be even more important than how much you know, or how you think.

Do you know what it means to be smart? It’s a more complicated question than it may seem. There are several ways to think about intelligence—as the well-known “book-vs.-street smart” binary illustrates. By most people’s definition, a truly smart person would be someone who not only thinks well but is also able to translate thought into concrete steps toward positive and practical goals. Balancing and combining different kinds of intelligence may be even more important than how much you know, or how you think.

Matthew A. Cronin. Photo by Hannah Patterson/Costello College of Business.

In a recently published technical note, Matthew A. Cronin, professor of management at Costello College of Business at �鶹��Ƶ, and his co-author Lillien M. Ellis of the University of Virginia, deconstruct intelligence into three modalities, which they label the Scientist, the Artist and the Judge (or “SAJ,” pronounced “sage”).

As Cronin says, the Scientist is about “logic and evidence…how we know stuff.” The Artist stands for imagination, the ability to conceive possibilities outside what we are given. The Judge is responsible for weighing the morality, appropriateness, etc. of an action or direction.

Cronin contends that we all have a Scientist, Artist and Judge in our minds, but they are often out of balance. “Most people have one of the three that they like the most, and they have that guy command everybody else. And that’s when you have problems,” he says.

As an example, Cronin’s technical note cites Judge-heavy cybersecurity protocols—they valued security but did not account for how memory worked—that forced users to create passwords that were impossible to remember. People wrote them down near their computers, defeating the whole purpose of security. Adding the Scientist and Artist into the mix resulted in innovation, e.g. long passphrases that more easily stick in the mind without needing to be noted down.

“AI can tell you whatever you want to know. But that doesn’t guarantee it’s correct—that’s the Scientist. It doesn’t tell you what you should do—that’s the Judge. And it will predict only from the most likely outcomes—definitely not the Artist.”

— Matthew A. Cronin, professor of management at Costello College of Business at �鶹��Ƶ

According to the SAJ framework, the Artist-Scientist pairing produces discoveries about the world, by relating novel information or situations to what is already known. Collaboration between Artist and Judge is required to formulate a vision, or an imagined realization of desires or ideals deemed worth pursuing. The Scientist and Judge can work together to build skill, or the productive application of knowledge toward a chosen objective.

“You cycle through these roles,” Cronin says. “We can start with what we want, which is the Judge, and how things work, which is the Scientist—but that’s likely only to maximize what we’re already doing. So we have to find a vision that might be better, but we’re almost certainly not going to be able to get that to work without some discovery.”

Building upon Cronin’s 2018 book (co-authored by Jeffrey Loewenstein) The Craft of Creativity, the SAJ framework formalizes how creativity (the Artist) works alongside other cognitive tools to help us think, work, and live better. “People think of creativity as this magical ability. No, it’s a skill that can be developed. If you can think about a subject, you can think creatively about it,” Cronin says.

By extension, there’s hope for anyone striving to achieve intellectual balance by strengthening their Scientist, Artist, or Judge—whichever might be a bit undernourished. “Step one is just to make people aware,” Cronin says. “They think either thinking is one undifferentiated blob, or the three are totally remote and separated from one another.”

The SAJ framework can also be an active tool for structuring decision-making in a balanced way. “If I have an idea for the way things could be, I know that I need to also know how they actually work…And when you encounter unbalanced thinking, like a bureaucrat who lacks the imagination (i.e. Artist) to conceive that there may be other ways to deal with a situation, you can remind that person how everything we now take for granted was once thought impossible.”

Cronin has been teaching the SAJ framework in his management courses for more than five years, and he feels it will only grow more impactful as AI challenges organizations to define the value-add that human minds can bring to a problem set.

“AI can tell you whatever you want to know,” he says. “But that doesn’t guarantee it’s correct—that’s the Scientist. It doesn’t tell you what you should do—that’s the Judge. And it will predict only from the most likely outcomes—definitely not the Artist.”

In This Story

Matthew A. Cronin

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Are salespeople more effective when they’re being monitored?

Katelynn C Hipolito — Tue, 16 Dec 2025 15:28:57 +0000

Are salespeople more effective when they’re being monitored? Katelynn C Hipolito Tue, 12/16/2025 - 10:28

How employees respond to being under surveillance depends on a number of factors, including how good they are at their jobs.

Digital and online technologies have made our workplace routines faster and easier. They have also made it easier for managers to keep tabs on workers, via monitoring apps designed to capture whether employees are “working hard, or hardly working.”

Brad Greenwood. Photo provided.

But for researchers such as Brad Greenwood and Ioannis Bellos, professors in the information systems and operations management (ISOM) area at �鶹��Ƶ’s Costello College of Business, the jury’s still out on whether the latest worker surveillance tech actually benefits performance, productivity, efficiency, etc., especially in certain key sectors.

“Prior research has identified both harms and benefits stemming from worker surveillance,” they state. “But very little research has been done in the retail or sales space, especially in a real-life sales environment as opposed to the lab.”

In contrast, Bellos and Greenwood’s forthcoming academic paper in Manufacturing and Service Operations Management homes in on one China-based company, an online supplier of baby products (diapers, formula, etc.) to physical retail stores. This B2B company employs hundreds of salespeople to partner directly with small-business owners, not only on promotion and upselling but also helping solve marketing and operational challenges related to the product line. Naturally, the sales force’s job description includes a lot of in-person, on-site collaboration.

The paper was co-authored by Yingda Lu of University of Illinois at Chicago and Liqiang Huang of Zhejiang University.

In 2019, the company issued phones equipped with GPS technology to track the frequency and length of salespeople’s site visits. This was not a secret program; sales teams were told they would be tracked via GPS. Due to a technical glitch, not all salespeople received the phones at the same time. The erratic rollout allowed the research team to draw clean comparisons between monitored and unmonitored employees within the same timeframe.

Almost immediately, monitored salespeople began making more client visits, spending longer at each store and engaging in a wider variety of tasks each time. As a result, overall sales performance—i.e., the gross merchandise value (GMV) of goods sold to clients—rose about 4.75 percent over the pre-surveillance average.

Ioannis Bellos. Photo by Office of University Branding

But that wasn’t the whole story. The GMV for top-performing salespeople went down once they knew they were being monitored, despite the fact that they—like the rest of the sales force—ramped up their sales activity to look good for the GPS. The critical difference was that top performers had successful routines before the GPS came in. Once they started performing for Big Brother, rather than continuing with their familiar working patterns, their outcomes started to suffer.

“If you tell underperformers ‘We’re going to monitor you,’ it lights a fire under them,” Greenwood says. “But if you tell high performers the same thing, they try to guess what they think you want them to do and do that rather than just doing their job.”

The researchers discovered that engaging in more sales calls resulted in diminishing returns for the best salespeople, because they were spreading their skills too thin across a less profitable pool of clients.

Bellos and Greenwood envision that declining commissions and a disrupted work routine for top performers could lead to negative outcomes for the company. For example, some star salespeople could become disengaged and even start looking for work elsewhere.

“When it comes to these sorts of MVPs, anything that harms their relationship with the firm opens the door to some very real negatives,” Greenwood says.

For Greenwood and Bellos, this speaks to the need for companies to be nuanced and strategic in their approaches to worker surveillance. “Whether monitoring works or doesn’t work will have a lot to do with individuals,” they state. “When we treat people like monoliths, it’s hard to understand what’s really going on. You can improve high-level performance while at the same time sub-optimizing other aspects of the firm.”

Sometimes, proper communication and clarity can make monitoring less problematic, the researchers contend. If employees are fully briefed on the goals and uses of monitoring programs, they won’t have to rely on guesswork as they adjust their routines. This is especially true for workers with a diverse and complicated portfolio of tasks, such as the sales force in Bellos and Greenwood’s study.

“In our study, salespeople had a high degree of freedom in that within each store, they have several tasks to perform. Plus, each salesperson services multiple stores,” says Bellos. “Managers and platforms need to factor [task diversity] in on the implementation side.”

“In our study, salespeople had a high degree of freedom in that within each store, they have several tasks to perform. Plus, each salesperson services multiple stores. Managers and platforms need to factor [task diversity] in on the implementation side.”

— Ioannis Bellos, Director of Master of Business Administration and Master of Science in Management Programs, and Business Certificates

In This Story

Brad Greenwood

Ioannis Bellos

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Costello Research Retail

Operations - Costello

ISOM Faculty Research

Would you rather buy from a cuddly chatbot, or the “Lipstick King”?

Jennifer Anzaldi — Tue, 04 Mar 2025 18:03:48 +0000

Would you rather buy from a cuddly chatbot, or the “Lipstick King”? Jennifer Anzaldi Tue, 03/04/2025 - 13:03

In This Story

Si Xie

Historically, entertainment and advertising have worked as a tag team, taking turns soliciting attention from audiences. But our social-media age is blending the two into new, hybrid forms.

Witness livestream shopping, a seamless amalgam of e-commerce and entertainment. In place of one-way messaging delivered by polished pitchpeople, this model employs relatable influencers presenting products for online sale—and chatting with consumers—in real-time sessions that often last several hours.

Famously popular in China, livestream shopping is picking up steam in the United States. In June 2024, as an example, U.S. TikTok netted its first million-dollar livestream, courtesy of Texas-based brand Canvas Beauty. By 2026, live shopping may be responsible for as much as five percent of all e-commerce sales in the U.S., according to industry projections.

For global brands, this means a possible revenue explosion. But for information-systems scholars like Si Xie, assistant professor at Costello College of Business, the global rise of livestream shopping represents an unprecedented research opportunity.

Si Xie

“One of the most important elements of livestream shopping is the interaction,” Xie says. “Livestreams bring all potential buyers into the same virtual room, together with the influencer. People can see which products have been put in the online shopping cart, and which have been purchased.”

Her recently published paper in Production & Operations Management finds that the longer an individual product is showcased in a livestream featuring several different brands, the more revenue it will generate. Yet as product showcase duration goes up, overall revenue from the livestream goes down.

To reach their conclusions, the research team—including co-authors Siddhartha Sharma of Indiana University and Amit Mehra of University of Texas at Dallas—analyzed data from nearly 75,000 livestreams conducted in China during 2021.

For Xie, the findings point to a fundamental conflict between the incentives of livestreamers and the brands they promote. It is in the best interest of third-party influencers to move fairly rapidly between different types of products, but brands will want more airtime devoted to each one.

“People like variety,” Xie explains. “If I watch a livestream and all I see are shirts in different fabrics, I might feel there are not too many choices I can make. However, if you show me a shirt and then a pair of pants, I can make an outfit. There’s a higher probability of my making more purchases, and that’s in line with the third-party livestreamers’ incentives.”

One way to correct these misaligned incentives would be for brands to use the power of the purse to influence the influencers. In China, even the suggestion of such corrupting relationships has caused public scandal. In 2023, for example, top livestreamer Li Jiaqi (nicknamed “The Lipstick King” for his ability to sell beauty products) lost one million followers on social media after lashing out at an online commenter who complained about the high price of an eyebrow pencil made by Chinese cosmetics company Florasis. Li, Florasis’s most prominent brand ambassador, was excoriated for ostensibly putting his relationship with the brand above empathy for financially struggling consumers.

“People were saying, ‘you are trying to be defensive of the product because you get so much interest from selling that pencil’”, Xie says. “Therefore, Li’s credibility was really impaired.”

If Xie’s paper describes how human imperfections can jeopardize livestream shopping, could AI be the answer? Indeed, AI-powered animated chatbots — both paired with human influencers, and serving customers solo during off-peak sales hours — have become commonplace on China’s livestreams. For her PhD dissertation, Xie probed data from more than 70,000 livestreams in China and found that introducing an AI assistant boosted livestream sales by about 18%. But the effect steadily declined over time — and not because the novelty wore off. The rapidly improving algorithmic responses had the unintended consequence of shorter watch durations, which may have reduced impulse buying. Xie’s suggested remedy? “The owner of the gen-AI tools could modify the interaction between the virtual livestreamer and the audience to encourage more engagement, perhaps by adjusting the learning speed to ensure that the audience remains engaged for a longer period."

Xie also suggests that brands and channels replace humanoid avatars with cute, cuddly “mascots” that users just can’t bring themselves to click away from.

Xie says she’s working on future papers that tease insights out of livestream data. “One good thing about this new technology is that it promotes the user to buy using methods we can observe. Livestreamers sell general items like grocery items and clothing, as well as expensive stuff like cars and houses, and you can really see how people behave.”

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Operations - Costello

Costello Research Brand Management

Costello Research ICT

Costello Research Retail

ISOM Faculty Research

GenAI brings us closer to automating investment expertise

Jennifer Anzaldi — Thu, 22 Aug 2024 18:39:34 +0000

GenAI brings us closer to automating investment expertise Jennifer Anzaldi Thu, 08/22/2024 - 14:39

In This Story

Yi Cao

Long Chen

Large language models (LLMs) such as ChatGPT and Google Gemini excel at being trained on large data-sets to generate informative responses to prompts. Yi Cao, an assistant professor of accounting at the Donald G. Costello College of Business at �鶹��Ƶ, and Long Chen, associate professor and area chair of accounting at Costello, are actively exploring how individual investors can use LLMs to glean market insights from the dizzying array of available data about companies.

Long Chen and Yi Cao

Their new working paper, co-authored with Jennifer Wu Tucker of the University of Florida and Chi Wan of University of Massachusetts Boston, examines AI’s ability to identify “peer firms,” or product market competitors in an industry.

Cao explains the significance of selecting peers by relating this process to the real-estate market. “The capital market is similar to the real-estate market in that a firm’s value is partially determined by the value of its peers. In the real-estate market, we price a home based on the value of comparable properties in the neighborhood, or the so-called 'comps.' In our paper, we aim to leverage the power of LLMs to identify comps for evaluating firm value.”

This task is at least as difficult as it is essential. It takes much time, skill and effort to gather, aggregate and manage data to select peers. However, the researchers reasoned that LLMs could do a lot of the heavy lifting of data aggregation and analysis for the individual investors, and produce a list of peers comparable in validity to that identified by human experts.

“The advantage is in the capability to utilize all the information potentially out there so that it is at least performing as well as other traditional methods that can help us investors and researchers,” says Cao.

For the study, Chen and Cao employed Bard from Google, now known as “Gemini,” as their LLM of choice because “Bard has a greater ability to utilize its pre-training data, which is arguably larger than ChatGPT’s and with more parameters,” says Cao.

After defining “product market competition” and forming a prompt for Bard, the researchers instructed Bard to limit its knowledge pool to a specific year within the period 1981-2023, in order to avoid “look-ahead bias,” i.e., future information scrambling the results.

“We need to understand that LLMs are actually a very powerful, new tool, unmatched in their efficiency, ability to process vast amounts of information at a low cost, and accessibility to the general public.”

They limited focal firms to large, publicly listed companies as there is less data out there for smaller or private firms. In all, the data-set comprised more than 300,000 focal firm-years.

On average, the LLM could generate about seven peer firms for a focal firm, a number that is similar to the SEC recommendations on how firms should disclose their segments.

The researchers then compared the LLM’s performance to the lists generated by three human experts for a set of 40 leading computer software companies. The average overlap was a little over 40 percent, greater than expected.

They also compared the AI-identified peer lists to two alternative systems for identifying peers: the federal government’s Standard Industrial Classification (SIC) codes and Text-based Network Industry Classification (TNIC), which compares firms based on linguistic similarities in their 10-K filings. The LLM’s output overlapped significantly with TNIC’s. Plus, the peers identified by the LLM were generally a better fit than those from SIC and TNIC, as their monthly stock returns hewed closer to the focal firm.

But TNIC outperformed the LLM in identifying peers for mid-sized firms within the sample, indicating that it is not a clear-cut case of universal LLM superiority.

“It’s especially beneficial for individual investors—as all the cost concerns that we’re talking about are especially relevant for them,” Chen adds.

Regarding the future of LLM, Chen states, “There are always costs and benefits associated with using generative AI. It is uncertain whether current systems will soon be obsolete.” When asked about the SEC adopting an AI tool for investors, Chen emphasizes that users need to understand the pros and cons of using AI to make their informed judgments “because AI cannot be held responsible for the information it provides or for how it is utilized.”

Chen concludes, “We need to embrace this new technology, but we must recognize that it is not yet in a perfect state. Competition to improve the technology is fierce. Our findings might just represent the lower bound of the effectiveness of the technology.”

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Artificial Intelligence

George �鶹��Ƶ’s government contracting center is helping the Pentagon enter the 21st century

Jennifer Anzaldi — Thu, 30 May 2024 16:17:30 +0000

George �鶹��Ƶ’s government contracting center is helping the Pentagon enter the 21st century Jennifer Anzaldi Thu, 05/30/2024 - 12:17

When the Pentagon attempts to field innovative technology, its contracting decisions are largely dictated by a process that predates personal computing. Known as the Planning, Programming, Budgeting and Execution (PPBE) resourcing system, it betrays its mid-20th-century origins in its extreme emphasis on long-range management and sequential planning over more agile and rapid program execution.

Jerry McGinn

Calls for PPBE reform are nothing new in the halls of the Pentagon, but recent geopolitical threats have contributed to a general recognition within the federal government that change is badly needed to speed the development and acquisition of new military capabilities.

Hence Congress’s formation in 2022 of an independent commission tasked with closely assessing the current process and making specific recommendations for reform.

The Commission on PPBE Reform promptly engaged the Greg and Camille Baroni Center for Government Contracting at the Donald G. Costello College of Business at �鶹��Ƶ as a key research partner. The center was awarded a $645,000 Department of Defense (DoD) research contract consisting of two projects.

First, the research team, headed by the center’s executive director Jerry McGinn, prepared six case studies documenting PPBE’s effect on DoD’s work with both research and development centers and industry to develop and adopt new technologies.

“We set up hypotheses and did background research on the programs,” McGinn says. “Our conclusions were based on a number of interviews with government and industry officials.”

For example, one of the case studies dealt with the Air Force’s Collaborative Combat Aircraft (CCA) program, for the development of AI-piloted combat drones. Five Air Force officials involved in CCA told the Baroni research team that PPBE complicated necessary collaborations with the Navy and other agencies, due to siloed budgeting protocols making it difficult to align priorities and make resource decisions in a timely manner.

Next, the Baroni research team turned their attention to three inter-related subtasks delving into specific rules governing PPBE’s application.

“For this project, we used a mixture of non-public DoD unclassified databases as well as information available to the general public,” says McGinn.

The researchers investigated whether PPBE should vary based on DoD’s acquisition categories or remain the same for all categories, concluding that the categories were similar enough to warrant a unified process. They were also asked to evaluate how military departments and agencies use PPBE’s various acquisition pathways, resulting in a determination that “budget justification documents, particularly for RDT&E (research, development, testing and evaluation), are overly complex, unnecessarily intricate, and lack standardization”. Finally, the researchers performed an extensive analysis of PPBE’s legal underpinnings and the wider governmental implications of reforming the process.

The team’s final report, submitted to the commission early in 2024, contained a consolidated list of dozens of findings and recommendations. In its own report issued in March 2024, the PPBE Reform Commission cited the Baroni team’s research numerous times.

“Our work played a large role in informing the Commission’s findings and reinforcing their policy recommendations,” McGinn noted. “These inputs are today being considered as Congress debates 2025 appropriations and DoD concurrently develops and vets the budget for 2026 and 2027.

Shortly after the release of the Commission’s report, the Greg and Camille Baroni Center for Government Contracting hosted a rollout event at �鶹��Ƶ Square featuring the Commission’s chair, vice-chair and executive director. A series of additional events around PPBE reform are being planned for the summer.

“Our report reflects the strategic vision with which George �鶹��Ƶ established this research center. Our research and analysis inform the federal government as well as the large government contracting industry here in the national capital region. Our relationships and location make the center uniquely situated to benefit policy-makers and entrepreneurs, alike,” McGinn says.

In This Story

John G. (Jerry) McGinn

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Costello College of Business finance professor receives coveted NSF early-career award

Greg Johnson — Thu, 22 Feb 2024 15:43:13 +0000

Costello College of Business finance professor receives coveted NSF early-career award Greg Johnson Thu, 02/22/2024 - 10:43

Jiasun Li, a recently promoted associate professor of finance at the Costello College of Business at �鶹��Ƶ, has received a prestigious CAREER award from the National Science Foundation (NSF).

Jiasun Li

According to the NSF website, the CAREER award is given to “early-career faculty who have the potential to serve as academic role models in research and education and to lead advances in the mission of their department or organization.”

The award totals $711,679 over five years. It will support Li’s ongoing research into the organization of digital services with the rise of emerging technologies.

This project jumps off from recent developments in cloud and decentralized computing. Both technologies present radical new possibilities for off-premise digital services, as evidenced by the rise of numerous cloud service providers as well as blockchain platforms.

However, the presence of strategic incentives may undermine the smooth and reliable functioning of such systems. For example, cloud providers may opt to short-charge clients when it comes to the provision of services, if it is in their best interests to do so. Alternatively, strategic actors may also disrupt the consensus protocols governing decentralized systems.

Li proposes to tackle these problems in an interdisciplinary manner, blending tools from computer science (as the topic is inherently about digital services) and economics (since incentive analysis traditionally falls in the domain of economics). He has finely honed this approach in a series of papers applying analytical models based on economic principles to decentralized systems such as blockchain proof-of-work technologies.

The ultimate goal of Li’s project, as stated in his NSF proposal, is to “guide the efficient organization of digital services for productivity gains, and thus enhance the economic competitiveness of the United States.”

Previously, Li received individual and collaborative grants from �鶹��Ƶ’s Multidisciplinary Research Initiative, the U.S. Department of Homeland Security, and the Ethereum Foundation, among others. He was recently named an inaugural Faculty Fellow of �鶹��Ƶ’s Institute for Digital Innovation (IDIA).

“I am extremely honored to receive an NSF CAREER Award because such grants are traditionally rare in business schools," said Li. "I really appreciate the trust NSF bestowed on me. This recognition is only possible thanks to the tremendous support and many forward-looking initiatives from �鶹��Ƶ and the Costello College of Business, as well as many colleagues across different disciplines who have inspired, guided, and elevated me over the years. I look forward to carrying out the interdisciplinary research projects under the continued support from NSF and the University/Costello College of Business.”

Ajay Vinzé, dean of the Costello College of Business, said, “This prestigious award from NSF is a fitting recognition of Jiasun’s superb/impactful research record and a proud moment for Costello College of Business--Congratulations Jiasun! As the evolution of the digital economy plays out, research like Jiasun’s project is going to provide relevant and actionable insights. I look forward with great excitement to contributions that are forthcoming.”

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In This Story

Jiasun Li

Ajay Vinzé, PhD

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Finance - Costello

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Costello Research ICT

Finance Faculty Research

National Science Foundation

In Silicon Valley, human capital trumps intellectual capital

Marianne Klinker — Mon, 22 Jan 2024 16:23:12 +0000

In Silicon Valley, human capital trumps intellectual capital Marianne Klinker Mon, 01/22/2024 - 11:23

To stay competitive in the war for talent, tech companies must weigh secrecy against specificity when crafting job ads. Are they disclosing too much?

Job postings are a key tool for attracting qualified tech workers. However, companies face a dilemma: on the one hand, they want to provide enough information to attract the right candidates; on the other hand, they want to keep the information about their product development and planning private. Sometimes it is just hard to get both.

Yi Cao

In a recent paper for Contemporary Accounting Research, accounting professor Yi Cao of the Donald G. Costello College of Business at �鶹��Ƶ argues that highly competitive companies are more likely to post specific job requirements in order to find qualified workers even at the cost of potentially leaking proprietary trade secrets. (The paper was co-authored by Shijun Cheng of Shanghai Jiao Tong University, Jenny Wu Tucker of the University of Florida, and Chi Wan of the University of Massachusetts Boston.)

Generally, companies reveal less information during fierce competition to avoid giving their competitors an advantage. However, Cao finds that “when the technological competition is more fierce, companies provide more information into the labor market because they have to do this in order to attract talents, which is the essential driving force of innovation. They're balancing the trade-off between not leaking secrets but not hiring the matching candidates, versus leaking some of the trade secrets while more likely to hire matching employees. So between these two trade-offs, obviously, we find that companies choose to bear the risk of leaking information in order to acquire talents.”

The benefits of quickly attracting desired tech talent outweigh the potential costs of revealing proprietary information.

To examine the relationship between technological competition and skill specificity in job postings for tech positions, the researchers used a novel job posting database provided by Burning Glass Technologies (BGT). They calculated the skill-specificity scores of the job ads based on the level of information disclosed in the skill-requirements of the job postings and the taxonomy of skills, and then aggregated it annually by firm. Cao’s paper is the first to propose a taxonomy theory-based measure of term specificity in the business field. This provides companies with a handy tool for measuring the specificity of textual documents and precisely determining how much information to disclose.

Cao uses the example of a company looking for workers with AI experience to demonstrate how the measure works. The company could post a job listing that simply says, "We are looking for someone to build machine learning tools." This is a relatively vague job posting that would not provide job seekers with detailed information about the specific skills that the company is looking for. The company could also reword the post more specifically, e.g. "We are looking for someone to use Python and decision tree algorithms for credit card risk." Alternatively, they could be even more specific with language like, "We are looking for someone who have experience with random forest algorithms to specifically apply a portfolio level of prediction of credit card defaults." This description provides job seekers with detailed information about the specific tasks and skills that the company is looking for, while at the same time revealing information about existing technology.

Cao found that on average, firms disclose an additional 27 specific skills in their job ads when facing intense technological competition. The results reveal that the benefits of quickly attracting desired tech talent outweigh the potential costs of revealing proprietary information.

The findings did not apply to job advertisements for lower-level non-tech positions, such as food preparation and cleaning staff. However, they were observable for senior non-tech positions, e.g. directors of marketing or finance. These nuances suggest that both tech and managerial talent were valuable enough to motivate a higher degree of disclosure from employers.

Additionally, the effect on disclosure was much stronger for incremental innovators—firms whose patents tended to build on past knowledge, rather than strike out in new technological directions. The researchers speculate that breakthrough innovators would have too much to lose if they were to signal their plans through job postings.

While more detailed job postings can be helpful for finding qualified workers, they also could reveal proprietary information about the company's products and strategies. Cao emphasizes, “[Companies are] basically telling the world what [they’re] trying to create. With higher level of detail you’re trying to describe, you're disclosing more information to potentially everyone. And that information is beneficial in terms of labor demand because it attracts the right employee. But it's a concern in terms of competition because you basically show cards to your opponents.”

As an accounting scholar, Cao is intrigued by the possibilities inherent in the discovery that labor-market pressures can force employers to divulge potentially compromising information. “In financial reporting, we don’t capitalize human capital; we consider it an expense,” he says. “But that’s not necessarily the case when the labor market is tight and when the labor is essential in productivity. Our paper shows how the labor market, product market, and capital market are not segregated, but connected.”

Topics

Costello Research Recruiting

Accounting - Costello

Costello Research Strategic Management

Costello Research Competitive Strategy

Accounting Faculty Research

More Costello College of Business Faculty Research

Online ad fraud is a feature, not a bug
March 20, 2026
Why choosing stuff to share is an ordeal
February 12, 2026
It takes three types of thinking to be smart
February 11, 2026
Are salespeople more effective when they’re being monitored?
January 7, 2026
Environmental sustainability pays off—but mostly for media-savvy firms
December 4, 2025

In This Story

Yi Cao

Elevating impact through innovative research partnerships

Marianne Klinker — Fri, 21 Jul 2023 19:27:11 +0000

Elevating impact through innovative research partnerships Marianne Klinker Fri, 07/21/2023 - 15:27

�鶹��Ƶ School of Business boasts more than 60 full-time, research-active faculty across the accounting, finance, information systems and operations management, management, and marketing areas. In addition to pursuing research questions within their area of specialty, many School of Business scholars team up with peers from other disciplines to tackle complex societal problems.

These include so-called “wicked problems”, e.g. climate change and inequality, that require coordinated interventions because of their multifaceted nature.

Rich Klimoski, School of Business associate dean for research, says, “Business schools do in fact have multidisciplinary roots and are often composed of faculty that can apply expertise from diverse areas of study, including economics, mathematics, statistics, psychology, sociology, law, and others.

“Moreover, because big societal and economic challenges and opportunities are multidisciplinary in nature, business schools are uniquely prepared to contribute to understanding and solving these problems via research.”

Here are just a few examples of how SBUS professors are elevating their real-world impact through multidisciplinary collaboration.

J.P. Auffret

J.P. Auffret directs research partnerships for the School of Business, and the Center for Assurance Research and Engineering (CARE), housed in the College of Engineering and Computing. He will also co-lead (with computer science professor Amarda Shehu) the future Center for Excellence in Government Cybersecurity Risk Management and Resilience, which was founded with significant support from U.S. Representative Gerry Connolly, whose congressional district includes Fairfax, Virginia.

To be headquartered in �鶹��Ƶ Square, this Center-to-be will support and advance cybersecurity leadership and governance across the U.S. federal government by educating executives and middle managers, acting as a strategic partner in cybersecurity and IT modernization efforts, translating state-of-the-art research into federal government practice, collating and disseminating best practices for cybersecurity, and fostering cybersecurity organizational capacity.

Additionally, Auffret is furthering his long-standing local government cybersecurity partnering initiative which originally started as a National Science Foundation project with Virginia Tech professor Angelos Stavrou. As he explains, “Many local governments are quite small, and have limited budgets and resources while facing many of the same cybersecurity technology and organizational challenges as larger local governments. Partnering between local governments and with the states provides a means for enhancing cybersecurity capabilities." 

Lei Gao

Lei Gao, an associate professor of finance, contributes to several multidisciplinary research projects at various funding stages. One proposal, aimed at curbing gun violence, has Gao working alongside researchers from the fields of computer science, statistics and criminology. The team intends to use machine learning and other advanced technologies to discover leading indicators of mass shootings. Gao’s role relates to the economic piece of the puzzle, exploring questions such as whether localized or national economic downturns may be a precursor to mass shootings. “We might be able to provide some insights or early warnings for law enforcement to detect or forecast so that they can go there earlier and try to prevent these tragedies,” Gao says. He is also interested in what happens after mass shootings occur. “When gun violence occurs in a particular area, it can significantly decrease the attractiveness of the area to new businesses and talented individuals, leading to reduced tax revenues and economic consequences. By quantifying these costs, the public can better understand the costs of inaction on gun violence,” Gao says.

Abhishek Ray

Abhishek Ray, an assistant professor of information systems, has teamed up with a �鶹��Ƶ economics professor on a project investigating the online news market. The proposal jumps off from the idea that while democracy depends upon a well-informed citizenry, the internet is known for shunting users into “echo chambers” that reinforce pre-existing political biases. Using innovative techniques from “complex systems science for investigating economic activities and cognition in markets”, Ray aims to show how competition within the news industry drives the political polarization of journalism, and how these shifting levels of bias affect reader engagement. “Digital news has impacted consumers’ political involvement and information-seeking more profoundly than other media,” Ray explains. “This project will design mitigating regulatory frameworks using economics, computational and cognitive science.”

Sarah Wittman

Sarah Wittman, an assistant professor of management, and faculty from �鶹��Ƶ’s Volgenau School of Engineering are developing wearable technologies to empower people with various types of neurodiversity–Autism spectrum disorders, ADHD, etc.–to thrive at work. The project focuses on the retail and hospitality industries, where employment opportunities for neurodiverse people abound. Yet aspects of working life, such as the need to interact with others and complete tasks in a specific order, are frequently problematic for many in these communities. Wearables provide real-time biometric monitoring and simple interventions–e.g., encouraging the wearer to take a five-minute break when their heart rate rises to indicate frustration or agitation. By helping remove obstacles to gainful employment, these devices would create greater financial and emotional independence for the neurodiverse population.

While not a complete list, these examples help illustrate how School of Business scholars are breaking siloes to address problems of national, if not global import. As Klimoski states, “I am absolutely convinced that the kinds of research that will have the greatest likelihood of making an impact upon the world will require the coordination and collaboration of multiple teams made up of researchers from many different disciplines.”

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