A.I. &amp; Innovation - Costello / en Study: Left-handed CEOs are more innovative /news/2025-04/study-left-handed-ceos-are-more-innovative <span>Study: Left-handed CEOs are more innovative</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2025-04-29T22:32:28-04:00" title="Tuesday, April 29, 2025 - 22:32">Tue, 04/29/2025 - 22:32</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--30-70"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/lchenk" hreflang="en">Long Chen</a></div> <div class="field__item"><a href="/profiles/jpark274" hreflang="en">June Woo Park</a></div> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text"><strong>Q: </strong>What do Steve Jobs, Bill Gates and Mark Zuckerberg have in common (besides the obvious)?</span><br><span class="intro-text"><strong>A: </strong>All three belong to a community comprising about 10% of the population—the community of the left-handed.</span><br><br><span class="intro-text">And they’re far from the only business luminaries who are members. Steve Forbes, Oprah Winfrey and Lou Gerstner (of IBM fame) are left-handed, as were John D. Rockefeller, Henry Ford and Ratan Tata.</span><br><br>Of course, this could be a mere coincidence—but perhaps not. The popular belief that left-handers think more creatively—and hence may enjoy an innovative edge in business—has been supported by cognitive neuroscience research, which shows that the left hand is controlled by the brain’s right hemisphere, a region closely associated with creative thinking. However, conflicting findings and limited research evidence prevent broad conclusions about the correlation between creativity and handedness, let alone its potential implications for business leadership.&nbsp;</p> <p>A <a href="https://www.sciencedirect.com/science/article/abs/pii/S2214635025000346?via%3Dihub" target="_blank" title="Learn more">forthcoming research publication</a> by <a href="https://business.gmu.edu/profiles/lchenk" title="Long Chen">Long Chen</a> and <a href="https://business.gmu.edu/profiles/jpark274" title="June Woo Park">June Woo Park</a>, two accounting professors at the Costello College of Business at 鶹Ƶ, constitutes the first rigorous scholarly investigation into whether—and how—handedness plays a role in business innovation.</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-05/long-chen-and-june-woo-park-600x600.jpg?itok=f6juk3za" width="350" height="350" loading="lazy"> </div> </div> <figcaption>June Woo Park and Long Chen</figcaption> </figure> <p>The paper was co-authored by Albert Tsang of Southern University of Science and Technology and Xiaofang Xu of Beijing Technology and Business University.</p> <p>The researchers searched Google for photos and videos of S&amp;P 500 CEOs engaged in activities like writing, throwing, drawing, and eating to determine their dominant hand, if wasn’t already disclosed in published sources. “We looked at pictures of them on the golf course to see how they held their clubs,” Park explains. “We also noted which wrist they wore their watch on; left-handed people often wear it on the right.” When in doubt, they followed up with calls or emails to the respective companies. All in all, they were able to identify the handedness of 1,008 CEOs across 472 companies: 91.4 percent were right-handed, 7.9 percent left-handed, and 0.7 percent mixed.</p> <p>The researchers then looked at the numbers of patents and citations received by the firms from 1992 to 2015. They controlled for firm and industry characteristics, as well as other personal traits known to affect CEO innovativeness (such as age, education, risk preference shaped by experience, birth order, and founder status).</p> <p>In addition, they performed several follow-up tests, including one focused on a narrow subset of firms that unexpectedly switched from a right-handed CEO to a left-handed one due to unforeseeable circumstances such as death or illness.</p> <p>Every variation of the study produced essentially the same result: Firms led by left-handed CEOs demonstrate significantly higher innovative output. The differences were qualitative as well as quantitative. Patents under left-handed leadership were more likely to represent something new under the sun, rather than a spin-off from established technology.&nbsp;</p> <p>The researchers hypothesized that the left-handers’ creative orientation would impact the way they ran their firms, including hiring decisions. Indeed, they found that companies applied for more H-1B and STEM visas when left-handers were at the helm. This emphasis on talent acquisition was not only a key indicator of innovation commitment, but may have also contributed to the firms’ creative advantage.</p> <p>“We find that left-handed CEOs are more likely to hire immigrant inventors in STEM fields, and are also more likely to be inventors themselves,” Chen says. “These findings strengthen our argument by highlighting specific ways in which left-handed CEOs may directly enhance firm innovation.”</p> <p>Still, piling up patents doesn’t automatically produce outcomes that will make customers and shareholders happy. Ultimately, firm performance is what matters in evaluating business success. As additional analyses in the study suggest, firms led by left-handers had higher return on assets and stronger buy-and-hold returns than peers with a right-handed leader.</p> <p>“They outperformed their counterparts,” Park summarizes. “Investors are drawn to innovative firms, and left-handedness is one of the factors investors could use in their stock-picking.”</p> <p>Yet innovative success is complex and multifaceted. Left-handedness is only one potentially meaningful trait among many—a lot more are yet to be explored.</p> <p>“Our results are based on a large sample. But investors should not assume a CEO that is not left-handed lacks innovative potential,” Chen says.</p> <p>For their ongoing and future research projects, Chen and Park are looking beyond left-handedness to explore other deeply personal CEO traits that may have business implications.</p> <p>“We find it fascinating to draw on insights from disciplines outside accounting and finance,” Chen says. “CEO decisions may be shaped by factors like family experiences, genetics, academic background, career paths, and more—really, the full range of experiences that makes them who they are. Understanding that can help market participants better interpret and predict CEOs’ decision-making.”</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21016" hreflang="en">Accounting - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21061" hreflang="en">Strategy - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20986" hreflang="en">Costello Research Careers</a></div> <div class="field__item"><a href="/taxonomy/term/21076" hreflang="en">Costello Research Recruiting</a></div> <div class="field__item"><a href="/taxonomy/term/20966" hreflang="en">Costello Research Evaluating Performance</a></div> <div class="field__item"><a href="/taxonomy/term/20896" hreflang="en">Costello Research Teams</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13081" hreflang="en">Accounting Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> </div> </div> </div> </div> </div> Wed, 30 Apr 2025 02:32:28 +0000 Jennifer Anzaldi 117216 at Nonprofits are in trouble. Could more sensitive chatbots be the answer? /news/2025-03/nonprofits-are-trouble-could-more-sensitive-chatbots-be-answer <span>Nonprofits are in trouble. Could more sensitive chatbots be the answer?</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2025-03-18T10:48:25-04:00" title="Tuesday, March 18, 2025 - 10:48">Tue, 03/18/2025 - 10:48</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--70-30"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">In today’s attention economy, impact-driven organizations are arguably at a disadvantage. Since they have no tangible product to sell, the core of their appeal is emotional rather than practical—the “warm glow” of contributing to a cause you care about. But emotional appeals call for more delicacy and precision than standardized marketing tools, such as mass email campaigns, can sustain. Emotional states vary from person to person—even from moment to moment within the same person.&nbsp;</span></p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-03/chatbottexting.gettyimages.1612845228.jpg?itok=TNTyChZA" width="350" height="349" loading="lazy"> </div> </div> <figcaption>Photo by Getty Images</figcaption> </figure> <p><a href="https://business.gmu.edu/profiles/sbhatt22" title="Siddharth Bhattacharya">Siddharth Bhattacharya</a> and <a href="https://business.gmu.edu/profiles/psanyal" title="Pallab Sanyal">Pallab Sanyal</a>, professors of information systems and operations management at the <a href="https://business.gmu.edu/" title="Costello College of Business | 鶹Ƶ">Donald G. Costello College of Business</a> at 鶹Ƶ, believe that artificial intelligence (AI) can help solve this problem. A well-designed chatbot could be programmed to calibrate persuasive appeals in real time, delivering messaging more likely to motivate someone to take a desired next step, whether that’s donating money, volunteering time or simply pledging support. Automated solutions, such as chatbots, can be especially rewarding for nonprofits, which tend to be cash-conscious and resource-constrained.&nbsp;&nbsp;<br><br>“We completed a project in Minneapolis and are working with other organizations, in Boston, New Jersey and elsewhere, but the focus is always the same,” Sanyal says. “How can we leverage AI to enhance efficiency, reduce costs, and improve service quality in nonprofit organizations?”&nbsp;</p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-03/siddharth-bhattacharya-600x600.jpg?itok=vNWq-mxQ" width="350" height="350" loading="lazy"> </div> </div> <figcaption>Siddarth Bhattacharya. Photo provided</figcaption> </figure> <p>Sanyal and Bhattacharya’s <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4914622" title="Read the article">working paper</a> (coauthored by Scott Schanke of University of Wisconsin Milwaukee) describes their recent randomized field experiment with a Minneapolis-based women’s health organization. The researchers designed a custom chatbot to interact with prospective patrons through the organization’s Facebook Messenger app. The bot was programmed to adjust, at random, its responses to be more or less emotional, as well as more or less anthropomorphic (human-like).</p> <p>“For the anthropomorphic condition, we introduced visual cues such as typing bubbles and slightly delayed response to mimic the experience of messaging with another human,” Sanyal says.&nbsp;&nbsp;<br><br>The chatbot’s “emotional” mode featured more subjective, generalizing statements with liberal use of provocative words such as “unfair,” “discrimination” and “unjust.” The “informational” modes leaned more heavily on facts and statistics.&nbsp;&nbsp;<br><br>Over the course of hundreds of real Facebook interactions, the moderately emotional chatbot achieved deepest user engagement, as defined by a completed conversation. (Completion rate was critical because after the last interaction, users were redirected to a contact/donation form.) But when the emotional level went from moderate to extreme, more users bailed out on the interaction.&nbsp;&nbsp;<br><br>The takeaway may be that “there is a sweet spot where some emotion is important, but beyond that emotions can be bad,” as Bhattacharya explains.&nbsp;</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-03/pallab-sanyal-600x600.jpg?itok=jGydYtbA" width="350" height="350" loading="lazy"> </div> </div> <figcaption>Pallab Sanyal. Photo provided</figcaption> </figure> <p>When human-like features were layered on top of emotionalism, that sweet spot got even smaller. Anthropomorphism lowered completion rates and reduced the organization’s ability to use emotional engagement as a motivational tool.&nbsp;&nbsp;<br><br>“In the retail space, studies have shown anthropomorphism to be useful,” Bhattacharya says. “But in a nonprofit context, it’s totally empathy-driven and less transactional. If that is the case, maybe these human cues coming from a bot make people feel creepy, and they back off.”&nbsp;</p> <p>Sanyal and Bhattacharya say that more customized-chatbot experiments with other nonprofits are in the works. They are taking into careful consideration the success metrics and unique needs of each partner organization.&nbsp;&nbsp;</p> <p>“Most of the time, we researchers sit in our offices and work on these problems,” Sanyal says. “But one aspect of these projects that I really like is that we are learning so much from talking to these people.”&nbsp;&nbsp;<br><br>In collaboration with the organizations concerned, they are designing chatbots that can cater their persuasive appeals more closely to each context and individual interlocutor. If successful, this method would prove that chatbots could become more than a second-best substitute for a salaried human being. They could serve as interactive workshops for crafting and refining an organization’s messaging to a much more granular level than previously possible.&nbsp;&nbsp;<br><br>And this would improve the effectiveness of organizational outreach across the board—a consummate example of AI enhancing, rather than displacing, human labor. “This AI is augmenting human functions,” says Sanyal. “It’s not replacing. Sometimes it’s complementing, sometimes it’s supplementing. But at the end of the day, it is just augmenting.”</p> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/sbhatt22" hreflang="en">Siddharth Bhattacharya</a></div> <div class="field__item"><a href="/profiles/psanyal" hreflang="en">Pallab Sanyal</a></div> </div> </div> </div> <div data-block-plugin-id="inline_block:text" data-inline-block-uuid="c240fc12-3e0b-43bb-abd9-a9191ef79491" class="block block-layout-builder block-inline-blocktext"> </div> <div data-block-plugin-id="inline_block:news_list" data-inline-block-uuid="1fdcc108-546b-482c-a063-0ce1c85f44d1" class="block block-layout-builder block-inline-blocknews-list"> <h2>Related Stories</h2> <div class="views-element-container"><div class="view view-news view-id-news view-display-id-block_1 js-view-dom-id-dfe703cbf1c2d7544c06c8b15776fb95cd651d5e4b72cd33217be5931d6a58f1"> <div class="view-content"> <div class="news-list-wrapper"> <ul class="news-list"> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/ms-accounting-student-leader-receives-pcaob-scholarship" hreflang="en">MS in Accounting student leader receives PCAOB Scholarship</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 29, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/costello-mba-students-are-turning-their-ideas-successful-companies" hreflang="en">Costello MBA students are turning their ideas into successful companies </a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 18, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/are-there-upsides-overboarding" hreflang="en">Are there upsides to “overboarding”?</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 14, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/doing-well-doing-good-theres-framework" hreflang="en">“Doing well by doing good”? 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The sector is unique, however, in that its results are measured not only in business terms but also tangible outcomes for people—often, literal life and death. So are newly acquired technologies actually paying off for patients?</span><br><br><a href="https://business.gmu.edu/profiles/nmenon" title="Learn more">Nirup Menon</a>, a professor of information systems at the<a href="https://business.gmu.edu/" title="Costello College of Business | 鶹Ƶ"> Donald G. Costello College of Business</a> at 鶹Ƶ, says that the answer is “not always.”</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-03/nirup-menon-600x600.jpg?itok=BzOPuhjT" width="350" height="350" loading="lazy"> </div> </div> <figcaption>Nirup Menon</figcaption> </figure> <p>His recently published paper in <a href="https://www.sciencedirect.com/science/article/abs/pii/S0167923625000119" target="_blank" title="Learn more"><em>Decision Support Systems</em></a> tackles the so-called “HIT paradox,” or the widespread perception that health information technologies (HIT) have not yet moved the needle on important outcomes such as productivity, quality of care, and patient safety.<br><br>Menon co-authored the paper with Costello colleagues <a href="https://business.gmu.edu/profiles/adutta" title="Amitava Dutta">Amitava Dutta</a> and <a href="https://business.gmu.edu/profiles/sdas" title="Sidhartha Das">Sidhartha Das</a>.<br><br>Based on comprehensive survey data from approximately 6,000 U.S. hospitals, the research team looked into whether those that adopted Clinical Decision Support Systems (CDSS) saw lower mortality rates for cardiac patients.<br><br>“CDSS is not only for cardiologists,” Menon explains. “It is hospital-based—a system that helps with clinical decision-making. But we know that many cardiac patients may not necessarily have cardiac as their only problem. There are probably decisions being made about them using all kinds of ailments and medications, and so on.”<br><br>The basic idea behind CDSS is to use technology to mine actionable insights from a wealth of patient data, giving clinicians key tools to make informed decisions at the point of care. Theoretically, a hospital with CDSS solutions should be much better equipped to handle complex cases—such as a heart-attack sufferer with diabetes or another comorbidity—in real time than one without.<br><br>However, Menon and his co-authors discovered that when it came to preventing deaths from cardiac emergencies, the impact of CDSS was context-specific. Their paper finds a number of complementary effects suggesting that health care technologies need help from their environment in order to be most effective. For example, the presence of cardiac medical services (CMS), e.g. diagnostic catheterization and electrophysiology, was unsurprisingly associated with lower mortality rates—but CMS combined with CDSS was more impactful than either on its own.<br><br>“The labor force—by which I mean the physician and the entire team of nurses and technicians—should be trained to use this technology appropriately,” Menon summarizes. “You also need real-time integration between CDSS and other IT systems, because if it’s not well-integrated, the provider will not have all the data at their fingertips. If you don’t provide the right inputs into a CDSS, it’s not going to give you the right outputs.”<br><br>Menon points out that the “HIT paradox” isn’t limited to CDSS or any single technology. President Obama’s 2009 economic stimulus package, after all, included tens of billions in financial incentives for health care providers to digitize their patient records. By 2017, 95 percent of U.S. hospitals had adopted electronic patient records. Yet, as Menon tells it, “hospitals are just chugging along. The quality remains the same and the costs are just increasing. Or you might see improvements in one small department. So we are trying to find the variables that create complementarities within large samples.”<br><br>Menon knows, however, that the applications of health care tech can be closely targeted to relatively tiny patient populations, too. Another recent paper of his, published in <a href="https://pubmed.ncbi.nlm.nih.gov/39561358/" target="_blank" title="Learn more"><em>JMIR Medical Informatics</em></a>, uses causal survival forests, a machine-learning algorithmic technique, to determine which of two chemotherapy drugs promoted the most longevity for terminal prostate cancer patients. Taking into account age, race and comorbidity symptoms, their analysis produced an easy-to-use prescription policy tree that, by itself, could extend patients’ lives by almost two months—if the test sample, comprised of 2,886 veterans treated at VA health centers, was representative of the wider patient population.<br><br>“If you go down every branch of the policy tree, the numbers become very small,” Menon says. “It almost becomes like personalized medicine, because you can factor in age, race, gender—although gender didn’t matter in our study—PSA numbers, bilirubin numbers, etc.”<br><br>Menon has ongoing research projects aimed at improving health care through technology, at both the patient level (a la the prostate cancer study) and the ecosystem level (a la the CDSS study). One paper in progress focuses on Covid-19 and how the data-sets research scientists selected for their studies influenced their findings. Another looks at telemedicine’s effects on quality of care.<br><br>“My foray into health care began with my PhD dissertation, which was on IT in hospitals,” Menon says. “At that time, I was working primarily from a hospital administration point of view. As a business school researcher, it seemed logical to stay there. But as you come across more problems, and you read more, you realize that the patient is the center of everything, not the hospital.”</p> <p>&nbsp;</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20906" hreflang="en">Costello Research Health &amp; Well-being at Work</a></div> <div class="field__item"><a href="/taxonomy/term/20911" hreflang="en">Costello Research ICT</a></div> <div class="field__item"><a href="/taxonomy/term/20921" hreflang="en">Costello Research Data Analytics</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13131" hreflang="en">ISOM Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> </div> </div> </div> </div> </div> Tue, 11 Mar 2025 15:55:18 +0000 Jennifer Anzaldi 116066 at Would you rather buy from a cuddly chatbot, or the “Lipstick King”? /news/2025-03/would-you-rather-buy-cuddly-chatbot-or-lipstick-king <span>Would you rather buy from a cuddly chatbot, or the “Lipstick King”?</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2025-03-04T13:03:48-05:00" title="Tuesday, March 4, 2025 - 13:03">Tue, 03/04/2025 - 13:03</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--30-70"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/xie3" hreflang="en">Si Xie</a></div> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">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.</span>&nbsp;<br><br>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.&nbsp;&nbsp;<br><br>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.&nbsp;<br><br>For global brands, this means a possible revenue explosion. But for information-systems scholars like <a href="https://business.gmu.edu/profiles/xie3">Si Xie</a>, assistant professor at <a href="https://business.gmu.edu/" title="Donald G. Costello College of Business | 鶹Ƶ">Costello College of Business</a>, the global rise of livestream shopping represents an unprecedented research opportunity.&nbsp;</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2025-03/si-xie-600x600.jpg?itok=jisa6Vkq" width="350" height="350" loading="lazy"> </div> </div> <figcaption>Si Xie</figcaption> </figure> <p>&nbsp;“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.”&nbsp;<br><br>Her recently published paper in <a href="https://journals.sagepub.com/doi/abs/10.1177/10591478251314455" target="_blank" title="Learn more"><em>Production &amp; Operations Management</em></a> 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.&nbsp;<br><br>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.&nbsp;<br><br>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.&nbsp;<br><br>“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.”&nbsp;<br><br>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) <a href="https://www.shine.cn/news/nation/2309124061/" target="_blank" title="Learn more">lost one million followers on social media</a> 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. &nbsp;&nbsp;&nbsp;<br><br>“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.”&nbsp;<br><br>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."&nbsp;<br><br>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.&nbsp;&nbsp;<br><br>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.”</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20936" hreflang="en">Costello Research Innovation Strategy</a></div> <div class="field__item"><a href="/taxonomy/term/20911" hreflang="en">Costello Research ICT</a></div> <div class="field__item"><a href="/taxonomy/term/21101" hreflang="en">Costello Research Brand Management</a></div> <div class="field__item"><a href="/taxonomy/term/21046" hreflang="en">Costello Research Retail</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13131" hreflang="en">ISOM Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> </div> </div> </div> </div> </div> Tue, 04 Mar 2025 18:03:48 +0000 Jennifer Anzaldi 116026 at George 鶹Ƶ professor furthers impact of telemedicine in Ukraine /news/2025-01/george-mason-professor-furthers-impact-telemedicine-ukraine <span>George 鶹Ƶ professor furthers impact of telemedicine in Ukraine</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2025-01-14T17:39:16-05:00" title="Tuesday, January 14, 2025 - 17:39">Tue, 01/14/2025 - 17:39</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--70-30"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">Ukraine’s health care system has been hit hard amid the ongoing war. Power outages, staffing shortages, and the destruction of hospitals have added up to a drastic reduction in available care for the already-vulnerable population.&nbsp;In a desperate attempt to bridge the gap, Ukraine’s Ministry of Health opened the country to telehealth solutions from overseas. But will these prove to be a successful substitute for at least some necessary services, or turn out to be no better than a tech Band-Aid?</span><br><br>Answering that question is where <a href="https://business.gmu.edu/profiles/mpetryk" title="Mariia Petryk">Mariia Petryk</a>, assistant professor of information systems and operations management at the Costello College of Business at 鶹Ƶ, comes in. In her spare time, she works as volunteer director of analytics for <a href="https://telehelpukraine.com/" target="_blank" title="Learn more.">TeleHelp Ukraine</a> (THU).</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2024-01/mariia-thumb.jpg?itok=8Hho4wRK" width="350" height="350" alt="Mariia Petryk" loading="lazy"> </div> </div> <figcaption>Mariia Petryk</figcaption> </figure> <p>Founded by a cross-disciplinary group of Stanford students shortly after the war’s inception, THU was designed to succeed where other telemedicine initiatives in crisis-affected areas have failed. The founders worked tirelessly to assemble an international volunteer network comprising medical professionals, translators, interpreters and administrative “health navigators.” Aware that medical consultations were only part of the patient journey, THU’s founders sought to address the entire continuum of care.<br><br>Petryk stresses that while the project originated at Stanford, the technical team included “people from Chicago, Boston, other California schools…some very active volunteers were in Australia, South Korea, Canada and other countries.”<br><br>Petryk, herself of Ukrainian descent, was honored to lend her data science expertise to this worthy project. As analytics director, she manages a dozen or so number-crunching volunteers who measured and documented THU’s impact upon Ukraine’s displaced population during the initiative’s first full year.<br><br>As Petryk explains, “The Russian invasion created a humanitarian crisis where a lot of people were internally displaced. And when people relocate to a new place, they don’t know where to go for health care. They also are at higher risk for many issues, including mental health problems. And they don’t know where to turn to treat chronic diseases they may have.”<br><br>THU’s primary focus during its first year was delivering much-needed services to this population of war-ravaged internal exiles.<br><br>Petryk’s analytical work gave rise to a recent case study of THU published in <a href="https://pubmed.ncbi.nlm.nih.gov/39451063/" target="_blank" title="Learn more."><em>Journal of Global Health</em></a>. The paper’s other lead author was Aditya Narayan, a Stanford medical student and THU’s director of implementation and evaluation.<br><br>Their findings describe some impressive early successes. THU facilitated more than 1,200 virtual patient appointments from May 2022 to May 2023 alone. Despite often-chaotic conditions, patient attendance rates were above 70 percent for nine of the 13 months studied. As the first year wore on, the THU team found ways to prevent no-shows<span lang="EN-SG">—</span>for example, employing the popular texting platform Viber to communicate with patients and assigning an individual health navigator to each patient.<br><br>Even more impressively, 96 percent of patients reported that their health complaints were at least partially resolved during their visit.&nbsp;<br><br>The paper argues that aspects of THU’s model could be adapted for use in other humanitarian contexts. In its initial growth phase, THU had access to advanced technological infrastructure and a wide network of medical providers, by dint of its academic origins. This implies that partnerships with academia could be critical to replicating THU’s success outside Ukraine.&nbsp;<br><br>Petryk remains proud of THU’s impact and her role in helping define it. “Based on actual appointments and how much that amount of care would cost at a hospital, THU delivered an estimated $1 million worth of services in its first 13 months,” she says.&nbsp;<br><br>Looking ahead to THU’s future, she says, “I can only wish to see this ‘start-up,’ as it were, go for the IPO.”<br><br><em>For more information and to explore volunteering opportunities, visit </em><a href="https://telehelpukraine.com/" target="_blank" title="Learn more."><em>THU’s website</em></a><em>.</em></p> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/mpetryk" hreflang="en">Mariia Petryk</a></div> </div> </div> </div> <div data-block-plugin-id="inline_block:call_to_action" data-inline-block-uuid="e11e6d90-32b8-4ae4-a99b-b6e571876b22"> <div class="cta"> <a class="cta__link" href="https://business.gmu.edu/"> <h4 class="cta__title">Connect with the Costello College of Business <i class="fas fa-arrow-circle-right"></i> </h4> <span class="cta__icon"></span> </a> </div> </div> <div data-block-plugin-id="inline_block:text" data-inline-block-uuid="ac2340b0-d673-448f-a799-a905f19f74a7" class="block block-layout-builder block-inline-blocktext"> </div> <div data-block-plugin-id="inline_block:news_list" data-inline-block-uuid="9a46ceb0-9455-4553-a049-e250027ed888" class="block block-layout-builder block-inline-blocknews-list"> <h2>Related News</h2> <div class="views-element-container"><div class="view view-news view-id-news view-display-id-block_1 js-view-dom-id-42e59216c3c65ea280fe7ad30186cab95b21f8ad2117ae8ea490462501c04515"> <div class="view-content"> <div class="news-list-wrapper"> <ul class="news-list"> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/barbara-snyder-honored-national-academic-advising-association-excellence-advising" hreflang="en">Barbara Snyder honored by National Academic Advising Association for excellence as an advising administrator</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 30, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/advisors-george-mason-receive-national-academic-advising-association-honors" hreflang="en">Advisors from George 鶹Ƶ receive National Academic Advising Association honors</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 30, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/george-mason-and-fairfax-city-leaders-visit-korea-advance-entrepreneurship" hreflang="en">George 鶹Ƶ and Fairfax City leaders visit Korea to advance entrepreneurship </a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 20, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/inspiring-internship-resume-blossoming-entrepreneur" hreflang="en">An inspiring internship resume for a blossoming entrepreneur</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 13, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/senior-year-champions-kindness" hreflang="en">Senior of the Year champions kindness</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 13, 2025</div></div></li> </ul> </div> </div> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21021" hreflang="en">ESG - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20906" hreflang="en">Costello Research Health &amp; Well-being at Work</a></div> <div class="field__item"><a href="/taxonomy/term/20911" hreflang="en">Costello Research ICT</a></div> <div class="field__item"><a href="/taxonomy/term/20921" hreflang="en">Costello Research Data Analytics</a></div> <div class="field__item"><a href="/taxonomy/term/20916" hreflang="en">Costello Research Digital Platforms</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13131" hreflang="en">ISOM Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/206" hreflang="en">Faculty and Staff News</a></div> <div class="field__item"><a href="/taxonomy/term/17041" hreflang="en">Off the Clock</a></div> <div class="field__item"><a href="/taxonomy/term/1796" hreflang="en">STEM outreach</a></div> </div> </div> </div> </div> </div> Tue, 14 Jan 2025 22:39:16 +0000 Jennifer Anzaldi 115341 at Are U.S. ‘news deserts’ hothouses of corruption? /news/2024-11/are-us-news-deserts-hothouses-corruption <span>Are U.S. ‘news deserts’ hothouses of corruption?</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2024-11-19T11:35:27-05:00" title="Tuesday, November 19, 2024 - 11:35">Tue, 11/19/2024 - 11:35</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--70-30"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">The March 24, 2021 edition of neighborhood newspaper Northeast News, out of Kansas City, Missouri, contained a surprise for its 9,000 subscribers. Where the front-page news should have been, there was a big, blank white space. This was no printer’s error, but a last-ditch cry for help. After 89 years in operation, </span><a href="https://northeastnews.net/pages/" target="_blank" title="Learn more."><em><span class="intro-text">Northeast News</span></em></a><span class="intro-text"> had found itself on the brink of insolvency due to the loss of key advertisers amid the COVID pandemic. The empty front page was designed to remind the community of what it would lose if its only local paper went under.</span><br><br>The gambit went viral, prompting a flood of online donations that is keeping the paper afloat, for now. Ironically, <em>Northeast News</em> owes its existence to the very force that has fueled the more general decline of local journalism in America—the internet.</p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2023-05/brad-greenwood.jpg?itok=Tr3bfzzH" width="350" height="350" alt="Brad Greenwood" loading="lazy"> </div> </div> <figcaption>Brad Greenwood</figcaption> </figure> <p>As advertiser dollars migrated to Facebook and Google, the business model that supported local newspapers for generations came to the edge of collapse. <a href="https://pressgazette.co.uk/news/news-deserts-research-newspapers-closed/" target="_blank" title="Read the article.">Since 2004, more than 2,500 American newspapers have ceased publication</a>—around one-quarter of the total. Overall newspaper circulation has declined by more than half since 1990.<br><br>To be sure, digital alternatives have rushed in to fill the gap, such as citizen-journalist websites, nonprofit news organs, partisan blogs, etc. So, the question represented by the blank front page of <em>Northeast News</em> resonates: What do communities lose when newspapers fold that online journalism startups haven’t (so far, at least) been able to replace?<br><br>In the past, industry observers and researchers have linked community newspaper closure to diminished civic trust and political participation, among other negative effects. New research from <a href="https://business.gmu.edu/profiles/bgreenwo" title="Brad Greenwood">Brad Greenwood</a>, the Maximus Corporate Partner Professor of Business at the <a href="https://business.gmu.edu/" title="Costello College of Business | 鶹Ƶ">Costello College of Business</a> at 鶹Ƶ, builds on this discourse, finding evidence that when local papers topple, political corruption springs up in their wake.<br><br>Greenwood’s paper, coauthored by Ted Matherly of Tulane University, was published in <a href="https://misq.umn.edu/no-news-is-bad-news-the-internet-corruption-and-the-decline-of-the-fourth-estate.html" target="_blank" title="Read the article."><em>MIS Quarterly</em></a>.<br><br>The researchers focused on U.S. federal districts that lost a major daily newspaper during the years 1996 to 2019. They compared the number of corruption charges (bribery, embezzlement, fraud, etc.), defendants, and cases filed in district court before and after the newspaper closure. The results were striking: Overall, the disappearance of a newspaper delivered a 6.9% increase in charges, a 6.8% increase in the number of indicted defendants and a 7.4% increase in cases filed.<br><br>“We looked at federal charges for three reasons. First, the overwhelming amount of statutory enforcement occurs federally. Second, it gives us a uniform definition of what constitutes corruption across every domestic jurisdiction. Finally, and most importantly, federal conviction rates are over 90%,” Greenwood says. “They don’t charge people unless they have a good-faith belief they will prevail at trial.”<br><br>Moreover, post-newspaper corruption cases were more likely to go to trial as opposed to resolving in a plea deal, thus incurring greater public costs.</p> <figure class="quote"> <p>“In an age of misinformation, the solution is not rejecting the professional press, it is embracing it, and ensuring that well-trained and hard-working men and women have both the ability and venue to hold those in power to account."</p> </figure> <p>Greenwood and Matherly also examined whether digital-era upstarts were adequate substitutes for newspapers, in terms of curtailing corruption. They tracked 352 such websites, and found they had no impact on the number of charges, defendants or cases in the districts concerned.&nbsp;<br><br>“While it’s hard to say precisely why we don’t see an effect from online news, there are several candidate explanations. Not only do citizen journalists lack the standing and training to tackle questions of public corruption and elevate discourse in the public square, but many of these sites aren’t even legitimate news vendors,” says Greenwood, referencing what are commonly referred to as “pink slime websites.”<br><br>Greenwood goes on to suggest that the corruption-preventing power of the defunct papers came not necessarily from journalistic acumen, but rather from the ability to elevate the actions bad actors had taken in public discourse, a process journalism researchers refer to as agenda setting.&nbsp;<br><br>Whatever the cause, the ramifications for society are very real. In the Northern District of Illinois alone, corruption-related cases involving more than 1,700 officials cost taxpayers a staggering $550 million per year from 1976 to 2012. The coffers of communities that lose newspapers may suffer more than most, since these cases tend to end up in expensive courtroom proceedings rather than plea deals.<br><br>Further, the study only looks at corrupt officials who got caught. Presumably, there are many more whose corruption went unpunished.<br><br>All told, these findings suggest that community newspapers should not be regarded as just another business model ill-adapted to digital disruption that should be allowed to fail. Their demise comes at significant public cost, financial and otherwise. “In an age of misinformation, the solution is not rejecting the professional press, it is embracing it, and ensuring that well-trained and hard-working men and women have both the ability and venue to hold those in power to account,” Greenwood says.</p> <p>&nbsp;</p> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/bgreenwo" hreflang="en">Brad Greenwood</a></div> </div> </div> </div> <div data-block-plugin-id="inline_block:text" data-inline-block-uuid="3d5916b3-0949-47e4-8cd8-954d8cc30203" class="block block-layout-builder block-inline-blocktext"> </div> <div data-block-plugin-id="inline_block:news_list" data-inline-block-uuid="c2affe88-bbc6-4359-9af1-dee67bf03750" class="block block-layout-builder block-inline-blocknews-list"> <h2>Related Stories</h2> <div class="views-element-container"><div class="view view-news view-id-news view-display-id-block_1 js-view-dom-id-85832364b72e6810307f34b572afc27674c38635afa32099a3500b3255703ace"> <div class="view-content"> <div class="news-list-wrapper"> <ul class="news-list"> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/ms-accounting-student-leader-receives-pcaob-scholarship" hreflang="en">MS in Accounting student leader receives PCAOB Scholarship</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 29, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/costello-mba-students-are-turning-their-ideas-successful-companies" hreflang="en">Costello MBA students are turning their ideas into successful companies </a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 18, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/are-there-upsides-overboarding" hreflang="en">Are there upsides to “overboarding”?</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 14, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/doing-well-doing-good-theres-framework" hreflang="en">“Doing well by doing good”? 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Costello College of Business</span></a><span class="intro-text"> at 鶹Ƶ, and </span><a href="https://business.gmu.edu/profiles/lchenk" title="Long Chen"><span class="intro-text">Long Chen</span></a><span class="intro-text">, 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.</span></p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2024-09/iwi_long-chen-yi-cao_2024_600x600.jpg?itok=SPtRgMwk" width="300" height="300" alt="Long Chen and Yi Cao" loading="lazy"> </div> </div> <figcaption>Long Chen and Yi Cao</figcaption> </figure> <p>Their new <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4761624" target="_blank" title="Learn more.">working paper</a>, 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.</p> <p>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.”</p> <p>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.&nbsp;</p> <p>“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.</p> <p>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.&nbsp;</p> <p>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.</p> <p>“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.”</p> <p>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.&nbsp;</p> <p>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.&nbsp;</p> <p>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. &nbsp;</p> <p>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.</p> <p>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.</p> <p>“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,” Cao notes.&nbsp;</p> <p>“It’s especially beneficial for individual investors—as all the cost concerns that we’re talking about are especially relevant for them,” Chen adds.</p> <p>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.”&nbsp;</p> <p>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.”</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21016" hreflang="en">Accounting - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20936" hreflang="en">Costello Research Innovation Strategy</a></div> <div class="field__item"><a href="/taxonomy/term/20981" hreflang="en">Costello Research SEC/PCAOB</a></div> <div class="field__item"><a href="/taxonomy/term/20951" hreflang="en">Costello Research Private Funds</a></div> <div class="field__item"><a href="/taxonomy/term/21036" hreflang="en">Costello Research Market Efficiency</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13081" hreflang="en">Accounting Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> <div class="field__item"><a href="/taxonomy/term/4656" hreflang="en">Artificial Intelligence</a></div> </div> </div> </div> </div> </div> Thu, 22 Aug 2024 18:39:34 +0000 Jennifer Anzaldi 113821 at The NYPD gave officers iPhones. Here’s what we learned about race and policing /news/2024-06/nypd-gave-officers-iphones-heres-what-we-learned-about-race-and-policing <span>The NYPD gave officers iPhones. Here’s what we learned about race and policing</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2024-06-04T12:50:43-04:00" title="Tuesday, June 4, 2024 - 12:50">Tue, 06/04/2024 - 12:50</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--30-70"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:field_associated_people" class="block block-layout-builder block-field-blocknodenews-releasefield-associated-people"> <h2>In This Story</h2> <div class="field field--name-field-associated-people field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">People Mentioned in This Story</div> <div class="field__items"> <div class="field__item"><a href="/profiles/bgreenwo" hreflang="en">Brad Greenwood</a></div> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">The controversy about biased policing seems to draw endless fuel from race-based differences in public perception. Simply put, the vast majority of White citizens in the United States believe the police are doing a good job, including on issues of racial equality, while a similar percentage of Black citizens </span><a href="https://www.pewresearch.org/social-trends/2016/09/29/the-racial-confidence-gap-in-police-performance/#wide-racial-gaps-in-views-of-police-performance" title="Learn more."><span class="intro-text">hold the opposite opinion</span></a><span class="intro-text">. And while a growing number of studies have indicated persistent patterns of racial discrimination in policing, an emergent concern among scholars is that the data these papers rely on are also subject to baked-in biases, since they often derive from officers’ self-reports of their own behavior.</span></p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2023-05/brad-greenwood.jpg?itok=Tr3bfzzH" width="350" height="350" alt="Brad Greenwood" loading="lazy"> </div> </div> <figcaption>Brad Greenwood</figcaption> </figure> <p>Enter <a href="https://business.gmu.edu/profiles/bgreenwo" title="Learn more.">Brad Greenwood</a>, professor of information systems and operations management at the <a href="https://business.gmu.edu/" title="Costello College of Business | 鶹Ƶ">Donald G. Costello College of Business</a> at 鶹Ƶ. One of his research interests lies in how digital technologies are bringing unprecedented transparency to police practices. For example, Greenwood’s 2022 paper documented how the introduction of body-worn cameras for the New York Police Department (NYPD) resulted in a significant reduction in abuse-of-authority complaints.&nbsp;<br><br>His latest work on policing is forthcoming in <em>Proceedings of the National Academy of Sciences</em>. Along with Gordon Burtch from Boston University and Jeremy Watson from the University of Minnesota, Greenwood examined the recent rollout of iPhones across the NYPD, which included a series of digital tools designed to replace the handwritten memo books officers previously relied on. Instead of scribbling in the physical books, which NYPD officers were required to hang onto even into retirement, officers could log their activities directly into a centralized database maintained by the NYPD. These detailed digital records shed fresh light on how cops spend their time—and attention—on the beat.&nbsp;<br><br>The researchers tracked data on NYPD stops and complaints in 2017 and 2018, the period when iPhones were being rolled out across precincts in New York City. A curious pattern emerged. There was an 18% increase in reported stops after a precinct received iPhones, which would be consistent with the digital tools making it easier for officers to report a citizen interaction. Further, the researchers discovered that this increase resulted in neither more arrests nor more complaints from the public. It wasn’t, therefore, that the phones were somehow causing the police to stop people more often, but rather that so-called “unproductive stops”—those leading to no further action—were being reported more often.<br><br>However, when breaking the results down across White and non-White citizens, the researchers found that unproductive stops involving non-White citizens were entirely responsible for the increase. In other words, the observed changes were based on police encounters with non-White members of the public, that would likely have gone unreported in the days of pen and paper. More specifically, after switching to the smartphone system, officers logged 22% more stops involving non-White citizens, while the number of reported stops of White citizens remained unchanged. These are statistical averages—the pattern was more marked in high-crime neighborhoods and those with a greater proportion of non-White residents.<br><br>Greenwood offered an interpretation of the finding: “The concern here is that we have an underreporting, which is concentrated in certain groups and means that we need to be cautious when interpreting prior work. On the one hand, it opens the door to bias in police interactions with civilians being worse than initially anticipated, at least based on the frequency of stops. On the other hand, it could mean that older data doesn’t accurately reflect the likelihood of an arrest once a stop occurs. And we need to be doubly cautious, because we don’t know if officers are reporting stops more frequently just because it is easier, or for some other reason.”&nbsp;<br><br>Greenwood cautions against making sweeping conclusions based on the study. “The only thing we know for sure is that more and deeper work is needed by scholars and policy makers to ensure transparency between law enforcement and the people they are charged to protect,” he said.</p> <p>On the whole, however, the study raises the possibility that race-based disparities in policing are not only very real, but may have been underestimated thus far because of reporting gaps.<br><br>As police officers are not obligated to document all civilian interactions, their decisions regarding what—and what not—to report can be biased. The introduction of new technology, as in the case of the NYPD, can help counter such biases, but is not the only avenue worth pursuing. The researchers recommend that police departments “investigate the appropriate organizational complements (i.e., policies and procedures) necessary to uncover and eliminate such biases.”</p> <p><br>&nbsp;</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21021" hreflang="en">ESG - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/20911" hreflang="en">Costello Research ICT</a></div> <div class="field__item"><a href="/taxonomy/term/21091" hreflang="en">Costello Research Cybersecurity</a></div> <div class="field__item"><a href="/taxonomy/term/20921" hreflang="en">Costello Research Data Analytics</a></div> <div class="field__item"><a href="/taxonomy/term/20916" hreflang="en">Costello Research Digital Platforms</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13131" hreflang="en">ISOM Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> <div class="field__item"><a href="/taxonomy/term/20301" hreflang="en">impact fall 2024</a></div> </div> </div> </div> </div> </div> Tue, 04 Jun 2024 16:50:43 +0000 Jennifer Anzaldi 112411 at George 鶹Ƶ faculty are tackling cybersecurity’s talent pipeline problem /news/2024-05/george-mason-faculty-are-tackling-cybersecuritys-talent-pipeline-problem <span>George 鶹Ƶ faculty are tackling cybersecurity’s talent pipeline problem</span> <span><span>Jennifer Anzaldi</span></span> <span><time datetime="2024-05-10T13:01:06-04:00" title="Friday, May 10, 2024 - 13:01">Fri, 05/10/2024 - 13:01</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--70-30"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">If you’re a cybercriminal, the latest news on cybersecurity talent shortfalls should put a smile on your face. For example, </span><a href="https://www.isaca.org/-/media/files/isacadp/project/isaca/resources/infographics/isaca_state_of_cyber_2023_global_infographic_final.pdf"><span class="intro-text">the majority of cybersecurity leaders report</span></a><span class="intro-text"> that their teams are understaffed, and they have problems retaining qualified professionals.</span><br><br>But for <a href="https://business.gmu.edu/profiles/nmenon">Nirup Menon</a>, a 鶹Ƶ professor of information systems and operations management (ISOM), and <a href="https://business.gmu.edu/profiles/bngac">Brian Ngac</a>, an instructor in the ISOM area, this workforce challenge is a golden career opportunity for the young people of Northern Virginia and the Washington, D.C., area.</p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2024-05/ngac_and_menon_golf_600x600.jpg?itok=iRijGNjV" width="350" height="350" alt="Nirup Menon and Brian Ngac" loading="lazy"> </div> </div> <figcaption>Nirup Menon and Brian Ngac</figcaption> </figure> <p>The pair recently won a two-year award from the <a href="https://www.nist.gov/">National Institute of Standards and Technology</a> (NIST), an agency within the U.S. Department of Commerce, to create unique experiential learning opportunities and workshops designed to enhance cybersecurity education and workforce development.<br><br>Working closely with industry partners <a href="https://mobius-llc.com/">Mobius Consulting</a> and <a href="https://www.ida.org/">Institute for Defense Analyses (IDA)</a>, Menon and Ngac will recruit and help select students to work on actual cybersecurity projects. “They need to have taken some fundamental cyber class ahead of time,” Menon clarifies. “We want students with a commitment to the field. It allows you to get experience but it’s also competitive.”<br><br>Throughout the 12-week projects, students will receive mentoring both from the industry participant and from business faculty. “We run it in an agile scrum-like manner,” Ngac says. “Every week, we ask ‘What did you do?’ ‘What are you going to do?’ ‘What are the challenges that are impacting your work?’” If students run into trouble, faculty mentors can work with industry managers to help them get back on track.<br><br>“We’re trying to build not just the cyber workforce but the skills as well,” Ngac says.<br><br>Menon and Ngac have developed a specialty in this type of hands-on learning, which they have dubbed the Professional Readiness Experiential Program (PREP). More than 100 Virginia-based undergraduates and 20 industry participants have participated in PREP, which includes projects funded by two <a href="https://cyberinitiative.org/">Commonwealth Cybersecurity Initiative</a>&nbsp;Experiential Learning grants in collaboration with Mobius and IDA.&nbsp;<br><br>“PREP not only focuses on cybersecurity projects, but also works on many business process improvement projects,” says Ngac. "Honors and high-performing ISOM students work on real-world projects with industry participants on identifying technical solutions to business challenges through rigorous research, modelling, analysis, quantification, risk management, implementation planning, and, at times, execution.”<br><br><span lang="EN-SG">The NIST award also incorporates workshops for students who are new to cybersecurity but interested in exploring it as a career option. Workshops will be launched in collaboration with&nbsp;</span><a href="https://www2.trinitydc.edu/" target="_blank" title="Trinity Washington University"><span lang="EN-SG">Trinity Washington University</span></a><span lang="EN-SG">&nbsp;(TWU), a PBI (predominantly black institution) and HSI (Hispanic-serving institution) whose College of Arts and Sciences is women-only. For a field such as cybersecurity, which continues to face diversity challenges, the participation of organizations such as TWU is essential.</span><br><br>“We want to bring in students who have not thought of cybersecurity as a field, because they think it’s all engineering, hacking and coding,” Menon says. The workshops will emphasize the variety of functions that are integral to the space, such as management and auditing, in addition to engineering.&nbsp;</p> <figure role="group" class="align-right"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/medium/public/2024-05/ngac_and_menon_golf_group_600x1300.jpg?itok=uNzuuKi8" width="560" height="252" alt="Students and industry participants in the current CCI Experiential Learning Projects" loading="lazy"> </div> </div> <figcaption>Students and industry participants in the current CCI Experiential Learning Projects</figcaption> </figure> <p><br>“It’s not just tech, there may be creativity involved in anticipating scams and threats,” Ngac explains. “These are different things we’ll be bringing up in the workshop in terms of roleplaying what cybercriminals might do, or how someone might try to socially engineer an attack.”<br><br>Unlike a standard grant, the NIST award is structured as a cooperative agreement in which the funding agency will collaborate in shaping and delivering programs as they evolve.<br><br>“The advantage of working with NIST is that top people work there. They are the standards body, so they have seen and surveyed a lot of industry,” Menon says. He also lauds NIST’s high-level view of cybersecurity and its implications. “They’re not just looking at technology but also public policy, human factors, etc. It’s a holistic approach.”<br><br><em>Organizations interested in being an industry participant (whether they have cybersecurity-focused or business process improvement-focused projects) with PREP are encouraged to contact </em><a href="mailto:bngac@gmu.edu"><em>Brian Ngac</em></a><em>.</em></p> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="inline_block:call_to_action" data-inline-block-uuid="07a7b036-4377-4afd-9d70-f66f9b300e24"> <div class="cta"> <a class="cta__link" href="/admissions-aid"> <h4 class="cta__title">Join the 鶹Ƶ Nation <i class="fas fa-arrow-circle-right"></i> </h4> <span class="cta__icon"></span> </a> </div> </div> <div data-block-plugin-id="inline_block:text" data-inline-block-uuid="4731e68e-8e07-4ddf-a91b-b3f486139b82" class="block block-layout-builder block-inline-blocktext"> </div> <div data-block-plugin-id="inline_block:news_list" data-inline-block-uuid="d25831bc-6cce-452d-b805-bb45b8714043" class="block block-layout-builder block-inline-blocknews-list"> <h2>Related News</h2> <div class="views-element-container"><div class="view view-news view-id-news view-display-id-block_1 js-view-dom-id-1a9a0b454d8791841f2974785cd4093520c56b9332594d41a0fc22ad4884c3f8"> <div class="view-content"> <div class="news-list-wrapper"> <ul class="news-list"> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/george-mason-part-northern-virginias-first-innovation-district-launched" hreflang="en">George 鶹Ƶ is part of Northern Virginia’s first innovation district, launched with transformational grant from GO Virginia</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 1, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/advisors-george-mason-receive-national-academic-advising-association-honors" hreflang="en">Advisors from George 鶹Ƶ receive National Academic Advising Association honors</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 30, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-05/new-mason-career-academy-gives-students-and-displaced-workers-immediate-access" hreflang="en">New 鶹Ƶ Career Academy gives students and displaced workers immediate access to industry certificates and micro-credentials </a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">May 22, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-04/generous-gift-will-name-school-computing-support-scholarships" hreflang="en">Generous gift will name School of Computing, support scholarships</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">April 28, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-04/computer-science-major-uses-multiple-internships-prep-dream-career-tech" hreflang="en">Computer science major uses multiple internships to prep for dream career in tech </a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">April 10, 2025</div></div></li> </ul> </div> </div> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21091" hreflang="en">Costello Research Cybersecurity</a></div> <div class="field__item"><a href="/taxonomy/term/20911" hreflang="en">Costello Research ICT</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13131" hreflang="en">ISOM Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/15126" hreflang="en">workforce</a></div> <div class="field__item"><a href="/taxonomy/term/4186" hreflang="en">Commonwealth Cyber Initiative (CCI)</a></div> <div class="field__item"><a href="/taxonomy/term/336" hreflang="en">Students</a></div> <div class="field__item"><a href="/taxonomy/term/19536" hreflang="en">National Institute of Standards and Technology NIST</a></div> <div class="field__item"><a href="/taxonomy/term/4066" hreflang="en">Tech Talent Investment Program (TTIP)</a></div> <div class="field__item"><a href="/taxonomy/term/17356" hreflang="en">Strategic Direction</a></div> </div> </div> </div> </div> </div> Fri, 10 May 2024 17:01:06 +0000 Jennifer Anzaldi 112546 at In Silicon Valley, human capital trumps intellectual capital /news/2024-01/silicon-valley-human-capital-trumps-intellectual-capital <span>In Silicon Valley, human capital trumps intellectual capital</span> <span><span>Marianne Klinker</span></span> <span><time datetime="2024-01-22T11:23:12-05:00" title="Monday, January 22, 2024 - 11:23">Mon, 01/22/2024 - 11:23</time> </span> <div class="layout layout--gmu layout--twocol-section layout--twocol-section--70-30"> <div class="layout__region region-first"> <div data-block-plugin-id="field_block:node:news_release:body" class="block block-layout-builder block-field-blocknodenews-releasebody"> <div class="field field--name-body field--type-text-with-summary field--label-visually_hidden"> <div class="field__label visually-hidden">Body</div> <div class="field__item"><p><span class="intro-text">To stay competitive in the war for talent, tech companies must weigh secrecy against specificity when crafting job ads. Are they disclosing too much?</span></p> <p>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.&nbsp;</p> <figure role="group" class="align-left"> <div> <div class="field field--name-image field--type-image field--label-hidden field__item"> <img src="/sites/g/files/yyqcgq291/files/styles/small_content_image/public/2023-09/yi-cao.jpg?itok=pMELp6ZH" width="278" height="350" alt="Yi Cao" loading="lazy"> </div> </div> <figcaption>Yi Cao</figcaption> </figure> <p>In a recent paper for <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4150829" target="_blank" title="Read the article.">Contemporary Accounting Research</a>, accounting professor <a href="https://business.gmu.edu/profiles/ycao25" title="Yi Cao">Yi Cao</a> of the <a href="https://business.gmu.edu" title="Costello College of Business | 鶹Ƶ">Donald G. Costello College of Business at 鶹Ƶ</a> 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.)&nbsp;</p> <p>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.”</p> <figure class="quote"> <p>The benefits of quickly attracting desired tech talent outweigh the potential costs of revealing proprietary information.</p> </figure> <p>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.</p> <p>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.</p> <p>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.&nbsp;</p> <p>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.&nbsp;</p> <p>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.&nbsp;</p> <p>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.”&nbsp;&nbsp;</p> <p>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.”&nbsp;</p> </div> </div> </div> <div data-block-plugin-id="field_block:node:news_release:field_content_topics" class="block block-layout-builder block-field-blocknodenews-releasefield-content-topics"> <h2>Topics</h2> <div class="field field--name-field-content-topics field--type-entity-reference field--label-visually_hidden"> <div class="field__label visually-hidden">Topics</div> <div class="field__items"> <div class="field__item"><a href="/taxonomy/term/21026" hreflang="en">A.I. &amp; Innovation - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21016" hreflang="en">Accounting - Costello</a></div> <div class="field__item"><a href="/taxonomy/term/21076" hreflang="en">Costello Research Recruiting</a></div> <div class="field__item"><a href="/taxonomy/term/20891" hreflang="en">Costello Research Strategic Management</a></div> <div class="field__item"><a href="/taxonomy/term/20936" hreflang="en">Costello Research Innovation Strategy</a></div> <div class="field__item"><a href="/taxonomy/term/20976" hreflang="en">Costello Research Competitive Strategy</a></div> <div class="field__item"><a href="/taxonomy/term/12501" hreflang="en">Costello College of Business News</a></div> <div class="field__item"><a href="/taxonomy/term/13796" hreflang="en">Costello College of Business Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/13081" hreflang="en">Accounting Faculty Research</a></div> <div class="field__item"><a href="/taxonomy/term/271" hreflang="en">Research</a></div> </div> </div> </div> </div> <div class="layout__region region-second"> <div data-block-plugin-id="inline_block:call_to_action" data-inline-block-uuid="f1455157-ed78-4217-8144-22081810a3c0"> <div class="cta"> <a class="cta__link" href="https://business.gmu.edu/faculty-and-research/highlights"> <h4 class="cta__title">More Costello College of Business Faculty Research <i class="fas fa-arrow-circle-right"></i> </h4> <span class="cta__icon"></span> </a> </div> </div> <div data-block-plugin-id="inline_block:news_list" data-inline-block-uuid="263f51eb-88e1-4117-b0dc-1ea42b7729c3" class="block block-layout-builder block-inline-blocknews-list"> <div class="views-element-container"><div class="view view-news view-id-news view-display-id-block_1 js-view-dom-id-002fb1d9952c574de75b4a3786302c26214ddb8c4de94ccbaf379d3e10b89290"> <div class="view-content"> <div class="news-list-wrapper"> <ul class="news-list"> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/are-there-upsides-overboarding" hreflang="en">Are there upsides to “overboarding”?</a></span></div><div class="views-field views-field-field-publish-date"><div class="field-content">July 14, 2025</div></div></li> <li class="news-item"><div class="views-field views-field-title"><span class="field-content"><a href="/news/2025-07/doing-well-doing-good-theres-framework" hreflang="en">“Doing well by doing good”? 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