Real options for Vendor Selection
Jeremy Eckhause (Ph.D. Candidate, CEE UMD),Dr. Steven A. Gabriel, and Dr. Danny Hughes have developed a stochastic dynamic programming model to assist in vendor selection for government agencies. The SDP model maximizes the chance that at least one of the vendors will succeed by selecting which vendors to fund for each year in the time horizon.
Selected Recent Papers
- J.M. Eckhause, D.R. Hughes, S.A. Gabriel, " Evaluating Real Options for Mitigating Technical Risk in Public Sector R& D Acquisitions," International Journal of Project Management, May 2008, accepted.
Selected Recent Presentations
- Institute for Operations Research and the Management Sciences (INFORMS) Annual Meeting, Nov. 5-8, 2006, Pittsburgh, PA. “Evaluating Real Options for Mitigating Risk in Government R&D Acquisitions,” Eckhause, J., Hughes, D. and S. Gabriel.
- Evaluating Real Options for Investments in Low-Carbon Energy Research & Development, (inivted talk with Jeremy Eckhause), ENERDAY Conference on Energy Economics and Technology, Energy Resources and Technologies in a Carbon Constrained World, April 11, 2008, Dresden, Germany.