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Recent Developments in Management Science in Banking

Author

Listed:
  • Kalman J. Cohen

    (Duke University)

  • Steven F. Maier

    (Duke University)

  • James H. Vander Weide

    (Duke University)

Abstract

Banking has been a fertile area for management science applications, as is evident from the review provided in this paper. The relevant management science models are discussed in terms of the areas of bank management for which they were intended. Under dynamic balance sheet management (i.e., internal bank financial planning) we consider forecasting techniques, simulation models and optimization models. Other areas of banking included are bond portfolio management, bank operations, corporate services, bank marketing and management of the loan portfolio. The authors provide an evaluation of the applicability of management science models in practice, discuss the extent to which some have been implemented and consider the philosophy of using management science models in banking.

Suggested Citation

  • Kalman J. Cohen & Steven F. Maier & James H. Vander Weide, 1981. "Recent Developments in Management Science in Banking," Management Science, INFORMS, vol. 27(10), pages 1097-1119, October.
  • Handle: RePEc:inm:ormnsc:v:27:y:1981:i:10:p:1097-1119
    DOI: 10.1287/mnsc.27.10.1097
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    Citations

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    Cited by:

    1. Moormann, Jürgen, 1985. "Fallstudie zur strategischen Planung für Filialbanken auf einem Mikrocomputer," Manuskripte aus den Instituten für Betriebswirtschaftslehre der Universität Kiel 163, Christian-Albrechts-Universität zu Kiel, Institut für Betriebswirtschaftslehre.
    2. Francis, Bill & Gupta, Aparna & Hasan, Iftekhar, 2015. "Impact of compensation structure and managerial incentives on bank risk taking," European Journal of Operational Research, Elsevier, vol. 242(2), pages 651-676.
    3. Oguzsoy, Cemal Berk & Guven, Sibel, 1997. "Bank asset and liability management under uncertainty," European Journal of Operational Research, Elsevier, vol. 102(3), pages 575-600, November.
    4. Güven, S. & Persentili, E., 1997. "A linear programming model for bank balance sheet management," Omega, Elsevier, vol. 25(4), pages 449-459, August.

    More about this item

    Keywords

    finance; financial institutions: banks;

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