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Open Access
Article
Publication date: 23 February 2024

Sarah Mueller-Saegebrecht

Managers must make numerous strategic decisions in order to initiate and implement a business model innovation (BMI). This paper examines how managers perceive the management team…

1199

Abstract

Purpose

Managers must make numerous strategic decisions in order to initiate and implement a business model innovation (BMI). This paper examines how managers perceive the management team interacts when making BMI decisions. The paper also investigates how group biases and board members’ risk willingness affect this process.

Design/methodology/approach

Empirical data were collected through 26 in-depth interviews with German managing directors from 13 companies in four industries (mobility, manufacturing, healthcare and energy) to explore three research questions: (1) What group effects are prevalent in BMI group decision-making? (2) What are the key characteristics of BMI group decisions? And (3) what are the potential relationships between BMI group decision-making and managers' risk willingness? A thematic analysis based on Gioia's guidelines was conducted to identify themes in the comprehensive dataset.

Findings

First, the results show four typical group biases in BMI group decisions: Groupthink, social influence, hidden profile and group polarization. Findings show that the hidden profile paradigm and groupthink theory are essential in the context of BMI decisions. Second, we developed a BMI decision matrix, including the following key characteristics of BMI group decision-making managerial cohesion, conflict readiness and information- and emotion-based decision behavior. Third, in contrast to previous literature, we found that individual risk aversion can improve the quality of BMI decisions.

Practical implications

This paper provides managers with an opportunity to become aware of group biases that may impede their strategic BMI decisions. Specifically, it points out that managers should consider the key cognitive constraints due to their interactions when making BMI decisions. This work also highlights the importance of risk-averse decision-makers on boards.

Originality/value

This qualitative study contributes to the literature on decision-making by revealing key cognitive group biases in strategic decision-making. This study also enriches the behavioral science research stream of the BMI literature by attributing a critical influence on the quality of BMI decisions to managers' group interactions. In addition, this article provides new perspectives on managers' risk aversion in strategic decision-making.

Details

Management Decision, vol. 62 no. 13
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 18 August 2023

Anniek Brink, Louis-David Benyayer and Martin Kupp

Prior research has revealed that a large share of managers is reluctant towards the use of artificial intelligence (AI) in decision-making. This aversion can be caused by several…

752

Abstract

Purpose

Prior research has revealed that a large share of managers is reluctant towards the use of artificial intelligence (AI) in decision-making. This aversion can be caused by several factors, including individual drivers. The purpose of this paper is to better understand the extent to which individual factors influence managers’ attitudes towards the use of AI and, based on these findings, to propose solutions for increasing AI adoption.

Design/methodology/approach

The paper builds on prior research, especially on the factors driving the adoption of AI in companies. In addition, data was collected by means of 16 expert interviews using a semi-structured interview guideline.

Findings

The study concludes on four groups of individual factors ranked according to their importance: demographics, familiarity, psychology and personality. Moreover, the findings emphasized the importance of communication and training, explainability and transparency and participation in the process to foster the adoption of AI in decision-making.

Research limitations/implications

The paper identifies four ways to foster AI integration for organizational decision-making as areas for further empirical analysis by business researchers.

Practical implications

This paper offers four ways to foster AI adoption for organizational decision-making: explaining the benefits and training the more adverse categories, explaining how the algorithms work and being transparent about the shortcomings, striking a good balance between automated and human-made decisions, and involving users in the design process.

Social implications

The study concludes on four groups of individual factors ranked according to their importance: demographics, familiarity, psychology and personality. Moreover, the findings emphasized the importance of communication and training, explainability and transparency and participation in the process to foster the adoption of AI in decision-making.

Originality/value

This study is one of few to conduct qualitative research into the individual factors driving usage intention among managers; hence, providing more in-depth insights about managers’ attitudes towards algorithmic decision-making. This research could serve as guidance for developers developing algorithms and for managers implementing and using algorithms in organizational decision-making.

Details

Journal of Business Strategy, vol. 45 no. 4
Type: Research Article
ISSN: 0275-6668

Keywords

Article
Publication date: 4 May 2023

Zulma Valedon Westney, Inkyoung Hur, Ling Wang and Junping Sun

Disinformation on social media is a serious issue. This study examines the effects of disinformation on COVID-19 vaccination decision-making to understand how social media users…

Abstract

Purpose

Disinformation on social media is a serious issue. This study examines the effects of disinformation on COVID-19 vaccination decision-making to understand how social media users make healthcare decisions when disinformation is presented in their social media feeds. It examines trust in post owners as a moderator on the relationship between information types (i.e. disinformation and factual information) and vaccination decision-making.

Design/methodology/approach

This study conducts a scenario-based web survey experiment to collect extensive survey data from social media users.

Findings

This study reveals that information types differently affect social media users' COVID-19 vaccination decision-making and finds a moderating effect of trust in post owners on the relationship between information types and vaccination decision-making. For those who have a high degree of trust in post owners, the effect of information types on vaccination decision-making becomes large. In contrast, information types do not affect the decision-making of those who have a very low degree of trust in post owners. Besides, identification and compliance are found to affect trust in post owners.

Originality/value

This study contributes to the literature on online disinformation and individual healthcare decision-making by demonstrating the effect of disinformation on vaccination decision-making and providing empirical evidence on how trust in post owners impacts the effects of information types on vaccination decision-making. This study focuses on trust in post owners, unlike prior studies that focus on trust in information or social media platforms.

Details

Information Technology & People, vol. 37 no. 3
Type: Research Article
ISSN: 0959-3845

Keywords

Article
Publication date: 5 July 2023

Shruti Gulati

This study aims to explore how social media affects decision-making among tourists and whether there is a potential effect of age, which is studied through generations. For this…

Abstract

Purpose

This study aims to explore how social media affects decision-making among tourists and whether there is a potential effect of age, which is studied through generations. For this purpose, baby boomers, Gen X, Gen Y and Gen Z tourists are studied and real-time implications are offered.

Design/methodology/approach

The study adopts a descriptive and exploratory design where the conceptual model of social media-based decision-making is developed through a review of the literature. Quantitative analysis is conducted on primary data from 600 Indian tourists. This is done using a self-administered questionnaire adopted from Gulati (2022) after checking its validity and reliability. The statistical analysis for hypothesis testing is done using PLS-SEM path modelling on pooled data. To study the categorical moderating effect of generations, partial least squares multigroup analysis (PLS-MGA) is performed as a paired comparison on every successive generation.

Findings

After testing every successive younger generation with an older generation through PLS-MGA, none of the pairs found any significant differences in path coefficients, as the values obtained were 0.05 < p < 0.95 for all five paths (SM → NR, SM → IS, SM → E, SM → P, SM → PPB). This indicates all the generations behave in a similar manner irrespective of them being older or younger, and age does not moderate social media’s impact on decision-making among Indian tourists.

Research limitations/implications

The study establishes India as a unique geographical market and suggests tourism marketers to treat all generations at par, irrespective of age, as they behave and interact with social media in a similar manner. But, because this study is restricted to a single geographical location, i.e. India, further regions can be explored for global generalisation. Future research can also explore other demographics for combined, moderated analysis. Findings from the study suggest that marketers should ensure that equal attention is given to all generations as they engage with social media in a similar manner. Targeted marketing using artificial intelligence can help in ensuring custom ads. Personalisation according to generations can also facilitate greater purchases.

Originality/value

The study fills a major population and knowledge gap by exploring a topic that has been highly under-researched. Also, the study adopts an inclusive approach by analysing all the generations, both younger and older, to understand the potential effect of age on moderating the impact that social media has on tourist decision-making. Further, real-time suggestions and implications are offered to tourism marketers with special reference to the Indian tourism industry.

Details

Information Discovery and Delivery, vol. 52 no. 2
Type: Research Article
ISSN: 2398-6247

Keywords

Article
Publication date: 10 March 2022

Huimin Li, Chenchen Xu, Yongchao Cao and Chengyi Zhang

The purpose of this paper is twofold: first, it explores the influencing factors of the government’s trust decision-making in the private sector; second, it explores how these…

Abstract

Purpose

The purpose of this paper is twofold: first, it explores the influencing factors of the government’s trust decision-making in the private sector; second, it explores how these influencing factors affect the government’s trust decisions.

Design/methodology/approach

A theoretical model was established, and a questionnaire survey was conducted among 152 professionals. The collected datas were analyzed by the structural equation modeling (SEM) method.

Findings

The study identified four critical factors that influence the government’s decision to trust the private sector in public-private-partnership (PPP) projects. All the four factors have a positively correlated impact on the government’s trust decision-making. The structural equation path analysis shows that the most important factor affecting the government’s trust decision-making is the trustee’s (private sector) trustworthy characteristics, and the path coefficient is 0.92. The path coefficients of risk perception and the trustor’s trust tendency are 0.83 and 0.74, respectively. The influence of the legal system environment on government trust decision-making is moderate, with a path coefficient of 0.68.

Originality/value

This paper contributes to the literature in two aspects. First, the factors influencing decision-making to government trust in the private sector in PPP projects have been identified. Second, a comprehensive view of the mechanism of government trust in the private sector in PPP projects has been theorized by the SEM method.

Details

Journal of Engineering, Design and Technology , vol. 22 no. 3
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 30 April 2024

Zheng Liu, Na Huang, Chunjia Han, Mu Yang, Yuanjun Zhao, Wenzhuo Sun, Varsha Arya, Brij B. Gupta and Lihua Shi

The aim of this study was to analyze the effects of carbon reduction efforts and preservation efforts on system benefits in the cold chain industry of fresh products.

Abstract

Purpose

The aim of this study was to analyze the effects of carbon reduction efforts and preservation efforts on system benefits in the cold chain industry of fresh products.

Design/methodology/approach

This study develops an optimal decision game model for the fresh products in the cold chain, incorporating the retailer's preservation effort and the supplier's carbon emission reduction effort. It quantifies the relationship between carbon emission reduction effort, preservation effort and system profit. The model considers parameters like carbon trading price, consumer low-carbon preference and consumer freshness preference, reflecting real-world conditions and market trends. Numerical simulations are conducted by varying these parameters to observe their impact on system profit.

Findings

Under the carbon cap-and-trade policy, the profit of the fresh cold chain system is higher than that of the fresh cold chain system without carbon constraints, and the profit of the supplier under decentralized decision-making is increased by nine times in the simulation results. The increase in carbon trading prices can effectively improve the freshness level of fresh products cold chain, carbon emission reduction level and system profit.

Originality/value

This study comprehensively considers the factors of freshness and carbon emission reduction, provides the optimal low-carbon production decision-making reference for the fresh food cold chain and promotes the sustainable development of the fresh food cold chain.

Details

British Food Journal, vol. 126 no. 6
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 3 July 2023

Vishal Ashok Wankhede, Rohit Agrawal, Anil Kumar, Sunil Luthra, Dragan Pamucar and Željko Stević

Sustainable development goals (SDGs) are gaining significant importance in the current environment. Many businesses are keen to adopt SDGs to get a competitive edge. There are…

Abstract

Purpose

Sustainable development goals (SDGs) are gaining significant importance in the current environment. Many businesses are keen to adopt SDGs to get a competitive edge. There are certain challenges in realigning the present working scenario for sustainable development, which is a primary concern for society. Various firms are adopting sustainable engineering (SE) practices to tackle such issues. Artificial intelligence (AI) is an emerging technology that can help the ineffective adoption of sustainable practices in an uncertain environment. In this regard, there is a need to review the current research practices in the field of SE in AI. The purpose of the present study is to comprehensive review the research trend in the field of SE in AI.

Design/methodology/approach

This work presents a review of AI applications in SE for decision-making in an uncertain environment. SCOPUS database was considered for shortlisting the articles. Specific keywords on AI, SE and decision-making were given, and a total of 127 articles were shortlisted after implying inclusion and exclusion criteria.

Findings

Bibliometric study and network analyses were performed to analyse the current research trends and to see the research collaboration between researchers and countries. Emerging research themes were identified by using structural topic modelling (STM) and were discussed further.

Research limitations/implications

Research propositions corresponding to each research theme were presented for future research directions. Finally, the implications of the study were discussed.

Originality/value

This work presents a systematic review of articles in the field of AI applications in SE with the help of bibliometric study, network analyses and STM.

Details

Journal of Global Operations and Strategic Sourcing, vol. 17 no. 2
Type: Research Article
ISSN: 2398-5364

Keywords

Article
Publication date: 19 May 2023

Rima Charbaji El-Kassem

This study aims to examine the relationship between TQM practices and teachers' job satisfaction in Qatar, visualizing this relationship through a path causal model.

Abstract

Purpose

This study aims to examine the relationship between TQM practices and teachers' job satisfaction in Qatar, visualizing this relationship through a path causal model.

Design/methodology/approach

A cross-sectional survey from different schools in Qatar was conducted, using a questionnaire administered to 359 teachers. Factor analysis was used to establish the construct validity of the questionnaire, using two statistical tests: Kaiser-Meyer-Olkin (KMO) measure of sampling adequacy, and Bartlett's test of sphericity.

Findings

The TQM practices measured were information, professional development, teachers' involvement in decision-making, teamwork and salary. Regression analyses showed that only four of the five constructs were significant in predicting teachers' job satisfaction. The path causal model's results revealed that each explanatory variable's direct effect was strengthened via the effect of the other independent variables.

Practical implications

Teachers who are highly satisfied with their jobs are willing to give their best. This study proposes a conceptual causal model for TQM adoption in the Qatar educational system. The proposed causal model will help policymakers and decision-makers in Qatari schools to draw strategies based on the antecedents and consequences of teachers' involvement in decision-making.

Originality/value

Empirically, this article has employed the concepts of TQM and job satisfaction to construct a causal model, demonstrating the effect of TQM practices on teachers' job satisfaction in schools in Qatar, thus bridging the gap between the two fields. To the best of the researcher's knowledge, no prior studies have examined this relationship within Qatari schools.

Details

The TQM Journal, vol. 36 no. 4
Type: Research Article
ISSN: 1754-2731

Keywords

Article
Publication date: 16 April 2024

Claude Diderich

In demand-driven markets, customer value, sometimes called perceived use value or consumer surplus, is defined by the customer rather than the firm. The value a firm can…

Abstract

Purpose

In demand-driven markets, customer value, sometimes called perceived use value or consumer surplus, is defined by the customer rather than the firm. The value a firm can appropriate, its profits, is driven by the customer’s willingness to pay for the value they receive, adjusted by costs. This paper introduces a conceptual framework that helps understand value creation and appropriation in demand-driven markets and shows how to influence them through strategic decision-making.

Design/methodology/approach

This paper uses an axiomatic approach combined with an extended analytical formulation of the jobs-to-be-done framework to contextualise demand-driven markets. It mathematically derives implications for managerial decision-making concerning selecting customer segments, optimising customer value creation and maximising firm value appropriation in a competitive environment.

Findings

Rooting strategic decision-making in the jobs-to-be-done framework allows distinguishing between what customers want to achieve (goal), what product attributes need to be satisfied (opportunity space/constraints) and what value creation criteria related to features are important (utility function). This paper shows that starting from a job-to-be-done, the problem of identifying which customer segments to serve, what product to offer and what price to charge, can be formulated as an optimisation problem that simultaneously (rather than sequentially) solves for the three decision variables, customer segments, product features and price, by maximising the value that a firm can appropriate, subject to maximising customer value creation and constrained by the competitive environment.

Practical implications

Applying the derived results to simultaneously deciding which customer segments to target, what product features to offer and what price to charge, given a set of competing products, allows managers to increase their chances of winning the competitive game.

Originality/value

This paper shows that starting from a job-to-be-done and simultaneously focusing on customers, product features, price and competitors enhances firm profitability. Strategic decision-making is formulated as an optimisation problem based on an axiomatic approach contextualising demand-driven markets.

Details

Journal of Strategy and Management, vol. 17 no. 2
Type: Research Article
ISSN: 1755-425X

Keywords

Open Access
Article
Publication date: 12 April 2024

Aleš Zebec and Mojca Indihar Štemberger

Although businesses continue to take up artificial intelligence (AI), concerns remain that companies are not realising the full value of their investments. The study aims to…

Abstract

Purpose

Although businesses continue to take up artificial intelligence (AI), concerns remain that companies are not realising the full value of their investments. The study aims to provide insights into how AI creates business value by investigating the mediating role of Business Process Management (BPM) capabilities.

Design/methodology/approach

The integrative model of IT Business Value was contextualised, and structural equation modelling was applied to validate the proposed serial multiple mediation model using a sample of 448 organisations based in the EU.

Findings

The results validate the proposed serial multiple mediation model according to which AI adoption increases organisational performance through decision-making and business process performance. Process automation, organisational learning and process innovation are significant complementary partial mediators, thereby shedding light on how AI creates business value.

Research limitations/implications

In pursuing a complex nomological framework, multiple perspectives on realising business value from AI investments were incorporated. Several moderators presenting complementary organisational resources (e.g. culture, digital maturity, BPM maturity) could be included to identify behaviour in more complex relationships. The ethical and moral issues surrounding AI and its use could also be examined.

Practical implications

The provided insights can help guide organisations towards the most promising AI activities of process automation with AI-enabled decision-making, organisational learning and process innovation to yield business value.

Originality/value

While previous research assumed a moderated relationship, this study extends the growing literature on AI business value by empirically investigating a comprehensive nomological network that links AI adoption to organisational performance in a BPM setting.

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