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Book part
Publication date: 1 August 2019

Aleksei V. Bogoviz, Leonid F. Malinovski, Tamara G. Stroiteleva, Maxim M. Sharamko and Vera V. Dvoretskaya

Purpose: The purpose of the chapter is to determine the connection between organizational culture and specifics of the process of decision making in modern business systems and to…

Abstract

Purpose: The purpose of the chapter is to determine the connection between organizational culture and specifics of the process of decision making in modern business systems and to determine the directions of managing the organizational culture depending on the set criteria of decision making.

Methodology: A proprietary classification of the types of organizational culture of modern business systems according to the criterion of employees' involvement into decision making is offered. This classification uses two dimensions of employees' involvement into decision making for classification of the types of organizational culture of modern business systems. First dimension: interest of business manager in involvement of employees into the process of decision making. Second dimension: employees' inclination for participation in the process of making of managerial decisions. The factors that influence these dimensions are determined.

Conclusions: Connection between organizational culture and specifics of decision making in modern business systems according to the criterion of employees' involvement in decision making is determined. The minimal level of involvement envisages independent decision making by business manager without participation of employees. In this case, a lot of problems of the business system remain unsolved and possibilities remain unused. Resource intensity of decision making is the highest, and their practical implementation is complicated by employees' dissatisfaction, but this process is conducted very quickly. The medium level of involvement envisages either collective discussion, but decision making by business manager, or collection of feedback by business manager with low interest in it from employees. In this case, resource intensity of decision making is lower, and decisions could be made and implemented faster. The highest level of involvement is connected to collective decision making by employees and business manager. This allows determining problems and using possibilities of the business system with minimal resources. Though the duration of the process of decision making is the highest, solutions are implemented quickly due to employees' support.

Originality/value: The determined specifics show the necessity for considering the influence of the organizational culture on specifics of the process of decision making in modern business systems. It is substantiated that no type of organizational culture of modern business systems according to the criterion of employees' involvement in decision making can provide a guarantee of decisions' optimality. The directions of managing the organizational culture depending on the set criteria (completeness, speed, resource intensity) of decision making are recommended.

Details

Specifics of Decision Making in Modern Business Systems
Type: Book
ISBN: 978-1-78756-692-7

Keywords

Article
Publication date: 9 November 2023

Francesca d’Arcangeli

Decision-making plays a vital role in business. Yet as a trait, it is often overlooked when identifying, assessing, onboarding and empowering leadership talent. This study…

Abstract

Purpose

Decision-making plays a vital role in business. Yet as a trait, it is often overlooked when identifying, assessing, onboarding and empowering leadership talent. This study, therefore, aims to focus on the dimensions of organisational decision-making and investigate whether it should be an integral factor in the hiring process. The survey also looks at the relationships between decision-making and executive leadership, talent strategy and employee satisfaction. Could good decision-making as a trait be a factor when it comes to retention, improving organisational thinking and thriving leadership?

Design/methodology/approach

A quantitative and qualitative survey was commissioned and conducted by FT Longitude, part of the Financial Times Group. This included a questionnaire sent out to 400 senior executives at C-suite, C-1 and C-2 levels. The respondents were from companies with more than 1,000 employees in 13 industries and from five countries across the Americas, Europe and Asia-Pacific. This was also accompanied by in-depth interviews with three experts from both the public and private sector.

Findings

Almost two-thirds (63%) of senior executives have resigned or considered resigning due to frustration with organisational decision-making, while 29% have considered quitting because they were frustrated with the way a company makes decisions. More than a third (34%) resigned for this reason. Yet, a quarter of senior executives say that their decision-making experience was not explicitly discussed before starting their job. Senior executives who were asked about decision-making in interviews were 1.4 times more likely to be satisfied with their jobs. The ability to make decisions should therefore play a central role in hiring senior executives.

Originality/value

Decision-making as a trait has been neglected when hiring executives. For the first time, this research shows how significant it is for leadership teams. If senior executives are to improve organisational decision-making, this trait needs codifying in HR processes. This has led Kingsley Gate to embed it in recruitment profiling.

Details

Strategic HR Review, vol. 22 no. 6
Type: Research Article
ISSN: 1475-4398

Keywords

Article
Publication date: 1 August 1993

E. Frank Harrison

Takes the view that managerial decisions are made in a diversity oforganizational settings which can best be explained and evaluated in thecontext of conceptual interdisciplinary…

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Abstract

Takes the view that managerial decisions are made in a diversity of organizational settings which can best be explained and evaluated in the context of conceptual interdisciplinary decision‐making models, and that such models constitute an appropriate vehicle for explaining the eclectic aspects of managerial decision making in all types of formal organization. Presents a typology of conceptual decision‐making models and evaluates their similarities and differences along with their respective efficacies in various managerial decision‐making contexts. Advances the process model of managerial decision making as the ideal choice for decisions which have significant long‐term consequences for the whole organization.

Details

Management Decision, vol. 31 no. 8
Type: Research Article
ISSN: 0025-1747

Keywords

Open Access
Article
Publication date: 9 September 2024

Michael Wayne Davidson, John Parnell and Shaun Wesley Davenport

The purpose of this study is to address a critical gap in enterprise resource planning (ERP) implementation process for small and medium-sized enterprises (SMEs) by acknowledging…

Abstract

Purpose

The purpose of this study is to address a critical gap in enterprise resource planning (ERP) implementation process for small and medium-sized enterprises (SMEs) by acknowledging and countering cognitive biases through a cognitive bias awareness matrix model. Cognitive biases such as temporal discounting and optimism bias often skew decision-making, leading SMEs to prioritize short-term benefits over long-term sustainability or underestimate the challenges involved in ERP implementation. These biases can result in costly missteps, underutilizing ERP systems and project failure. This study enhances decision-making processes in ERP adoption by introducing a matrix that allows SMEs to self-assess their level of awareness and proactivity when addressing cognitive biases in decision-making.

Design/methodology/approach

The design and methodology of this research involves a structured approach using the problem-intervention-comparison-outcome-context (PICOC) framework to systematically explore the influence of cognitive biases on ERP decision-making in SMEs. The study integrates a comprehensive literature review, empirical data analysis and case studies to develop the Cognitive Bias Awareness Matrix. This matrix enables SMEs to self-assess their susceptibility to biases like temporal discounting and optimism bias, promoting proactive strategies for more informed ERP decision-making. The approach is designed to enhance SMEs’ awareness and management of cognitive biases, aiming to improve ERP implementation success rates and operational efficiency.

Findings

The findings underscore the profound impact of cognitive biases and information asymmetry on ERP system selection and implementation in SMEs. Temporal discounting often leads decision-makers to favor immediate cost-saving solutions, potentially resulting in higher long-term expenses due to the lack of scalability. Optimism bias tends to cause underestimating risks and overestimating benefits, leading to insufficient planning and resource allocation. Furthermore, information asymmetry between ERP vendors and SME decision-makers exacerbates these biases, steering choices toward options that may not fully align with the SME’s long-term interests.

Research limitations/implications

The study’s primary limitation is its concentrated focus on temporal discounting and optimism bias, potentially overlooking other cognitive biases that could impact ERP decision-making in SMEs. The PICOC framework, while structuring the research effectively, may restrict the exploration of broader organizational and technological factors influencing ERP success. Future research should expand the range of cognitive biases and explore additional variables within the ERP implementation process. Incorporating a broader array of behavioral economic principles and conducting longitudinal studies could provide a more comprehensive understanding of the challenges and dynamics in ERP adoption and utilization in SMEs.

Practical implications

The practical implications of this study are significant for SMEs implementing ERP systems. By adopting the Cognitive Bias Awareness Matrix, SMEs can identify and mitigate cognitive biases like temporal discounting and optimism bias, leading to more rational and effective decision-making. This tool enables SMEs to shift focus from short-term gains to long-term strategic benefits, improving ERP system selection, implementation and utilization. Regular use of the matrix can help prevent costly implementation errors and enhance operational efficiency. Additionally, training programs designed around the matrix can equip SME personnel with the skills to recognize and address biases, fostering a culture of informed decision-making.

Social implications

The study underscores significant social implications by enhancing decision-making within SMEs through cognitive bias awareness. By mitigating biases like temporal discounting and optimism bias, SMEs can make more socially responsible decisions, aligning their business practices with long-term sustainability and ethical standards. This shift improves operational outcomes and promotes a culture of accountability and transparency. The widespread adoption of the Cognitive Bias Awareness Matrix can lead to a more ethical business environment, where decisions are made with a deeper understanding of their long-term impacts on employees, customers and the broader community, fostering trust and sustainability in the business ecosystem.

Originality/value

This research introduces the original concept of the Cognitive Bias Awareness Matrix, a novel tool designed specifically for SMEs to evaluate and mitigate cognitive biases in ERP decision-making. This matrix fills a critical gap in the existing literature by providing a structured, actionable framework that effectively empowers SMEs to recognize and address biases such as temporal discounting and optimism bias. Its practical application promises to enhance decision-making processes and increase the success rates of ERP implementations. This contribution is valuable to behavioral economics and information systems, offering a unique approach to integrating cognitive insights into business technology strategies.

Details

Journal of Ethics in Entrepreneurship and Technology, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2633-7436

Keywords

Article
Publication date: 13 August 2024

Tereza Dean, Haisu Zhang and Yazhen Xiao

Customers can participate in new product development (NPD) in many ways. Drawing on the knowledge-based view (KBV) and innovation literature, this study aims to contrast two main…

Abstract

Purpose

Customers can participate in new product development (NPD) in many ways. Drawing on the knowledge-based view (KBV) and innovation literature, this study aims to contrast two main product development activity types, i.e. problem-solving and decision-making. It proposes customers play distinct roles if they get involved in these activities, which influence NPD outcomes differently. It also explores customer need specificity as a boundary condition for the above-mentioned relationships.

Design/methodology/approach

The authors collected survey data from 308 managers in the innovation domain.

Findings

Customer involvement in problem-solving and decision-making distinctively influences new product innovativeness and development speed. Customer need specificity interacts with the two co-development types differently to impact these NPD outcomes further.

Research limitations/implications

This research extends the KBV and addresses the inconsistent findings in the literature regarding customer involvement as co-developers in innovation. It also provides novel insights into how knowledge characteristics like customer need specificity can direct co-developing activities to generate distinct NPD results.

Practical implications

This paper offers practical implications for firms on how to involve customers in developing innovative new products while managing development speed.

Originality/value

Prior research has yet to distinguish customer responsibilities related to co-development activities. This research fills this gap and offers novel insights that problem-solving and decision-making have opposite impacts on different NPD outcomes. This research demonstrates that finer knowledge about customer involvement responsibilities is needed for critical NPD outcomes.

Details

European Journal of Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0309-0566

Keywords

Open Access
Article
Publication date: 14 August 2024

Huijun Tu and Shitao Jin

Due to the complexity and diversity of megaprojects, the architectural programming process often involves multiple stakeholders, making decision-making difficult and susceptible…

Abstract

Purpose

Due to the complexity and diversity of megaprojects, the architectural programming process often involves multiple stakeholders, making decision-making difficult and susceptible to subjective factors. This study aims to propose an architectural programming methodology system (APMS) for megaprojects based on group decision-making model to enhance the accuracy and transparency of decision-making, and to facilitate participation and integration among stakeholders. This method allows multiple interest groups to participate in decision-making, gathers various perspectives and opinions, thereby improving the quality and efficiency of architectural programming and promoting the smooth implementation of projects.

Design/methodology/approach

This study first clarifies the decision-making subjects, decision objects, and decision methods of APMS based on group decision-making theory and value-based architectural programming methods. Furthermore, the entropy weight method and fuzzy TOPSIS method are employed as calculation methods to comprehensively evaluate decision alternatives and derive optimal decision conclusions. The workflow of APMS consists of four stages: preparation, information, decision, and evaluation, ensuring the scientific and systematic of the decision-making process.

Findings

This study conducted field research and empirical analysis on a practical megaproject of a comprehensive transport hub to verify the effectiveness of APMS. The results show that, in terms of both short-distance and long-distance transportation modes, the decision-making results of APMS are largely consistent with the preliminary programming outcomes of the project. However, regarding transfer modes, the APMS decision-making results revealed certain discrepancies between the project's current status and the preliminary programming.

Originality/value

APMS addresses the shortcomings in decision accuracy and stakeholder participation and integration in the current field of architectural programming. It not only enhances stakeholder participation and interaction but also considers various opinions and interests comprehensively. Additionally, APMS has significant potential in optimizing project performance, accelerating project processes, and reducing resource waste.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 13
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 6 August 2024

Zehra Keser Ozmantar and Funda Gök

This study will examine the school principals’ ethical decision-making processes and to explore gender-related differences.

Abstract

Purpose

This study will examine the school principals’ ethical decision-making processes and to explore gender-related differences.

Design/methodology/approach

This study employed a mixed-method research design, combining qualitative and quantitative approaches. Data were collected through semi-structured in-depth interviews with a sample of 10 male and 10 female principals, who were presented with ethical dilemma scenarios. The qualitative component utilized a phenomenological analysis, while additional quantitative analyses were performed on the same dataset to explore gender-related differences.

Findings

Our analysis of principals' ethical evaluations identified three key areas where gender-related differences were evident: decision-making approaches, leadership styles, and philosophy/value orientations. The analysis revealed that women more frequently employed personal approaches, while men favored institutional approaches in their ethical evaluations. Secondly, men tended to adopt a democratic style, while women leaned towards an autocratic style. Finally, men exhibited a relativist orientation, while women displayed an idealist orientation in their ethical decision-making processes.

Originality/value

Gender-based analysis of school principals’ ethical decision-making process has remained an under-researched area. This study contributes to the understanding of gender-related differences in principals’ ethical decision-making processes.

Details

International Journal of Educational Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0951-354X

Keywords

Article
Publication date: 12 August 2024

Zaid Jaradat, Ahmad AL-Hawamleh and Allam Hamdan

The Kingdom of Saudi Arabia’s dedicated pursuit of technological modernization positions it as a forefront leader in integrating advanced systems, aligning smoothly with the…

Abstract

Purpose

The Kingdom of Saudi Arabia’s dedicated pursuit of technological modernization positions it as a forefront leader in integrating advanced systems, aligning smoothly with the ambitious goals outlined in Vision 2030. The purpose of this study is to investigate the influence of integrating enterprise resource planning (ERP) and business intelligence (BI) systems on decision-making processes within the industrial sector of Saudi Arabia.

Design/methodology/approach

Using a quantitative research design, this study uses a bootstrapping approach and partial least squares structural equation modeling to meticulously analyze data collected from Saudi industrial firms.

Findings

The research reveals favorable relationships among infrastructure readiness, data quality, security and access control, user capabilities, user training and the integration of ERP and BI. These positive associations collectively affirm the overarching positive impact of ERP and BI integration on decision-making processes within the industrial sector.

Practical implications

The study underscores the strategic imperative of aligning organizational practices with the identified characteristics to fully unlock the potential benefits of ERP and BI integration in the Saudi Arabian industrial sector.

Originality/value

This study contributes significantly to the existing literature by delving into the integration of ERP and BI in the industrial sector and its nuanced impact on decision-making processes, specifically in the context of the Kingdom of Saudi Arabia – an area that has not been extensively studied.

Details

Digital Policy, Regulation and Governance, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2398-5038

Keywords

Article
Publication date: 13 August 2024

Desmond Doran and Thuy Chung Phan

This study aims to assess National Health Service (NHS) decision-making protocols during the pandemic, with two primary objectives: (1) to establish whether decision-making

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Abstract

Purpose

This study aims to assess National Health Service (NHS) decision-making protocols during the pandemic, with two primary objectives: (1) to establish whether decision-making protocols changed during the pandemic and (2) to evaluate if these changes could inform future decision-making strategies beyond the pandemic. By focusing on the shift from traditional to emergency decision-making processes, this research seeks to derive actionable insights for enhancing policy and practice in crisis conditions.

Design/methodology/approach

We employ a mixed-methods approach, gathering data through an online survey targeted at senior NHS decision-makers involved in the pandemic response. Our survey collected quantitative and qualitative data to assess changes in decision-making protocols. The analysis included statistical techniques to quantify changes and thematic analysis to explore their implications, providing a detailed understanding of decision-making adaptations during the crisis and their potential future impact.

Findings

Our findings clarify the role of the NHS values and constitution, which prioritize patient welfare, dignity and equitable access to healthcare, guiding all decision-making. During the pandemic, the urgency to respond swiftly necessitated modifications to these guiding principles. Traditional processes were adapted, allowing for more rapid decision-making while still aligning with the core values, effectively balancing immediate response needs with long-term healthcare commitments.

Research limitations/implications

Our research contributes to decision-making under crisis conditions within a healthcare context and brings together a theoretical background which has accommodated the development of models and approaches that can be utilized by both service and manufacturing organizations. In addition, we have sought to bring together the importance of decision-making protocols under crisis conditions using observations from respondents who experienced decision-making at a senior level prior, during and beyond the period of the COVID-19 pandemic, which has assisted in the models developed in this paper. In addition, our empirical research demonstrates the importance that the values of the organization have upon decision-making and how such values need to be adjusted in the light of crisis operations.

Practical implications

Our research provides insightful observations relating to the pressures upon decision-making protocols under crisis conditions and provides senior decision-makers with an approach to realigning values to cope with unusual and highly pressurized operating environments. Notably, there is a clear requirement for decision-makers to communicate clearly to staff the need to temporarily alter the modus operandi to reflect crisis operations.

Originality/value

To the best of the authors’ knowledge, this is the first study to explore decision-making in the NHS during a pandemic and to clearly demonstrate how such decision-making needs to be adapted to reflect the nature and scope of delivering a complex healthcare service under crisis conditions.

Details

Management Decision, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0025-1747

Keywords

Article
Publication date: 23 August 2024

Chunmei Wang and Sujuan Zhang

The sustainable development of contractor organizations depends highly on bidding decision-making of projects. This current study, leveraging the risk decision-making theory…

Abstract

Purpose

The sustainable development of contractor organizations depends highly on bidding decision-making of projects. This current study, leveraging the risk decision-making theory, attempts to elucidate the process of contractors’ bid/no-bid decision-making and reveal how the process is influenced by their perception of risk. In particular, this study aims to explore the multiple mediating effects of contractors’ trust in owners and risk perception in explaining the relationship between contractual governance outlined in owners’ bidding documents and the bid/no-bid decisions.

Design/methodology/approach

A questionnaire survey was used to obtain data from the Chinese construction industry. The PLS-SEM technique was employed to analyze a dataset of 557 available questionnaires.

Findings

The findings indicate that (1) the contractual governance provided by owners’ bidding documents positively impacts contractors’ bid/no-bid decisions; (2) both risk perception and trust serve as multiple mediators in this relationship and (3) trust mediates the relationship between contractual governance and contractors’ risk perception.

Originality/value

Drawing upon the risk decision-making theory, this study proposes a multiple mediation model for understanding contractors’ bid/no-bid decision-making processes. It contributes to a better understanding of contractors’ bidding decision-making mechanisms, thereby offering theoretical guidance for contractors to make reasonable and informed risk decisions.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

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