Search results

The purpose of this paper is to present a conceptual framework for integrating strategic thinking factors, organisational performance and the decision-making process.

The methodology involves a synthesis of literature and proposes a framework that explores the relationship between strategic thinking enabling factors, organisational performance and the moderating effect of decision-making styles.

The framework includes strategic thinking enabling factors (systems perspective, focused intent, intelligent opportunism, thinking in time and hypothesis-driven analysis), organisational performance and the moderating effect of decision-making styles (intuitive and rational).

This research results in a conceptual model only; it remains to be tested in actual practice. The expanded conceptual framework can serve as a basis for future empirical research and provide insights to practitioners into how to strengthen policy development in a strategic planning process.

A paradigm shift in the literature proves that strategic management and decision-making styles are vital in determining organisational performance. This paper highlights the importance of decision-making styles and develops a framework for strategic management by analysing the existing strategic management literature.

The purpose of this paper is to compare service outsourcing decisions between public and private organizations and against a theoretical decision-making framework to both understand differences across the sectors and to provide an outsourcing framework more suitable specifically for outsourcing (and for the public sector).

Multiple case studies, i.e. a study of phenomena (here outsourcing process) at various sites is used as an approach.

Findings indicate that public sector organizations are trailing behind private sector organizations in how the decision-making process is conducted and resourced. The authors suggest regular evaluation of service functions internally as a starting point for the outsourcing service decision-making process. Additionally, the market analysis should be done prior to cost analysis and benchmarking as the availability of suppliers more qualified than the internal process defines the make or buy decision.

The newly developed framework based on empirical evidence includes the following phases: regular evaluation of service functions, market analysis, cost analysis and benchmarking and evaluating relevant service activities. Applying the framework improves the efficient delivery of outsourced public services and brings public sector outsourcing closer to the professionalism currently present in the private sector.

Choosing between in-house and outsourced service delivery is a fundamental decision in both private and public sector organizations. Previous outsourcing research has mostly focused on the private sector, with limited focus on the public sector’s outsourcing processes, yet understanding of the service outsourcing process is important in ensuring organizational competitiveness and cost efficiency.

The purpose of this paper is to understand, which internal processes (mental, emotional, cultural, ethical and spiritual) Afghan business leaders use when making managerial decisions.

Primary data were collected through 1-h face-to-face interviews with Afghan business leaders. Interviews were conducted through open-ended questions in a semi-structured format. This method was considered most appropriate to acquire an understanding of senior executives’ interpretation and usage of decision-making processes. The method of analyzing data was thematic analysis where the researchers identified common themes, topics, ideas and patterns of meaning that come up repetitively. The objective of the analysis was to determine the most frequent decision-making processes by business leaders and the reasons for using these processes.

Although the usage of internal processes in decision-making are not homogeneous among Afghan business leaders, some of the processes are used more frequently than others such as mental, cultural and ethical processes. During the mental process of decision-making, the majority of leaders use intuitional decision-making, the minority using logic. Regarding the cultural dimension, the majority of leaders stated that they have an open, friendly, caring organization for each employee and horizontal culture in their organization. The minority indicated that they have a friendly culture but they also considered the processes and hierarchy in their organization. Considering the ethical process of decision-making, leaders stated that their priorities are more ethical than getting extra profit. They believe that profit will be generated while considering ethical values. As a leader noted: when you consider ethics and fulfill your obligations, the profit automatically generates. Most leaders use the internal process of emotion in their decision-making, but the usage has not been frequent. The emotional process of decision-making is more involved when the human factor is involved. For instance, one of the participants stated “I did not fire an employee that I had to because he was a needy and poor person.” About the spiritual process of decision-making, although all leaders agreed that they have used spirituality in decision-making, its usage varies. About one-third of the leaders mostly rely on spirituality or on religious teachings during the decision-making process, one-third somehow rely on spirituality or religion, about 50% of the time and one-third rely on spirituality between 25% to 30% of the time.

This study is pilot research as no previous research was carried out on this topic, therefore, it provides a basis of literature on the usage of internal processes on decision-making in Afghanistan. The findings may differ in other economic and national contexts.

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.

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.

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.

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.

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.

Because of the significant differences in the features and requirements of specific products and the capabilities of various additive manufacturing (AM) solutions, selecting the most appropriate AM technology can be challenging. This study aims to propose a method to solve the complex process selection in 3D printing applications, especially by creating a new multicriteria decision-making tool that takes the direct certainty of each comparison to reflect the decision-maker’s desire effectively.

The methodology proposed includes five steps: defining the AM technology selection decision criteria and constraints, extracting available AM parameters from the database, evaluating the selected AM technology parameters based on the proposed decision-making methodology, improving the accuracy of the decision by adopting newly proposed weighting scheme and selecting optimal AM technologies by integrating information gathered from the whole decision-making process.

To demonstrate the feasibility and reliability of the proposed methodology, this case study describes a detailed industrial application in rapid investment casting that applies the weightings to a tailored AM technologies and materials database to determine the most suitable AM process. The results showed that the proposed methodology could solve complicated AM process selection problems at both the design and manufacturing stages.

This research proposes a unique multicriteria decision-making solution, which employs an exclusive weightings calculation algorithm that converts the decision-maker's subjective priority of the involved criteria into comparable values. The proposed framework can reduce decision-maker's comparison duty and potentially reduce errors in the pairwise comparisons used in other decision-making methodologies.

Managers are increasingly looking to adopt the Internet of Things (IoT) to include the vast amount of big data generated in their decision-making processes. The use of IoT might yield many benefits for organizations engaged in civil infrastructure management, but these benefits might be difficult to realize as organizations are not equipped to handle and interpret this data. The purpose of this paper is to understand how IoT adoption affects decision-making processes.

In this paper the changes in the business processes for managing civil infrastructure assets brought about by IoT adoption are analyzed by investigating two case studies within the water management domain. Propositions for effective IoT adoption in decision-making processes are derived.

The results show that decision processes in civil infrastructure asset management have been transformed to deal with the real-time nature of the data. The authors found the need to make organizational and business process changes, development of new capabilities, data provenance and governance and the need for standardization. IoT can have a transformative effect on business processes.

Because of the chosen research approach, the research results may lack generalizability. Therefore, researchers are encouraged to test the propositions further.

The paper shows that data provenance is necessary to be able to understand the value and the quality of the data often generated by various organizations. Managers need to adapt new capabilities to be able to interpret the data.

This paper fulfills an identified need to understand how IoT adoption affects decision-making processes in asset management in order to be able to achieve expected benefits and mitigate risk.

The purpose of this paper is to gain insight into the contingent use of rational, intuitive and political decision-making in R&D.

This research is based on a study in an R&D department of a multinational high-tech firm in the Netherlands. The study consists of a case study design, focusing on four embedded cases, longitudinally studying each case.

The literature distinguishes three dimensions of innovation decision-making processes: rational, intuitive and political. By studying these interwoven dimensions over time, this study finds that the dominant use of each of these dimensions differs across the innovation process. There is an emphasis on intuitive decision-making in an early phase, followed by more emphasis on political decision-making, and moving to more emphasis on rational decision-making in a later phase of the R&D process. Furthermore, the predominant choice in a specific innovation phase for one of the three decision-making dimensions is influenced by the decision-making dimension that is dominantly employed in the preceding phase.

This study contributes to the innovation decision-making literature by developing and applying a model that distinguishes rational, intuitive and political decision-making dimensions, the interactions among these dimensions in innovation decision-making in R&D, and the contingency of these dimensions upon the innovation phase. It calls for further research into the contingent nature of innovation decision-making processes.

For practitioners this study has two relevant insights. First it highlights the importance and usefulness of intuitive and political decision-making in addition to the prevailing emphasis on rational decision-making. Second, practitioners may be more alert to consciously changing their dominant decision-making approach across the phases of the innovation process. Third, companies may adjust their human resource policies to this study’s findings.

The literature on rational, intuitive and political decision-making is quite extensive. However, research has hardly studied how these decision-making dimensions develop in conjunction, and over time. This paper reports on a first study to do so and finds that the dominant use of these dimensions is contingent upon the phase of the R&D process and on the decision-making dimensions used in earlier phases. The study suggests that using a contingency approach can help to further integrate the debate in research and practice.

The purpose of this paper is to analyze the relationship between organizational performance and the pattern of strategic decisions formalized in the planning of a Brazilian heavy construction company between 2006 and 2014. In this period, the company experienced a recurrent pattern of maintaining strategic decisions, despite the systematic decrease in performance and investments in the formal strategic planning (SP) and monitoring of results. The research focus is on strategic inertia and the influence of social determinants on the relationship between performance and the strategic actions negotiated in formal planning.

This is a single-case study. The exploratory-descriptive research comprises data collection on performance and strategic decisions from the period between 2006 and 2014. The analysis was guided through documentary material and data collected from 16 interviews conducted with members of the middle to top management concerning performance, goals, and strategic initiatives. The interviewees’ statements were used to apprehend the interpreted dimension of SP expressed in the meanings attributed to this process. The analysis adopts a sociological base, and strategic inertia is the underlying phenomenon that guides this analysis.

The results show the interactive effect caused by political, cognitive, discursive, and ceremonial mechanisms obstruct the company’s strategic decisions. This case study illustrates that the conditions for the phenomenon of path dependence were created, reinforcing the strategic inertia observed in the maintenance of a reproduced pattern of strategic initiatives and goals, even though the performance was recurrently unsatisfactory. In this case, strategic inertia showed a complex relationship between the interpreted performance and strategic actions negotiated in formal planning, conditioned by mechanisms of trajectory reinforcement that interfered with the conditions for strategic change.

Strategic inertia demonstrates a complex relationship between the interpreted performance and strategic actions negotiated in formal planning, conditioned by mechanisms of trajectory reinforcement that interfere with the conditions for strategic change. Future research on social mechanisms from the perspective of strategy-as-practice could be developed to capture the tacit components, language, power games, and other relevant categories in the social interaction of strategy development at the organizational level. In addition, future research could focus on investigating the extent to which path dependence is contingent, assuming that it is a temporary and, therefore, reversible process.

This work contributes to the view of SP from the social perspective and shows that the relationship between performance and strategy has biases that can compromise performance. The work highlights implications for maintaining strategic initiative patterns, which shape a path whose function is less associated with its effects on performance and more associated with the commitment to instrumental results, due to the social nature of organizations.

This work deals with social mechanisms that influence strategic decisions. Since organizational performance depends on strategic decisions, the social nature of strategic inertia has causal implications to economic and social impact of organizations.

This work argues in favor of the influence of self-reinforcing mechanisms of path dependence in the relationship between performance and strategic decisions. The results extended the predominantly structural approach of path dependence by considering interpretive aspects related to the political, discursive, cognitive, and ceremonial dimensions of strategic inertia.

The purpose of this study is to address a timely research question by clarifying whether formal planning is a worthy approach for hotels. In so doing, the authors developed a theoretical model that extends prior research by exploring how the formal planning process influences organizational capabilities and decision-making style. The model also examines the impact of the three identified factors on planning effectiveness.

Data were collected from 175 hotels located in United Arab Emirates (UAE) and Qatar and hypotheses were tested using structural equation modeling (SEM).

The study concludes that the practice of formal planning in the tourism sector does matter and both organizational capabilities and decision-making style are important factors in predicting planning effectiveness.

Generalizations to organizations operating in other sectors, such as manufacturing or government sectors, should be drawn cautiously.

Taking into account oil price volatility and serious political crises in the region, this study provides several insights to hotel managers into how the formal planning process can influence planning effectiveness.

The findings enrich the debate on the role of formal planning in the tourism sector, which has been relatively devoid of similar studies.

The purpose of this paper is to explore the selection of decision-making approaches at manufacturing companies when implementing process innovations.

This study reviews the current understanding of decision structuredness for determining a decision-making approach and conducts a case study based on an interactive research approach at a global manufacturer.

The findings show the correspondence of intuitive, normative and combined intuitive and normative decision-making approaches in relation to varying degrees of equivocality and analyzability. Accordingly, the conditions for determining a decision-making choice when implementing process innovations are revealed.

This study contributes to increased understanding of the combined use of intuitive and normative decision making in production system design.

Empirical data are drawn from two projects in the heavy-vehicle industry. The study describes decisions, from start to finish, and the corresponding decision-making approaches when implementing process innovations. These findings are of value to staff responsible for the design of production systems.

Unlike prior conceptual studies, this study considers normative, intuitive and combined intuitive and normative decision making. In addition, this study extends the current understanding of decision structuredness and discloses the correspondence of decision-making approaches to varying degrees of equivocality and analyzability.