Improving the decision-making skills: training in decision-making, cognitive biases, and evidence-based management.
Espinosa, Fernando (2022)
2022
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2022061217499
https://urn.fi/URN:NBN:fi:amk-2022061217499
Tiivistelmä
The World Bank estimates that in 2017 the actual weighted mean tariff applied by the members of the World Trade Organization was only 2,59 percent. Competition in manufacturing is so intense that some developed countries formerly masters of industrialization and advocates of globalization are turning inwards and erecting trade barriers for political reasons. This intense competition demands better outcomes from every relevant business decision. Improved fact-based decision-making provides an area of opportunity significantly ignored by many managers to lever the performance and improve the efficiencies of the enterprise.
This action-oriented research aimed to find out how training in Decision-making, Cognitive biases, and Evidence-based Management supported the development of the decision-making skills of the management in the researched enterprise. The theoretical framework was based on the learnings from the behavioral sciences developed after the concept of bounded rationality by Herbert A. Simon and of cognitive biases by psychologists and researchers Amos Tversky and Daniel Kahneman. Advances in behavioral economics have exposed the flaws of classic economics that previously assumed individuals as free agents making perfectly rational decisions and in constant search for what is best for their interest.
This action-oriented research was conducted by an insider in the researched enterprise and the data was collected through four semi-structured interviews and analyzed by qualitative content analysis. The research results suggest that training in Decision-making encourages team working spirit, it successfully creates awareness of the need to improve and develop the enterprise’s decision-making processes and tools, the participants reported having abundant ideas on how to implement the learnings and bring tangible improvements in their areas of responsibility, and that for the successful implementation of Evidence-based Management practice, daily repetition is what will eventually make a difference.
This action-oriented research aimed to find out how training in Decision-making, Cognitive biases, and Evidence-based Management supported the development of the decision-making skills of the management in the researched enterprise. The theoretical framework was based on the learnings from the behavioral sciences developed after the concept of bounded rationality by Herbert A. Simon and of cognitive biases by psychologists and researchers Amos Tversky and Daniel Kahneman. Advances in behavioral economics have exposed the flaws of classic economics that previously assumed individuals as free agents making perfectly rational decisions and in constant search for what is best for their interest.
This action-oriented research was conducted by an insider in the researched enterprise and the data was collected through four semi-structured interviews and analyzed by qualitative content analysis. The research results suggest that training in Decision-making encourages team working spirit, it successfully creates awareness of the need to improve and develop the enterprise’s decision-making processes and tools, the participants reported having abundant ideas on how to implement the learnings and bring tangible improvements in their areas of responsibility, and that for the successful implementation of Evidence-based Management practice, daily repetition is what will eventually make a difference.