Risk-Managing Decision-Making: A Psycho-Social Rationality Model

2020 ◽  
Author(s):  
Brian J Taylor
Keyword(s):  
Decision Making ◽  
Decision Model ◽  
Decision Processes ◽  
Risk And Uncertainty ◽  
Social Rationality ◽  
Decision Environment ◽  
Academic Discourses ◽  
Rationality Model ◽  
Cognitive Dimensions ◽  
Care Support

Abstract Social workers are frequently involved in making decisions and in managing risks, although there has been limited conceptualisation to connect these tasks with each other or with assessment processes. This lack of connection reflects the general separateness of the wider academic discourses on risk and uncertainty (often sociological and organisational, relating frequently to business or economic contexts) and those on decision-making (often focusing on psychology of individual judgement, and typically relating to medical or military contexts). This article presents and explores the potential of a ‘risk-managing decision model’, as an example of a model linking risk management with decision science. This is a psycho-social rationality model for choosing between options, such as possible care, support or intervention plans for a client or family. Rather than treating the options as ‘given’ (i.e. unchangeable), as in most decision theories, this model proposes that the decision maker(s) look for ways to manage or reduce the risks inherent in the preferred option as part of the decision process. Like other psycho-social rationality models, this model incorporates both individual cognitive dimensions and framing aspects of the decision environment. Relevance to social work is discussed with examples and reference to various settings and decision processes.

The decision-making processes of self-initiated expatriates: a consumer behaviour approach

2015 ◽  
Vol 3 (1) ◽  
pp. 4-24 ◽  
Author(s):  
Gabriela Glassock ◽  
Anthony Fee
Keyword(s):  
Decision Making ◽  
Decision Model ◽  
Decision Processes ◽  
Exploratory Research ◽  
Consumer Decision Making ◽  
Consumer Decision ◽  
High Involvement ◽  
Content Type ◽  
Decision Making Processes ◽  
High Quality Information

Purpose – The purpose of this paper is to explore the features of the decision-making processes used by self-initiated expatriates (SIEs) when considering an international assignment. It does this by examining expatriates’ decision processes through the lens of prominent theories of consumer decision making. Design/methodology/approach – An abductive, exploratory research design was employed, based on in-depth qualitative case studies of nine SIEs. Findings – In general, the expatriates in the study tended to deploy high-involvement decision-making processes. Rational decision models drawing on multiple high-quality information sources were common, especially for expatriates with career-oriented motivations and no prior experience in the target country. Three types of expatriates are distilled: “career building” (high involvement, career oriented, compensatory decision model), “risk minimizing” (high/medium involvement, non-compensatory decision model), and “emotionally driven” (low involvement, affective decision model). Originality/value – While research into expatriates’ motivations is plentiful, this is the first study to examine the decision-making processes that define the way in which these motivations are enacted. Its originality stems from combining two previously unrelated strands of research (consumer decision making and expatriation). The resulting tentative typology of decision-making approaches provides a platform for organisations seeking to better target talent recruitment, and for researchers seeking to further examine the decision processes of SIEs.

Applying the Multi-Criteria Decision Making Model for Ranking Commercial Banks: The Case of Vietnam

2019 ◽  
pp. 125-133
Author(s):  
Duong Truong Thi Thuy ◽  
Anh Pham Thi Hoang
Keyword(s):  
Decision Making ◽  
Commercial Banks ◽  
Decision Model ◽  
Business Models ◽  
Multi Criteria Decision Making ◽  
Ideal Solution ◽  
Topsis Method ◽  
Decision Making Model

Banking has always played an important role in the economy because of its effects on individuals as well as on the economy. In the process of renovation and modernization of the country, the system of commercial banks has changed dramatically. Business models and services have become more diversified. Therefore, the performance of commercial banks is always attracting the attention of managers, supervisors, banks and customers. Bank ranking can be viewed as a multi-criteria decision model. This article uses the technique for order of preference by similarity to ideal solution (TOPSIS) method to rank some commercial banks in Vietnam.

scholarly journals Application of the theory of decision making under risk and uncertainty at modelling of costs

2010 ◽  
Vol 56 (No. 5) ◽  
pp. 201-208 ◽  
Author(s):  
M. Beranová ◽  
D. Martinovičová
Keyword(s):  
Decision Making ◽  
Financial Accounting ◽  
Cost Functions ◽  
Risk And Uncertainty ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
Bayesian Theorem ◽  
Long Run ◽  
Short Run ◽  
The Cost

The costs functions are mentioned mostly in the relation to the Break-even Analysis where they are presented in the linear form. But there exist several different types and forms of cost functions. Fist of all, it is necessary to distinguish between the short-run and long-run cost function that are both very important tools of the managerial decision making even if each one is used on a different level of management. Also several methods of estimation of the cost function's parameters are elaborated in the literature. But all these methods are based on the past data taken from the financial accounting while the financial accounting is not able to separate the fixed and variable costs and it is also strongly adjusted to taxation in the many companies. As a tool of the managerial decision making support, the cost functions should provide a vision to the future where many factors of risk and uncertainty influence economic results. Consequently, these random factors should be considered in the construction of cost functions, especially in the long-run. In order to quantify the influences of these risks and uncertainties, the authors submit the application of the Bayesian Theorem.

scholarly journals Determinant Factors in Personal Decision-Making to Adopt COVID-19 Prevention Measures in Chile

2021 ◽  
Vol 18 (15) ◽  
pp. 8131
Author(s):  
Karina Fernanda Gonzalez ◽  
Maria Teresa Bull ◽  
Sebastian Muñoz-Herrera ◽  
Luis Felipe Robledo
Keyword(s):  
Decision Making ◽  
Decision Model ◽  
Protective Action ◽  
Prevention Measures ◽  
Protective Measures ◽  
Protective Action Decision Model ◽  
Exploratory Survey ◽  
Relevant Variables ◽  
Personal Decision ◽  
Action Decision

The pandemic has challenged countries to develop stringent measures to reduce infections and keep the population healthy. However, the greatest challenge is understanding the process of adopting self-care measures by individuals in different countries. In this research, we sought to understand the behavior of individuals who take self-protective action. We selected the risk homeostasis approach to identify relevant variables associated with the risk of contagion and the Protective Action Decision Model to understand protective decision-making in the pandemic. Subsequently, we conducted an exploratory survey to identify whether the same factors, as indicated in the literature, impact Chile’s adoption of prevention measures. The variables gender, age, and trust in authority behave similarly to those found in the literature. However, socioeconomic level, education, and media do not impact the protection behaviors adopted to avoid contagion. Furthermore, the application of the Protective Action Decision Model is adequate to understand the protective measures in the case of a pandemic. Finally, women have a higher risk perception and adopt more protective measures, and in contrast, young people between 18 and 30 years of age are the least concerned about COVID-19 infection.

Research on Investment Decision-Making of the Low-Carbon Industrial Listed Company Based on the Uncertainty Set Pair Analysis

2010 ◽  
Vol 39 ◽  
pp. 568-574
Author(s):  
Jun Fei Chen ◽  
Jian Qiao Lin
Keyword(s):  
Decision Making ◽  
Decision Model ◽  
Listed Company ◽  
Investment Decision ◽  
Set Pair Analysis ◽  
Low Carbon ◽  
Development Mode ◽  
Investment Decision Making ◽  
Uncertainty Set ◽  
Pair Analysis

As a new economical development mode, “low-carbon economic” is attracting more and more attention all over the world. In this paper, associating with the development background of the low-carbon industry, we applied the uncertainty set pair analysis (SPA) into the investment decision-making of the listed company, and established the investment decision model based on the uncertainty SPA. As a case, we made investment decision analysis to 12 typical low-carbon industrial listed companies selected. The results show that it is effective and applicable, and the research is helpful for the investors conducting decision-making.

scholarly journals Hierarchical decision processes that operate over distinct timescales underlie choice and changes in strategy

2016 ◽  
Vol 113 (31) ◽  
pp. E4531-E4540 ◽  
Author(s):  
Braden A. Purcell ◽  
Roozbeh Kiani
Keyword(s):  
Decision Making ◽  
Neural Mechanism ◽  
Decision Processes ◽  
Response Strategy ◽  
Limited Information ◽  
Decision Strategy ◽  
Stimulus Response ◽  
Hierarchical Decision ◽  
The Right ◽  
High Level

Decision-making in a natural environment depends on a hierarchy of interacting decision processes. A high-level strategy guides ongoing choices, and the outcomes of those choices determine whether or not the strategy should change. When the right decision strategy is uncertain, as in most natural settings, feedback becomes ambiguous because negative outcomes may be due to limited information or bad strategy. Disambiguating the cause of feedback requires active inference and is key to updating the strategy. We hypothesize that the expected accuracy of a choice plays a crucial rule in this inference, and setting the strategy depends on integration of outcome and expectations across choices. We test this hypothesis with a task in which subjects report the net direction of random dot kinematograms with varying difficulty while the correct stimulus−response association undergoes invisible and unpredictable switches every few trials. We show that subjects treat negative feedback as evidence for a switch but weigh it with their expected accuracy. Subjects accumulate switch evidence (in units of log-likelihood ratio) across trials and update their response strategy when accumulated evidence reaches a bound. A computational framework based on these principles quantitatively explains all aspects of the behavior, providing a plausible neural mechanism for the implementation of hierarchical multiscale decision processes. We suggest that a similar neural computation—bounded accumulation of evidence—underlies both the choice and switches in the strategy that govern the choice, and that expected accuracy of a choice represents a key link between the levels of the decision-making hierarchy.

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