Programmable Automation and the Locus of Decision-Making Power

1999 ◽  
Vol 25 (1) ◽  
pp. 29-53 ◽  
Author(s):  
Paul D. Collins ◽  
Lori Verstegen Ryan ◽  
Sharon F. Matusik

Computer-based technology is often credited with making decentralized decision-making possible, helping firms to respond rapidly to changing market conditions. Research on this subject, however, shows contradictory effects: some studies support decentralization and others support centralization. This longitudinal study examines how one form of computer-based technology, programmable automation (PA), affects centralization. Unlike previous studies, it attempts to clear up some of the confusion surrounding technology’s effect on centralization by distinguishing between strategic and operating decisions, and between decision-making authority and influence. As expected, PA flattened the hierarchy. It had no effect on strategic decision-making power, but surprisingly, did influence centralized line-operating authority and influence. This finding is particularly striking because firms with decentralized line-operating decision-making are more likely to adopt PA.

2011 ◽  
pp. 1274-1296
Author(s):  
Udo Richard Averweg ◽  
Jose L. Roldan

Strategically important information for executive decision-making is often not readily available since it may be scattered in an organization’s internal and external environments. An executive information system (EIS) is a computer-based technology designed in response to specific needs of executives and for decision-making. Executives having the “right” information for strategic decision-making is considered critical for strategic intelligence (SQ). SQ is the ability to interpret cues and develop appropriate strategies for addressing the future impact of these cues. In order to gauge the current situation in respect of information in an EIS and for managing future EIS development, the authors research EIS in organizations in two selected countries: South Africa and Spain. From their EIS study, parallelisms and differences are identified and implications for SQ are discussed. Some practical implications for future EIS development are given. The authors suggest these should be considered so that SQ for executive decision-making is facilitated.


Author(s):  
Han Smit ◽  
Thras Moraitis

This chapter develops a framework for assessing the value generated by both the option-like and competitive characteristics of an acquisition strategy. The conceptual approach is based on real options and principles from game theory. It illustrates the approach with an example of how real options and games thinking were used in strategic decision making at a major pharmaceutical company. The method treats an acquisition strategy as a package of corporate real options actively managed by the firm in a context of competitive responses or changing market conditions. This framework can help management answer several questions that are important for a successful acquisition strategy: How valuable are the growth opportunities created by the acquisition? How can we best sequence the acquisition options in the strategy? When is it appropriate to grow organically, and when are strategic acquisitions the preferred route? How is the industry likely to respond, and how will that affect the value of our acquisitions and future targets? The subsequent sections present a series of frameworks to address these questions.


Author(s):  
U. Averweg ◽  
J. Roldán

Strategically important information for executive decision-making is often not readily available since it may be scattered in an organization’s internal and external environments. An executive information system (EIS) is a computer-based technology designed in response to specific needs of executives and for decision-making. Executives having the “right” information for strategic decision-making is considered critical for strategic intelligence (SQ). SQ is the ability to interpret cues and develop appropriate strategies for addressing the future impact of these cues. In order to gauge the current situation in respect of information in an EIS and for managing future EIS development, the authors research EIS in organizations in two selected countries: South Africa and Spain. From their EIS study, parallelisms and differences are identified and implications for SQ are discussed. Some practical implications for future EIS development are given. The authors suggest these should be considered so that SQ for executive decision-making is facilitated.


2021 ◽  
Vol 13 (2) ◽  
pp. 845
Author(s):  
Marli Gonan Božac ◽  
Katarina Kostelić

The inclusion of emotions in the strategic decision-making research is long overdue. This paper deals with the emotions that human resource managers experience when they participate in a strategic problem-solving event or a strategic planning event. We examine the patterns in the intensity of experienced emotions with regard to event appraisal (from a personal perspective and the organization’s perspective), job satisfaction, and coexistence of emotions. The results reveal that enthusiasm is the most intensely experienced emotion for positively appraised strategic decision-making events, while frustration is the most intensely experienced emotion for negatively appraised problem-solving events, as is disappointment for strategic planning. The distinction between a personal and organizational perspective of the event appraisal reveals differences in experienced emotions, and the intensity of experienced anger is the best indicator of the difference in the event appraisals from the personal and organizational perspective. Both events reveal the variety of involved emotions and the coexistence of—not just various emotions, but also emotions of different dominant valence. The findings indicate that a strategic problem-solving event triggers greater emotional turmoil than a strategic planning event. The paper also discusses theoretical and practical implications.


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