scholarly journals Effect of Trust between the Time Pressure and Complexity in Judging and Decision-Making in Auditing

2021 ◽  
Vol 25 (5) ◽  
Author(s):  
Cleston Alexandre dos Santos ◽  
Paulo Roberto da Cunha
Keyword(s):  
Decision Making ◽  
Time Pressure ◽  
Task Complexity ◽  
Academic Research ◽  
Behavioral Decision Theory ◽  
Behavioral Decision ◽  
Joint Influence ◽  
Final Sample ◽  
And Task

ABSTRACT Objective: the study aimed to assess the moderating effect of confidence in the joint influence of time pressure and complexity in judgment and decision-making (JDM) in auditing. The behavioral decision theory (BDT) was used from the perspective of the anchoring heuristic. Methods: as a method, the 2x2x2 experiment was used with a final sample of 126 independent auditors. For analysis, the t-test and multiple linear regressions were used. Results: the findings allow us to infer that factors such as trust, time pressure, and complexity, individually and jointly, influence JDM. The study showed that trust moderates the joint influence of time pressure and complexity on JDM. Time pressure and task complexity negatively influence JDM, but when including trust as a moderating factor, the effect of time pressure and complexity is mitigated, reducing the auditor’s difficulties and uncertainties in JDM. Conclusion: the study contributes to BDT, moving academic research toward understanding the interrelationships between personal, environmental, and task factors. It also contributes by presenting evidence that there is a need for considering and observing the effects generated by the factors altogether, in order to contribute to improving the quality of the audit.

scholarly journals Efeito da Confiança entre a Pressão de Tempo e Complexidade no Julgamento e Tomada de Decisão em Auditoria

2021 ◽  
Vol 25 (5) ◽  
Author(s):  
Cleston Alexandre dos Santos ◽  
Paulo Roberto da Cunha
Keyword(s):  
Time Pressure ◽  
Task Complexity ◽  
Academic Research ◽  
Behavioral Decision Theory ◽  
Behavioral Decision ◽  
Joint Influence ◽  
Final Sample ◽  
Linear Regressions ◽  
And Task

ABSTRACT Objective: the study aimed to assess the moderating effect of confidence in the joint influence of time pressure and complexity in judgment and decision-making (JDM) in auditing. The behavioral decision theory (BDT) was used from the perspective of the anchoring heuristic. Methods: as a method, the 2x2x2 experiment was used with a final sample of 126 independent auditors. For analysis, the t-test and multiple linear regressions were used. Results: the findings allow us to infer that factors such as trust, time pressure, and complexity, individually and jointly, influence JDM. The study showed that trust moderates the joint influence of time pressure and complexity on JDM. Time pressure and task complexity negatively influence JDM, but when including trust as a moderating factor, the effect of time pressure and complexity is mitigated, reducing the auditor’s difficulties and uncertainties in JDM. Conclusion: the study contributes to BDT, moving academic research toward understanding the interrelationships between personal, environmental, and task factors. It also contributes by presenting evidence that there is a need for considering and observing the effects generated by the factors altogether, in order to contribute to improving the quality of the audit.

Simple Strategies or Simple Tasks? Dynamic Decision Making in “Complex” Worlds

1996 ◽  
Vol 40 (4) ◽  
pp. 184-188
Author(s):  
Alex Kirlik ◽  
Ling Rothrock ◽  
Neff Walker ◽  
Arthur D. Fisk
Keyword(s):  
Decision Making ◽  
Empirical Evidence ◽  
Time Pressure ◽  
Task Complexity ◽  
Empirical Finding ◽  
Decision Makers ◽  
Dynamic Decision Making ◽  
Decision Problems ◽  
Decision Strategies

Decision makers in operational environments perform in a world of dynamism, time pressure, and uncertainty. Perhaps the most stable empirical finding to emerge from naturalistic studies in these domains is that, despite apparent task complexity, performers only rarely report the use of complex, enumerative decision strategies. If we accept that decision making in these domains is often effective, we are presented with a dilemma: either decision strategies are (covertly) more complex than these performers claim, or these tasks are (subtlely) more simple than they might appear. We present a set of empirical findings and modeling results which suggest the latter explanation: that the simplicity of decision making is not merely apparent but largely real, and that tasks of high apparent complexity may yet admit to rather simple types of decision strategies. We also discuss empirical evidence that sheds light on the error forms resulting from the tendency of performers to seek and employ heuristic solutions to dynamic, uncertain decision problems.

Behavioral Decision Theory

2020 ◽  
Author(s):  
Kazuhisa Takemura
Keyword(s):  
Decision Making ◽  
Decision Theory ◽  
Behavioral Economics ◽  
Behavioral Finance ◽  
Utility Theory ◽  
Normative Theory ◽  
Behavioral Decision Theory ◽  
Behavioral Decision ◽  
Descriptive Theory ◽  
Human Decision

Behavioral decision theory is a descriptive psychological theory of human judgment, decision making, and behavior that can be applied to political science. Behavioral decision theory is closely related to behavioral economics and behavioral finance. Behavioral economics is an attempt to understand actual human economic behavior, and behavioral finance studies human behavior in financial markets. Research on people’s decision making represents an important part of these fields, in which various aspects overlap with the scope of behavioral decision theory. Behavioral decision theory focuses on the decision-making phenomena that are broadly divisible into those under certainty, those under risk, and others under uncertainty that includes ambiguity and ignorance. What are the theoretical frameworks that could be used to explain the decision-making phenomenon? Although numerous theories related to decision making have been developed, they are, in essence, often broadly divided into two types: normative theory and descriptive theory. The former is intended to support rational decision making. The latter describes how people actually make decisions. Both normative and descriptive theories reflect the nature of actual human decision making to a degree. Even descriptive theory seeks a certain level of rationality in actual human decision making. Consequently, the two are mutually indistinguishable. Nonetheless, a major example of normative theory is regarded as the system of utility theory that is widely used in economics. A salient example of descriptive theory is behavioral decision theory. Utility theory has numerous variations, such as linear and nonlinear utility theories. Most theories have established axioms and mathematically developed principles. In contrast, behavioral decision theory covers a considerably wide range of variations of theoretical expressions, including theories that have been developed mathematically (such as prospect theory) and those expressed only with natural language (such as multiattribute decision-making process models). Behavioral decision theory has integrated the implications of the normative theory, descriptive theory, and prescriptive theory that help people to make better decisions.

Searching for Cues: An Analysis on Factors Effecting the Decision Making Process of Regional Airline Pilots

2005 ◽  
Vol 49 (3) ◽  
pp. 578-581 ◽  
Author(s):  
Yee-Len Khoo ◽  
Kathleen Mosier
Keyword(s):  
Decision Making ◽  
Cognitive Processes ◽  
Time Pressure ◽  
Weak Link ◽  
Loose Coupling ◽  
Aviation Accidents ◽  
Airline Pilots ◽  
Conflicting Information ◽  
Accident Causation

Research on aviation accidents and incidents has indicated humans are potentially the “weak link” in the chain of accident causation. The problem faced by researchers here is there is often no clear standard of determining what decision is “correct” or “incorrect“. In addition, the loose coupling of an event outcome and the decision process makes it hard researchers to use accident reports as a reliable indicator of the quality of the decision. The goal of this research is to explore cognitive processes of pilots when dealing with the types of decisions required under time pressure and with conflicting information and how pilots use information as they are performing diagnostic and decision-making tasks in the automated cockpit. Differences were found between pilots with more experience in automated aircrafts however predicted automation bias effects were non-apparent.

scholarly journals Modeling the influence of working memory, reinforcement, and action uncertainty on reaction time and choice during instrumental learning

2019 ◽  
Author(s):  
Samuel McDougle ◽  
Anne Collins
Keyword(s):  
Decision Making ◽  
Working Memory ◽  
Reaction Time ◽  
Process Model ◽  
Task Complexity ◽  
Sequential Sampling ◽  
Instrumental Learning ◽  
Decision Dynamics ◽  
Reward Contingencies ◽  
And Task

What determines the speed of our decisions? Various models of decision-making have focused on perceptual evidence, past experience, and task complexity as important factors determining the degree of deliberation needed for a decision. Here, we build on a sequential sampling decision-making framework to develop a new model that captures a range of reaction time (RT) effects by accounting for both working memory and instrumental learning processes. The model captures choices and RTs at various stages of learning, and in learning environments with varying complexity. Moreover, the model generalizes from tasks with deterministic reward contingencies to probabilistic ones. The model succeeds in part by incorporating prior uncertainty over actions when modeling RT. This straightforward process model provides a parsimonious account of decision dynamics during instrumental learning and makes unique predictions about internal representations of action values.

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