Cost-Benefit Determinants of Decision Process and Accuracy

Stephen W Gilliland, Neal Schmitt, Lisa Wood

Research output: Contribution to journalArticle

10 Citations (Scopus)

Abstract

Both costs and benefits were manipulated in monetary terms in a business relocation task in an effort to test cost-benefit models of decision making (e.g., Beach & Mitchell, 1978). Results indicated that both information costs and awards significantly affected depth, variability, and latency of search. Effects of cost of information on decision accuracy were mediated primarily by depth of search. The strongest support for cost-benefit models of decision making consisted of the very large difference between experimental conditions and a control condition to which costs and rewards were not manipulated. Future research should further explore the importance of cost-benefit manipulations and the impact of decision process variables on decision accuracy.

Original languageEnglish (US)
Pages (from-to)308-330
Number of pages23
JournalOrganizational Behavior and Human Decision Processes
Volume56
Issue number2
DOIs
StatePublished - Nov 1993
Externally publishedYes

Fingerprint

Cost-Benefit Analysis
Costs and Cost Analysis
Decision Making
Reward
Decision process
Cost-benefit
Decision making
Costs
Manipulation
Process variables
Costs and benefits
Relocation
Latency
Information costs

ASJC Scopus subject areas

  • Applied Psychology
  • Psychology(all)
  • Strategy and Management
  • Organizational Behavior and Human Resource Management

Cite this

Cost-Benefit Determinants of Decision Process and Accuracy. / Gilliland, Stephen W; Schmitt, Neal; Wood, Lisa.

In: Organizational Behavior and Human Decision Processes, Vol. 56, No. 2, 11.1993, p. 308-330.

Research output: Contribution to journalArticle

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