Managerial Decision Making and Evaluating Research Chapter 15 Managerial Decision Making and Evaluating Research

Chapter Objectives appreciate importance of both qualitative and quantitative investigations in business research recognise sometimes qualitative research may be the only way to solve certain types of business problems appreciate the many ways in which scientific research can help managers to make good decisions critique business research reports and published studies

The Business Research Process: Management Action

Scientific Research & Managerial Decision Making Research indicates the direction to problem solving; experience and common sense, in conjunction with scientific research results, contribute to good managerial decision making. One without the other is not completely effective.

Scientific Method Problem and Hypotheses clearly stated – others can test the same issues Research methods rigorously applied and clearly and adequately detailed – others can repeat the same procedures to test the same issues Appropriate statistical analysis ensures accuracy and precision. (Confidence limits, etc.) Biases reduced in data collection and data interpretation – objectivity ensured. Conclusions are adequately qualified – generalisability known

Good Decision Making is a function of thoroughly understanding and using the findings of the research, carefully weighing the various recommendations made, taking experience as a guide, and recognising the organisational culture and the values of the system.

Ethical Behaviour Ethical behaviour dictates that the manager applies research findings for the benefit of the organisation, even if they clash with his or her own personal goals and ambitions.

Purposive Research can be of different types, depending on the nature of the problem investigated fully scientific studies may not always be possible in applied business research, because of insufficient prior knowledge then more qualitative research required

Decision-making Processes and Different Types of Research descriptive studies provide information of interest to the manager generally no complex decision making is required hypothesis-testing studies provide alternative choices for solving problems experience and sound judgement come into play in the decision-making process qualitative studies may either describe events or offer solutions experience-based personal judgement, with a touch of intuition, will play a big part in decision making

What Managers Should Know How research is done How to locate and define the problem What methods to use for research How to differentiate between “good” and ‘bad” research of consultants and the journal articles How recommendations are to be implemented and evaluated

Evaluating Business Research Conceptual/Overview questions Framework questions Method questions Results or conclusions questions Reader’s abstract Based on: Katzer et al. 1991, Beck 1990 & Leedy 1997

Conceptual/Overview Questions What are your reasons for undertaking this critique? Who is the research prepared for? What are the general philosophical bases or paradigms guiding the research? Are the research methods used primarily quantitative, qualitative or a mixture of both? What are the backgrounds or biases of the researchers or authors? What is the effect of the language used?

Framework Questions Appear at the beginning of most business research reports or published articles, including everything prior to the method section: The problem Literature review Theoretical or conceptual framework Research variables Research objectives

1. The Problem Is the problem clearly and concisely stated? Is the problem adequately narrowed down into a researchable form? Is the problem significant enough to warrant a formal research effort? Is the relationship of the identified problem to previous research clear?

2. Literature Review Is the literature review logically organised? Does the literature review provide a critique of the relevant studies? Are gaps in knowledge about the research problem identified? Are important relevant references omitted?

3. Theoretical or Conceptual Framework Is the theoretical framework easily linked with the problem, or does it seem forced? If a conceptual framework is used, are the concepts clearly defined and are possible relationships among these concepts explored?

4. Research Variables Are the independent and dependent variables operationally defined? Are any extraneous or intervening variables identified?

5. Research Objectives For research questions: Are the research questions specific enough to provide direction but not so narrow that they will bias the research For hypotheses: Is a predicted relationship between two or more variables included in each hypothesis? Are the hypotheses clear, testable and specific? Do the hypotheses flow logically from the theoretical or conceptual framework?

Method Questions These questions relate to the overall methodology of the research and are likely to be found in the middle sections of business reports or articles: Sampling Research design Data collection methods

6. Sampling Is the sample size adequate? Is the sample representative of the defined population? Is the method for selection of the sample appropriate? Are the sample criteria for inclusion into the study identified? Is there any sampling bias in the chosen method?

7. Research Design Is the research design adequately described? Is the design appropriate for the research objectives? Does the research design control for threats in internal and external validity of the study?

8. Data Collection Methods Are the data collection methods appropriate for the study? Are the data collection methods described adequately? For qualitative research, are the methods trustworthy and accurate, or For quantitative research are the reliability and validity of the measurement tools adequate?

Results or Conclusions Questions The final set of questions relate to the latter parts of a business research report or paper, including what the researcher found out during the research and how these findings were interpreted: Data analysis Interpretation and discussion of the findings

9. Data Analysis Is the results section clearly and logically organised? Is the type of analysis appropriate for the type of data collected? Are the tables and figures clear and understandable? If quantitative research, is the statistical test the correct one for answering the research question?

10. Interpretation and discussion of the findings Are the interpretations based on the data obtained? Does the investigator clearly distinguish between actual findings and interpretations? Does the researcher answer the questions asked? Are the findings discussed in relation to previous research and to the conceptual or theoretical framework? How important are the findings? Are unwarranted generalisations made beyond the study sample? Are the limitations of the results identified? Are the implications of the results for business and management practice discussed? Are recommendations for future research identified? Are the conclusions justified?

Reader’s Abstract Includes: main items normally found in an abstract or executive summary - in your own words brief summary of your critique ‘your assessment of the factual accuracy of the findings and their generalisability to your situation’ (Katzer et al. 1991:201) appear at end of your critique

Final Comment! After having gone through the different steps in the research process and research design of scientific research studies, we have concluded that: Both qualitative and quantitative studies are integral parts of scientific investigations — each having its distinct role to play In the ultimate analysis, the induction–deduction process is what leads to problem solving