Rational Decisions in Organisations: Theoretical and Pracitcal Aspects

247 Pages·2022·9.259 MB·English

by  Frédéric Adam, Dorota Kuchta, Stanisław Stanek

Rational Decisions in
Organisations

Rational Decisions in
Organisations
Theoretical and Practical Aspects
Edited by
Frédéric Adam, Dorota Kuchta, and Stanisław Stanek
Reviewers
Frédéric Adam, Joanna Iwko, Gaye Kiely, Dorota Kuchta,
Ewa Marchwicka, Stephen McCarthy,
Gloria Phillips-Wren, Stanisław Stanek,
Tadeusz Trzaskalik, and Irem Ucal Sari
first edition published [2022]
by CRC Press
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and by CRC Press
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CRC Press is an imprint of Taylor & Francis Group, LLC
© 2022 Frédéric Adam, Dorota Kuchta, and Stanisław Stanek
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ISBN: 978-0-367-46774-6 (hbk)
ISBN: 978-1-032-19395-3 (pbk)
ISBN: 978-1-003-03096-6 (ebk)
DOI: 10.1201/9781003030966
Typeset in AGaramond
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Contents
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . vii
Editors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .ix
Contributors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .xi
PART I THE HUMAN PERSPECTIVE OF DECISION MAKING
1 Intuition in Decision Making – An Investigation in the Delivery Room . . . . . . . . . . .3
FRÉDÉRIC ADAM, EUGENE DEMPSEY, BRIAN WALSH, AND MMOLOKI KENOSI
2 The Moral Dilemmas Involved in Decisions to Respond to Physical
Aggression . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25
RYSZARD KAŁUŻNY AND STANISŁAW STANEK
PART II ORGANISATIONAL PERSPECTIVE OF DECISION MAKING
3 Maturity Evaluation in Construction Companies Based on Case Study Research and
Fuzzy Set Theory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49
AGATA KLAUS-ROSIŃSKA AND JOANNA IWKO
4 Corporate Health and Safety Performance Index as a Measure of the Level
of Occupational Health and Safety Management in the Company Based on
the ISO 45001 Standard . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .65
JACEK IWKO, ANETA PISARSKA, JOANNA IWKO, AND MAŁGORZATA KOCHANEK
5 The Theoretical and Practical Design Thinking Approach in IT Project – The Remote
Human Resource Management System Case Study . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
ANNA SOŁTYSIK-PIORUNKIEWICZ AND EDYTA ABRAMEK
PART III UNCERTAINTY AND PRESSURE IN DECISION MAKING
6 Increasing the Efficiency of IT Waterfall Projects Control: Modified Earned
Value Analysis Combined with Parametric Estimation . . . . . . . . . . . . . . . . . . . . . . . . . 101
DOROTA KUCHTA AND STANISŁAW STANEK
v
vi ▪ Contents
7 An Application of Decision Support Technique for Global Software Project
Monitoring and Rescheduling Based on Risk Analysis . . . . . . . . . . . . . . . . . . . . . . . . . 117
EWA MARCHWICKA AND TYMON MARCHWICKI
8 Type-2 Fuzzy Numbers in Models of Project Time Affected by Risk . . . . . . . . . . . . 143
BARBARA GŁADYSZ
PART IV SOFTWARE APPLIED TO DECISION MAKING IN
ORGANISATIONS
9 Socialising Decision Enactment: Living Provenance in Decision Support . . . . . . . 165
PATRICK HUMPHREYS
10 Machine Learning Solutions in the Management of a Contemporary Business
Organisation: A Case Study Approach in a Banking Sector . . . . . . . . . . . . . . . . . . . . . 189
LESZEK ZIORA
11 Integration of the Decision Support System with the Human Resources
Management and Identity and Access Management Systems in an Enterprise . . . 203
MILJENKO HAJNIĆ AND BILJANA MILEVA BOSHKOSKA
Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 223
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 225
Introduction
Managers in organisations have to make rational decisions. Being the opposite of intuitive
decision making, rational decision making is a strict procedure utilising objective knowledge and
logic. It involves identifying the problem to solve, gathering facts, identifying options and
outcomes, analysing them, taking into account all the relationships, and selecting the decision.
It does not exclude using intuition and other purely human, informal factors, like
communication or observing human behaviours and reactions. On one hand, they are an
irreplaceable source of ideas, possible scenarios, or solutions. On the other hand, decisions in
management concern human beings, so their reactions and feelings cannot be disregarded. In the
final analysis, however, all those human and social factors should be woven into the strict rational
decision-making procedure.
Rational decision making requires support: methods and software tools. The identification of
the problem to solve needs methods that would measure and evaluate the current situation.
Identification and evaluation of options and analysis of the available possibilities involves analysis
and optimisation methods. Incorporating intuition into rational decision making needs adequate
methods that would translate ideas or observed behaviours into hard data. Communication,
observation, and opinions recording is hardly possible today without adequate software.
Information and data that form the input, intermediate variables, and the output in the
decision process have to be stored, managed, and made accessible in a user-friendly manner.
The editors of this book have set the following objective: to present selected recent developments
in the support of the widely understood rational decision making in organisations, illustrated
through case studies.
Part I of the book (Human Perspective of Decision Making) focuses on the human being in
the rational decision-making process. Chapter 1, entitled “Intuition in Decision Making – An
Investigation in the Delivery Room,” describes the problem of observing expert behaviours and
their intuitive decision-making process so that they could be translated into a hard decision-
making procedure supporting human decisions. Chapter 2, entitled “The Moral Dilemmas
Involved in Decisions to Respond to Physical Aggression,” explores the problem of rationalising
decisions that are difficult to rationalise: those made in the situation of physical aggression.
Managers should create conditions that introduce as much rationality as possible even into such
apparently uncontrollable decisions.
Part II of the book (Organisational Perspective of Decision Making) concentrates on
making decisions regarding the improvement of the organisation’s functioning. Chapter 3,
entitled “Maturity Evaluation in Construction Companies Based on Case Study Research and
Fuzzy Set Theory,” proposes decision-making procedures to improve the quality of project
management in the organisation. Chapter 4, entitled “Corporate Health and Safety Performance
Index as a Measure of the Level of Occupational Health and Safety Management in the Company
vii
viii ▪ Introduction
Based on the ISO 45001 Standard,” aims at improving the health and safety aspect of the
organisation’s functioning. Chapter 5, entitled “The Theoretical and Practical Design Thinking
Approach in IT Project – The Remote Human Resource Management System Case Study,”
contributes to the efficiency of the recruitment process.
Part III of the book (Uncertainty and Pressure in Decision Making) addresses the decision
making in projects, which are per their nature always linked to risk, uncertainty, and changes.
Chapter 6, entitled “Increasing the Efficiency of IT Waterfall Projects Control: Modified Earned
Value Analysis Combined with Parametric Estimation,” proposes a method supporting decision
making with respect to changes in the project under the pressure of time during project execution.
Also Chapter 7, entitled “An Application of Decision Support Technique for Global Software
Project Monitoring and Rescheduling Based on Risk Analysis,” refers to decision making during
project implementation in response to risk: the problem treated there is the need for problem
rescheduling. Chapter 8, entitled “Type-2 Fuzzy Numbers in Models of Project Time Affected by
Risk,” proposes a mathematical model of project planning in the situation of risky project
duration.
Part IV of the book (Software Applied to Decision Making in Organisations) presents
three examples of advanced software usage in organisational decision making. Chapter 9, entitled
“Socialising Decision Enactment: Living Provenance in Decision Support,” describes the usage of
software systems supporting social decision making (as opposite to individual decision making),
wherein a wide network of partner decisions are made in full transparency, with all the necessary
details and aspect accessible any time to anybody. Chapter 10, entitled “Machine Learning
Solutions in the Management of a Contemporary Business Organisation: A Case Study Approach
in a Banking Sector” describes advanced technology applications in all aspects of organisational
decision making. Chapter 11, entitled “Integration of the Decision Support System with the
Human Resources Management and Identity and Access Management systems in an Enterprise,”
presents software support in human resources management related decisions.
We truly hope that the book will open new research and application perspectives to our
readers so that more and more rational evidence-based decisions are made in our organisations,
producing benefits to all of us.
Editors
Frédéric Adam is a full professor in the Department of Business Information Systems at the
University College of Cork’s Business School, Cork Ireland. His research interests are focused on
decision support systems both in business and in the medical area where he has led several projects
aimed at developing decision support artefacts for clinicians. He has also published extensively in
the ERP area. He is a principal investigator (PI) in the Financial Services Innovation Centre and a
founding PI in the INFANT Research Centre.
Dorota Kuchta is a full professor in the Faculty of Management at the Wroclaw University of
Science and Technology, Wroclaw, Poland. Her research interests are focused on management
models and methods under uncertainty, ambiguity and incomplete knowledge. She has led
myriad research projects in the field of project management. She is the holder of two project
management certificates: Certified Project Management Associate and PRINCE2 Foundation.
Stanisław Stanek is a professor in the Faculty of Management at the General Tadeusz Kościuszko
Military University of Land Forces, Wrocław, Poland. His research interests are focused on
decision support systems. He has designed and implemented computerized decision support
systems for businesses across a variety of industries and managed projects in the field of hybrid
crisis decision support systems, logistics, IT and construction project management.
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