Putting the individual in the context of the organization: A Carnegie perspective on decision-making

The majority of decision research portrays decision-makers as largely decontextualized, separate from the institutional and social factors that influence their choosing. On the occasions when context is considered, it is rarely organizational, despite the prominence of organizations in people's...

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Main Authors: Daniel A. Levinthal, Daniel A. Newark
Format: Article
Language:English
Published: Frontiers Media S.A. 2023-10-01
Series:Frontiers in Psychology
Subjects:
Online Access:https://www.frontiersin.org/articles/10.3389/fpsyg.2023.1165713/full
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author Daniel A. Levinthal
Daniel A. Newark
author_facet Daniel A. Levinthal
Daniel A. Newark
author_sort Daniel A. Levinthal
collection DOAJ
description The majority of decision research portrays decision-makers as largely decontextualized, separate from the institutional and social factors that influence their choosing. On the occasions when context is considered, it is rarely organizational, despite the prominence of organizations in people's lives. By contrast, the Carnegie perspective on decision-making emphasizes context, particularly that of organizations, as a central concern. We develop this contrast by first reviewing the limited role of context in neoclassical economic and psychological depictions of choice. Next, we present key elements of the organizational decision context in the Carnegie perspective: decision premises, standard operating procedures and decision rules, organizational structures, learning environments, and identity–situation interaction. We then consider the importance of interpretation to decision-making in context. In particular, rather than being given and clear, the meaning of decision context is often ambiguous and must be interpreted or constructed. The Carnegie perspective underscores the importance of this interpretive process to both decision-making and everyday life. We conclude by considering aspects of context that merit greater examination, as well as the implications for behavioral theorizing of acknowledging the contextualized nature of action.
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spelling doaj.art-3099992cc840484da1dbf8ab127a4bba2023-10-27T22:05:02ZengFrontiers Media S.A.Frontiers in Psychology1664-10782023-10-011410.3389/fpsyg.2023.11657131165713Putting the individual in the context of the organization: A Carnegie perspective on decision-makingDaniel A. Levinthal0Daniel A. Newark1Wharton School, University of Pennsylvania, Philadelphia, PA, United StatesHEC Paris, Jouy-en-Josas, FranceThe majority of decision research portrays decision-makers as largely decontextualized, separate from the institutional and social factors that influence their choosing. On the occasions when context is considered, it is rarely organizational, despite the prominence of organizations in people's lives. By contrast, the Carnegie perspective on decision-making emphasizes context, particularly that of organizations, as a central concern. We develop this contrast by first reviewing the limited role of context in neoclassical economic and psychological depictions of choice. Next, we present key elements of the organizational decision context in the Carnegie perspective: decision premises, standard operating procedures and decision rules, organizational structures, learning environments, and identity–situation interaction. We then consider the importance of interpretation to decision-making in context. In particular, rather than being given and clear, the meaning of decision context is often ambiguous and must be interpreted or constructed. The Carnegie perspective underscores the importance of this interpretive process to both decision-making and everyday life. We conclude by considering aspects of context that merit greater examination, as well as the implications for behavioral theorizing of acknowledging the contextualized nature of action.https://www.frontiersin.org/articles/10.3389/fpsyg.2023.1165713/fullorganizational decision-makingjudgement and decision-makingbehavioral theory of the firmorganizational learningdecision-making in context
spellingShingle Daniel A. Levinthal
Daniel A. Newark
Putting the individual in the context of the organization: A Carnegie perspective on decision-making
Frontiers in Psychology
organizational decision-making
judgement and decision-making
behavioral theory of the firm
organizational learning
decision-making in context
title Putting the individual in the context of the organization: A Carnegie perspective on decision-making
title_full Putting the individual in the context of the organization: A Carnegie perspective on decision-making
title_fullStr Putting the individual in the context of the organization: A Carnegie perspective on decision-making
title_full_unstemmed Putting the individual in the context of the organization: A Carnegie perspective on decision-making
title_short Putting the individual in the context of the organization: A Carnegie perspective on decision-making
title_sort putting the individual in the context of the organization a carnegie perspective on decision making
topic organizational decision-making
judgement and decision-making
behavioral theory of the firm
organizational learning
decision-making in context
url https://www.frontiersin.org/articles/10.3389/fpsyg.2023.1165713/full
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