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An Empirical Test of Cognitive Style and Strategic Decision Outcomes

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  • Jill R. Hough
  • Dt Ogilvie

Abstract

abstract We examine how cognitive style, as measured by the MBTI, affects strategic decision outcomes. Executives participated in a simulated strategic decision making environment that allowed controlled collection of decision outcomes, including manager decisiveness, decision quality, and perceived effectiveness. We found that iNtuiting/Thinking managers used their intuition to make cognitive leaps based on objective information to craft more decisions of higher quality than other managers. In contrast, Sensing/Feeling types used time to seek socially acceptable decisions, which led to the lowest number of decisions and the lowest perceived effectiveness of all. We found no effect on decisiveness or perceived effectiveness based on a manager's preference for Perceiving or Judging. However, we found that others perceived Extraverted managers as being more effective than Introverted managers when, in fact, the Extraverts were no more decisive than Introverts. Thus, cognitive style influences actual decision outcomes as well as how others perceive one's decision performance.

Suggested Citation

  • Jill R. Hough & Dt Ogilvie, 2005. "An Empirical Test of Cognitive Style and Strategic Decision Outcomes," Journal of Management Studies, Wiley Blackwell, vol. 42(2), pages 417-448, March.
    • Handle: RePEc:bla:jomstd:v:42:y:2005:i:2:p:417-448
    DOI: 10.1111/j.1467-6486.2005.00502.x
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    Cited by:

    1. E. Cools & H. Van Den Broeck & D. Bouckenooghe, 2006. "The Cognitive Style Indicator: Development and validation of a new measurement instrument," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 06/379, Ghent University, Faculty of Economics and Business Administration.
    2. Kai Yang & Raymond Y. K. Lau & Ahmed Abbasi, 2023. "Getting Personal: A Deep Learning Artifact for Text-Based Measurement of Personality," Information Systems Research, INFORMS, vol. 34(1), pages 194-222, March.
    3. Muneera Esa & Anuar Alias & Zulkiflee Samad, 2014. "Project Managers’ Cognitive Style in Decision Making: A Perspective from Construction Industry," International Journal of Psychological Studies, Canadian Center of Science and Education, vol. 6(2), pages 1-65, June.
    4. Jill Kickul & Lisa K. Gundry & Saulo D. Barbosa & Laney Whitcanack, 2009. "Intuition versus Analysis? Testing Differential Models of Cognitive Style on Entrepreneurial Self–Efficacy and the New Venture Creation Process," Entrepreneurship Theory and Practice, , vol. 33(2), pages 439-453, March.
    5. Abby Mello & Joan Rentsch, 2014. "Cognitive Style Diversity in Decision Making Teams: A Conceptual Framework," International Journal of Business and Social Research, LAR Center Press, vol. 4(4), pages 123-135, April.
    6. Dutta, Dev K. & Thornhill, Stewart, 2008. "The evolution of growth intentions: Toward a cognition-based model," Journal of Business Venturing, Elsevier, vol. 23(3), pages 307-332, May.
    7. Jiang, Fuming & Travaglione, Tony & Liu, Li Xian & Li, Jizhong, 2021. "When does the global mindset affect headquarters–subsidiary relationships?," Journal of Business Research, Elsevier, vol. 136(C), pages 523-542.
    8. Abby Mello & Joan Rentsch, 2014. "Cognitive Style Diversity in Decision Making Teams: A Conceptual Framework," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 4(4), pages 123-135, April.
    9. Elbanna, Said, 2018. "The constructive aspect of political behavior in strategic decision-making: The role of diversity," European Management Journal, Elsevier, vol. 36(5), pages 616-626.
    10. Sebastian Kruse & David Bendig & Malte Brettel, 2023. "How Does CEO Decision Style Influence Firm Performance? The Mediating Role of Speed and Innovativeness in New Product Development," Journal of Management Studies, Wiley Blackwell, vol. 60(5), pages 1205-1235, July.
    11. Brandon A. Mueller & Dean A. Shepherd, 2016. "Making the Most of Failure Experiences: Exploring the Relationship between Business Failure and the Identification of Business Opportunities," Entrepreneurship Theory and Practice, , vol. 40(3), pages 457-487, May.
    12. L A Franco & M Meadows, 2007. "Exploring new directions for research in problem structuring methods: on the role of cognitive style," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 58(12), pages 1621-1629, December.
    13. Fuming Jiang & Subramaniam Ananthram & Jizhong Li, 2018. "Global Mindset and Entry Mode Decisions: Moderating Roles of Managers’ Decision-Making Style and Managerial Experience," Management International Review, Springer, vol. 58(3), pages 413-447, June.
    14. Gareth Shepherd, Neil & Lou, Bowen & Maynard Rudd, John, 2024. "Going with the gut: Exploring top management team intuition in strategic decision-making," Journal of Business Research, Elsevier, vol. 181(C).
    15. Olgun Kitapci & Ibrahim Taylan Dortyol, 2015. "Do Personality Types Make Consumers Exhibit Different Complaint Behaviors?," Journal of Marketing and Consumer Behaviour in Emerging Markets, University of Warsaw, Faculty of Management, vol. 2(2), pages 4-14.
    16. Matteo Cristofaro, 2016. "Cognitive styles in dynamic decision making: a laboratory experiment," International Journal of Management and Decision Making, Inderscience Enterprises Ltd, vol. 15(1), pages 53-82.
    17. Dayan, Mumin & Di Benedetto, C. Anthony, 2011. "Team intuition as a continuum construct and new product creativity: The role of environmental turbulence, team experience, and stress," Research Policy, Elsevier, vol. 40(2), pages 276-286, March.
    18. Siebert, Johannes & Kunz, Reinhard, 2016. "Developing and validating the multidimensional proactive decision-making scale," European Journal of Operational Research, Elsevier, vol. 249(3), pages 864-877.
    19. Asghar Afshar Jahanshahi & Alexander Brem & Mohammad Shahabinezhad, 2018. "Does Thinking Style Make a Difference in Environmental Perception and Orientation? Evidence from Entrepreneurs in Post-Sanction Iran," Sustainability, MDPI, vol. 10(5), pages 1-19, May.
    20. Wrona, Thomas & Ladwig, Tina & Gunnesch, Markus, 2013. "Socio-cognitive processes in strategy formation – A conceptual framework," European Management Journal, Elsevier, vol. 31(6), pages 697-705.
    21. O'Keefe, Robert M., 2016. "Experimental behavioural research in operational research: What we know and what we might come to know," European Journal of Operational Research, Elsevier, vol. 249(3), pages 899-907.

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