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The Effects of Mood on Individuals' Use of Structured Decision Protocols

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  • Kimberly D. Elsbach

    (Graduate School of Management, University of California, Davis, California 95616)

  • Pamela S. Barr

    (J. Mack Robinson College of Business, Georgia State University, Atlanta, Georgia 30302-4014)

Abstract

This paper begins to answer the call to broaden current theories of individual decision-making by including in them the effects of human mood. Grounding our arguments in psychological literature on the effects of mood on information processing, motivation, and decision heuristics, we develop hypotheses about how mood can significantly affect individuals' use of structured decision protocols. In support of our hypotheses, results from an experimental study of complex decision-making suggest that, in situations where a structured decision protocol is the usual method of decision-making, individuals in moderately negative moods are significantly more likely than those in moderately positive moods to: (1) carefully execute all the steps of a structured decision protocol, (2) execute the steps of a structured decision protocol in the correct order, and (3) rely on the outcome of the structured decision protocol as the primary basis for the decision. We discuss these findings in terms of their implications for both organizational decision models and psychological models of mood and decision-making. In general, our findings help establish mood as an important variable in models of organizational decision-making and help shed light on often conflicting findings about the benefits of positive vs. negative mood for individual decision-making.

Suggested Citation

  • Kimberly D. Elsbach & Pamela S. Barr, 1999. "The Effects of Mood on Individuals' Use of Structured Decision Protocols," Organization Science, INFORMS, vol. 10(2), pages 181-198, April.
  • Handle: RePEc:inm:ororsc:v:10:y:1999:i:2:p:181-198
    DOI: 10.1287/orsc.10.2.181
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    References listed on IDEAS

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    Cited by:

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    7. Chen, Yao & Djamasbi, Soussan & Du, Juan & Lim, Sungmook, 2013. "Integer-valued DEA super-efficiency based on directional distance function with an application of evaluating mood and its impact on performance," International Journal of Production Economics, Elsevier, vol. 146(2), pages 550-556.
    8. Meissner, Philip & Poensgen, Christian & Wulf, Torsten, 2021. "How hot cognition can lead us astray: The effect of anger on strategic decision making," European Management Journal, Elsevier, vol. 39(4), pages 434-444.
    9. Libby Weber, 2017. "A Sociocognitive View of Repeated Interfirm Exchanges: How the Coevolution of Trust and Learning Impacts Subsequent Contracts," Organization Science, INFORMS, vol. 28(4), pages 744-759, August.
    10. Paul P. Momtaz, 2021. "CEO emotions and firm valuation in initial coin offerings: An artificial emotional intelligence approach," Strategic Management Journal, Wiley Blackwell, vol. 42(3), pages 558-578, March.
    11. Blume, Brian D. & Covin, Jeffrey G., 2011. "Attributions to intuition in the venture founding process: Do entrepreneurs actually use intuition or just say that they do?," Journal of Business Venturing, Elsevier, vol. 26(1), pages 137-151, January.
    12. Cristofaro, Matteo, 2019. "The role of affect in management decisions: A systematic review," European Management Journal, Elsevier, vol. 37(1), pages 6-17.

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    Keywords

    Mood; Decision-making; Protocols;
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