Smyth, H (2017) Developing decision making in projects: Analyzing the mobilization of bias and non-decision making in projects. In: Chan, P W and Neilson, C J (eds.) Proceedings of 33rd Annual ARCOM Conference, 4-6 September 2017, Fitzwilliam College, Cambridge, UK.
Abstract
Construction research on decision making has been dominated by theories rooted upon in rational cognition. Behavioural economics introduced an important analytical approach to the management of decision making through prospect theory. It has been applied extensively, particularly on public megaprojects through the influential work of Flyvbjerg and his colleagues. This theory development paper argues that these approaches, especially prospect theory, have made a significant contribution. Yet, it remains narrow and insufficient. Research on public projects have largely ignored the seminal decision making literature from the public policy research domain. This literature potentially introduces new analytical potential to provide a richer understanding of decision making as a layered and dynamic set of processes. In particular, the concept of the mobilization of bias and the accompanying concept of non-decision making offer considerable scope to analyze and improve construction project decision making. The mobilization of bias has connection to the concepts of optimism bias and strategic misrepresentation, yet takes the analysis further regarding the processes involved: how bias is mobilized, when and by whom in the hierarchy in which construction projects are nested from policy decision makers down to the construction management level, and finally for what purpose. It further shows how non-decision making is used to defend the status quo. This is cognitively and intuitively employed by those who stand to benefit from preserving the status quo and feel threatened by change. The paper provides the basis for empirical investigation of challenging construction projects.
| Item Type: | Conference Paper (Paper) |
|---|---|
| Uncontrolled Keywords: | decision making; mobilization of bias; non-decision making; optimism bias; strategic misrepresentation |
| Index terms: | behavioural economics, megaproject, prospect theory, optimism bias, public policy, investigation, public project, construction project, cognition, bias, decision-making |
| Subjects: | production management, infrastructure engineering, probability and distributions, economic models, decision analysis, cognitive psychology, data collection methods, public policy, economic analysis, strategic project management |
| Topics: | Governance, Risk Management, Engineering Principles, Project Management, Research Practice, Business Strategy |
| Descriptive scope: | 4 PCTA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here