Managers' implicit and explicit risk-attitudes in managerial decision making

Jenny Bittner, Julia Landwehr

Research output: Chapter in Book/Report/Conference proceedingConference contributionAcademicpeer-review

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Abstract

Purpose We examined the contribution of implicit and explicit risk-attitudes to the prediction of risky management decisions. Indirect methods allow for the measurement of implicit attitudes, while self-report is typically used to measure explicit, reflective attitudes. Indirect methods make it difficult to fake test results or use impression management, because they are based on reaction times and assess the strengths of associations in memory. Design/Methodology In a field experiment, managers were tested for their implicit and explicit risk-attitudes and were asked to make risky management decisions. An Implicit Association Test (IAT) was constructed to measure implicit risk-taking and compared to an explicit risk questionnaire in its influence on several management decisions. Results Results showed that the chance that managers take the risk is significantly higher when the IAT classified them as risk-seeking. This, however, was only found if the decision was framed as a loss situation. Under a gain framing, the IAT was not a significant predictor, but the explicit measure significantly differentiated between managers choosing the risk versus not. Research/Practical Implications These results can be explained by theories on impulsive decision making. Implicit attitudes may assess impulsive risk-decisions in loss situations better than explicit attitudes. It would be worthwhile to further develop indirect measures to assess managerial decision making. Originality/Value In loss situations, managers may make decisions more impulsively. Thus, implicit attitudes may predict risky decision making in loss situations better than explicit attitudes.
Original languageEnglish
Title of host publicationImagine the future world: How do we want to work tomorrow? Abstract proceedings of the 16th EAWOP Congress 2013
EditorsGuido Hertel, Carmen Binnewies, Stefan Krumm, Heinz Holling, Martin Kleinmar
Place of PublicationMunster
PublisherMünstersche Informations- und Archivsystem multimedialer Inhalte (Miami)
Pages891-892
Number of pages2
Publication statusPublished - 22 May 2013
Event16th Congress of the European Association of Work and Organizational Psychology, EAWOP 2013: Imagine the future world: How do we want to work tomorrow? - Münster, Germany
Duration: 22 May 201325 May 2013
Conference number: 16

Publication series

Name
PublisherMünstersche Informations- und Archivsystem multimedialer Inhalte (Miami)

Conference

Conference16th Congress of the European Association of Work and Organizational Psychology, EAWOP 2013
Abbreviated titleEAWOP
CountryGermany
CityMünster
Period22/05/1325/05/13

Keywords

  • IR-87665
  • METIS-298525

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