Journal of the Ergonomics Society of Korea (대한인간공학회지)

Ergonomics Society of Korea (대한인간공학회)
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Affect of Emotional Clue and Decision Inertia in R&D Investment Decision-making

R&D 투자 의사결정에서 감정적 단서의 영향 및 관성적 의사결정에 관한 연구

  • Kim, Joon (Hanyang University, Graduate School of Technology & Innovation Management) ;
  • Ryu, Ho Kyoung (Hanyang University, Department of Industrial Engineering)
  • 김준 (한양대학교 기술경영전문대학원) ;
  • 류호경 (한양대학교 기술경영전문대학원)
  • Received : 2018.05.07
  • Accepted : 2018.06.06
  • Published : 2018.06.30
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Abstract

Objective: The aim of this study is to demonstrate the R&D investment decision-making is highly susceptible to the emotional information available, wherein the decision-maker's approach or avoidance (preference to consistency) to the R&D investment has been built upon. Background: Human decision-making has been believed rational. However, numerous studies have conversely revealed that one's emotional stance on the decision-making situation would affect their preference to a particular alternative. This study intend to empirically demonstrate that the different types of emotional information available at the time of decision-making trigger the affect heuristic, by which one would make an influence on one' risk awareness to the R&D investment. Method: A Web-based experiment with 41 subjects was carried out for a game-like R&D investment situation, in which they had to decide how much they would like to invest (i.e., willing-to-pay; WTP). The collected data of the ten investment trials were statistically analyzed in the time-series experimental design, by which the first five and the last five trials were alternatively given by either positive or negative emotional information. Results: We found that one's WTP was highly susceptible to the emotional (positive or negative) information, by which we could see the different risk assessments on the same decision-making problem in the first five trials. The negative emotional information decreased one's WTP, and the positive emotional information increased the R&D investment again. Persevered was that, in the last five trials where the positive emotional information were changed into the negative emotional information, preference of consistency of decision-making. This was not the case where the emotional information was changed from the negative to positive. Conclusion: Human decision-making is intuitively biased when the positive psychological clue decreased the risk perception of an alternative, and it also negatively affected when the negative information activates the analytical risk assessment. Decision inertia is also strongly related to this psychological cue. This implies that the affect of emotional psychological clue should be considered in the managerial decision-support system design, for which the discipline of cognitive systems engineering would contribute. Application: The results of this study firstly imply that designing managerial decisionsupport system would be benefitted from the discipline of cognitive systems engineering (CSE). Furthermore, the aesthetics, that has been less studied in the CSE, would be an important role to play in human-being's decision-making.

Keywords

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