Artificial intelligence is revolutionizing the way we do business, and it can potentially allow firms to improve their decision making, given that individuals are willing to adopt algorithms in decision?making contexts. A new Managerial and Decision Economics study indicates that cognitive perceptions play an important role on such willingness.
In the web-based study, 310 participants were exposed to a decision situation in which they had to make a personal strategic career choice--the selection of a new job. They were told that they were in the job market looking for their next career step, and that they had been successful in a certain number of job applications. They were asked to choose one of these job offers. For each job offer, a list of advantages and disadvantages was provided and participants were offered the option to delegate decision to select a new job to an algorithm that would be capable of selecting the objectively best solution for them. Participants had to choose whether they would be willing to delegate their decision to this algorithm.
Investigators found that participants with low levels of situational awareness were more likely to delegate. The findings emphasize the relevance of cognitive perceptions in assessing the suitability of decision?delegation options.
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Managerial and Decision Economics