A Stakeholder-Centric Evidence-Guided Model For Management Decisions

Abstract

Managers use a myriad of formal and informal assessment methodologies, both quantitative and qualitative, to make key business decisions when the available data comprise at best “weak signals” of an impending problem and/or opportunity. Accepted paradigms, fundamental theories, and their personal and group frames of reference inform their choice of methods and metrics. Quantification itself and formal methods facilitate the amplification of initial signals into stronger forms, allowing problem identification, and then reformulation, and the activities of the decision chain. This paper develops an evidence-guided model for problem identification and management decisions with focus on the overall stakeholders, rather than purely stockholder model for corporate governance.