Experimental Insights into the Management of Risk-Related Behavior
Abstract
Research has shown that people respond in varying ways to decisions involving risk. This is of particular interest in the field of logistics. This study determined whether organizational policies which address risk can produce a significant and predictable influence on risk-related logistics decisions. Three policies which specifically addressed the elements of risk were tested for a significant influence on a logistics decision which was based on cost and reliability factors. Analysis of the responses to the experiment showed that risk significantly affected the logistics decision. Further, the research showed risk-inherent decisions can be purposely influenced by policies which address risk. However, a significant five-way interaction between the policy variable and the other decision variables demonstrated the enormous complexities involved in logistics decision making. No absolute generalizations could be made about any risk policy; the policies produced a significant difference only in certain situations involving certain variables. A policy which allowed for no uncertainty in the decision outcome (thereby eliminating risk) was most consistently and universally applied. Theses.
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 1988
- Accession Number
- ADA201572
Entities
People
- Edward Skibinski
Organizations
- Air Force Institute of Technology