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Managerial decision making is regarded as among the most important functions of senior management. The presence of easily accessible, reliable information contributes to effective decision making. Sources of information may be orally, written, or computer-based. Computer-based information sources remain the least studied in the context of executive decision making because executives have tended to use other managers and their own intuition as their primary information sources. Recently, though, computer-based information systems directly tailored for use by executives have begun to be implemented within organizations.

Such systems, referred to as Executive Information Systems, may help executives make faster and higher quality decisions, an increasingly important requirement for organizations given trends such as globalization and heightened competition. This study uses survey responses of 91 high-level managers to empirically examine the relationship of executive information system use by managers with decision making speed, problem identification speed, information availability, and the involvement of subordinates in decision making. The study found that, when used frequently and over time, executive information systems are positively related to perceived problem identification and decision making speed for senior and middle managers. Whether such effects lead to higher quality decisions are topics for further study.

In addition, the frequency of use of executive information systems is shown to be related to a perceived increase in information availability although the length of time the system is in use is not related to perceived information availability. This suggests that the information needs of senior and middle managers are malleable and systems designed to support the decision making of managers need to be flexible to adapt to changing information needs. Lastly, the study found that the use of executive information systems does not reduce the reliance of senior or middle managers on their subordinates to help in decision making. This may be because the involvement of subordinates does not necessarily connote a consistent positive or negative behavior among American managers, whereas speed and information are consistently considered as positive. The implications of the results for a previously developed theory of the effects of advanced information technology on organizational design, intelligence, and decision making are discussed.

Paper For Above instruction

In today’s rapidly evolving business environment, effective managerial decision making is essential for organizational success. As organizations increasingly rely on technological advancements, the integration of computer-based information systems, especially Executive Information Systems (EIS), plays a pivotal role in supporting managerial decisions. This paper explores the significance of EIS in enhancing decision speed, problem identification, information availability, and managerial involvement at different organizational levels.

Managerial decision-making is often considered one of the most critical functions of senior management. It influences strategic direction, operational efficiency, and overall organizational competitiveness. The availability of reliable, timely information is fundamental for making informed decisions. Traditional sources of information include oral reports and written documents; however, the advent of computer-based systems has expanded the capabilities and scope of managerial information resources. Despite their potential benefits, early adoption of such systems was limited due to managers’ reliance on intuition and interpersonal communication over technological solutions.

Recent developments, however, have seen a shift with the introduction of specialized systems designed explicitly for executive use. These systems, known as Executive Information Systems (EIS), provide tailored, real-time data that assist managers in quick decision making. The potential impact of EIS is significant, especially in contexts characterized by globalization and intense competition, where rapid response and accurate information are critical.

The empirical study conducted with 91 high-level managers offers valuable insights into the practical implications of EIS utilization. The findings indicate that frequent and sustained use of these systems correlates positively with the managers’ perceptions of enhanced problem identification and faster decision-making processes. This suggests that regular engagement with EIS leads to improved organizational responsiveness and agility, which are vital in dynamic markets. However, whether these improvements translate into higher quality decisions remains an area for future investigation, highlighting the complexity of decision-making processes and the multifaceted impact of technology.

Moreover, the study underscores the importance of perceived information availability. Managers who used EIS frequently reported an increase in accessible data, enabling them to address issues more effectively. Interestingly, the actual duration of system use did not significantly influence perceived information availability, implying that the benefits of EIS are more dependent on active utilization rather than merely possessing the system. This insight emphasizes that the malleability of managerial information needs requires flexible system designs that can adapt to evolving organizational requirements and decision-making contexts.

Another critical aspect examined was managerial reliance on subordinates. The findings indicate that using EIS does not diminish senior or middle managers' dependence on their teams for decision assistance. This suggests a complementary relationship where technological support enhances rather than replaces managerial involvement with subordinates. The varied responses among managers highlight that organizational culture and managerial behavior influence how technology interacts with decision-making dynamics.

The broader implications of these findings relate to theories on organizational intelligence and design facilitated by modern information technologies. EIS can augment an organization’s capacity for rapid problem detection and strategic formulation, provided systems are designed with flexibility and user engagement in mind. As the global business environment becomes more complex, leveraging such systems could enable organizations to achieve a competitive advantage by fostering more informed and expedited decision processes.

In conclusion, the integration of Executive Information Systems into managerial decision-making practices offers significant benefits, including faster problem identification, increased perceived information availability, and maintained managerial involvement at various levels. The potential for these systems to improve decision quality depends on their widespread and consistent use, as well as their adaptability to changing informational needs. Organizations aiming for resilience and agility should therefore emphasize not only technological investment but also the cultivation of active managerial engagement with these systems. Continued research is necessary to better understand how technology influences decision quality and overall organizational strategy in real-world settings.

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