Taking the mystery out of intuitive decision making

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94 Academy of Management Executive November The majority of the professionals talked about invoking intuition in response to situations rather than to internal factors. For example, if a situation had no predetermined guidelines or rules to follow or if the objective data did not seem correct, participants said they would look to their intuition for guidance. However, some participants professed knowing, feeling, believing, or recollecting something that prompted their intuition. For example, some said personal value systems signaled something was wrong or was headed in the wrong direction. Situations caiJing for infuifion Forty percent of the professionals used intuition to make personnel, or people-related, decisions. Such decisions included interviewing, hiring, training, scheduling, performance appraisal, harassment complaints, patient care, and safety issues. Participants also reported employing intuition when decisions needed to be made quickly or unexpectedly because potential costs were associated with delays. Other participants responded that they used intuition when uncertainty pervaded such novel situations as a firsttime restructuring or reorganization and in some financial issues, such as formulating budgets, estimating prices, and selecting investments. Furthermore, situations lacking explicit cues were identified as appropriate for intuitive skills, such as when policies needed to be interpreted, requirements were absent, or data were insufficient. Almost all respondents (91.5 percent) said that they had combined intuition with data analysis in their history of workplace decision making, employing intuition in concert with deductive processes. Research supports this notion of combining intuition with intellectual and cognitive skills^ and suggests that the problems faced will likely determine the mix of skills to be applied.'° For example, intuition might be used to fill in the blanks when quantitative data are lacking in strategic business decisions, such as new product planning, or in cases of extreme information overload." Given the explosion of information confronting decision makers, intuitive decision making may become, paradoxically, even more pertinent. Who's using intuition at work? Asked about the types of people they had witnessed using intuition at work and what, if anything, they had in common, the majority of respondents agreed on a few common traits based on their observation of specific decision processes, explanations they had received from decision makers, or the nature of the decisions. The variables reported included years of experience, level in the organization, and age. Employees who have more experience, who are older, or who hold managerial positions tend to use their intuition more. Indeed, researchers claim that upper-level executives need to apply intuition more than others because of their need to see the bigger picture, to address conceptual rather than technical matters, and to deal with long-term rather than short-term time horizons.'2 Our subjects said managers who effectively employ intuition in the workplace are confident and comfortable, open-minded and flexible, experienced, willing to take risks, fair and unbiased, reflective and insightful, knowledgeable, and creative. Although many writers have reported women to be more intuitive,'^ nearly 80 percent of our interviewees did not cite gender when listing people they had witnessed using intuition. Women in male-dominated workplaces may wish to appear analytical rather than emotional in their decision making, or they may tend to employ their intuition less at work than in nonprofessional situations. Nevertheless, our findings may call into question traditional gender-based assumptions about decision-making styles in the workplace.'•* Quality and Other Benefits of Intuitive Decisions Little research has been done on the ultimate quality of intuitively-driven decisions. We asked practitioners to rate the quality of the intuitive decisions they had made and then categorized their open-ended responses. Two-thirds of the respondents felt that intuition led to better decisions. However, 12 percent reported no effect on their decision quality either way, nine percent said it depended on the situation, while five percent felt it had a mixed positive and negative impact. Finally, two individuals said intuition had reduced the quality of their decisions. While most participants regarded the effect of intuition on decision making favorably, our findings do not suggest that they were intensely confident in their intuitions, as has been found in some research.'^ Some interviewees noted, for example, that mixed effects can result from situational variables, or that memory can distort decisions. As one interviewee stated: "If your recollection and experiences are wrong, then intuition is bad." But because many interviewees suggested that intuition had led them to make better decisions.
1999 Burke and Millei 95 we explored the specific benefits they associated with intuitive decisions. As detailed in Table 3, our sample of professionals outlined various benefits that can be clustered into four broader categories. • Expedites decisions. Many participants felt a direct benefit of intuition is that it speeds the decision-making process. Put simply, by reducing the amount of data required, they experienced a faster decision process, as measured by time. • Improves ultimate decision. Some participants reported benefits associated with intuition as a result of improved decision-making outcomes. Examples included a fairer outcome, a higher quality product, and enhanced customer satisfaction. • Facilitates personal development. A few respondents saw intuition as having certain personal benefits—a skill which helped them develop a full set of professional skills or provided them with a certain element of power. • Promotes decisions compatible with company culture. Other study participants claimed intuition helped them make decisions that were consistent with their company's culture and values. Finally, one participant declared that there were no benefits to using intuition in the workplace. This quality control manager suggested that intuition can "get you into trouble" when lacking the necessary data to measure accuracy. For this individual, objective data were demanded by management to back up his decisions. This response points to the limitations of making intuitively-based decisions in the wrong situations or at the expense of data collection and analysis. Overcoming a Bad Reputation Intuitive decision making has had a bad reputation, the result of a prevailing lack of understanding, unfounded generalizations, and varying interpretations presented in the research literature. Future research should identify the specific situations in which intuition works best. Particular attention should be paid to decision type, the demographics of a firm's workforce and management team, the decision maker's profession or industry, and the nature of the corporate culture. As additional information is gathered regarding the role of such contingency factors, executives will be in a better position to understand, support, and reinforce the selective and appropriate use of intuitive decision making in their organizations. Table 3 Benefits of Intuition in Workplace Decision Making Benefits of Intuition Expedites decision mating.- -leads to quicker decisions -enables decisions without all the data -eventually leads to financial cost savings -gets the job done -makes it easier to reach goals -helps to avoid analysis paralysis -starts process of decision making -helps adapt to flexible, changing environment Improves the decision in some way: -provides a check and balance -allows fairness in dealing with people -leads to a higher quality product -avoids baving to rework the decision -helps to focus on area needing attention -improves customer satisfaction -prevents negative outcomes -causes one to pay more attention Facilitates personal development: -develops iull tool set -gives one more power -provides opportunity to grow -improves one's instincts -helps to apply one's experiences -allows recognition for positive risk taking Promotes decisions compatible with culture: Number of Participants 34 (57%) 15 7 4 3 2 1 1 1 18 m%) 6 3 a 2 2 1 1 1 11(18%) 4 3 I 1 1 1 6(10%) Note: Percentages total more than 100 percent as some participants stated multiple benefits. Making Use of Intuition U.S. companies reportedly use good decision skills about 12 percent of the time."* Prior research suggests that many adults have not developed their intuition to any significant extent and that managers are often trained to disregard and mistrust their judgment.''' Increased organizational and employee awareness of and practice with integrating intuitive skills into decision making are essential. Our practitioners offered several suggestions for helping managers hone their intuitive skills, advancing the idea that intuitive skills are not the rarefied talent of a privileged few. Given that intuitive decision-making skills may be dormant in some employees,'^ such practical methods may prove beneficial, and should be explored. Managers should: • be more attentive to the overall decision process; • challenge decisions when they feel or sense the need to do so;
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Taking the mystery out of intuitive decision making

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