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This paper seeks to identify variables which explain variations in budget allocations in a UK university using a pooled database relating to two periods: one of resource availability, the other of resource scarcity. The results over both periods indicate, consistent with previous research, that a combination of workload and power proxies explains a very high proportion of budget allocations. However, analysis of the two periods revealed that: (i) incremental budgeting, which was observed to be in operation during the period of resource availability, was not supplanted by comprehensive budgeting during the period of resource scarcity, (ii) the impact of power proxies on budget allocation did not materially change in response to changes in levels of resource availability, and (iii) compared with internally based power, externally based power (as proxied) had neither a greater impact on resource allocation during the period of resource scarcity nor a lower impact during the period of resource availability as hypothesized. [ABSTRACT FROM AUTHOR]

The perceived importance of seven power factors to two types of intradepartmental decision are examined: those which a manager takes alone and those which are taken in a group composed of departmental members only. The major findings from this examination are that while formal authority is important in the former situation it is of lesser importance in the latter situation; the reverse is true for personality. We conclude that decision method has a pronounced effect upon the relative importance of power factors. Secondary analysis of the data suggests that group composition also has a marked effect but that issue domain has a negligible effect. Nevertheless, managerial expertise remains dominantly important throughout the whole range of decision-making situations; this finding also concurs with the results from our companion paper (Kenny and Wilson, 1984). [ABSTRACT FROM AUTHOR]

Syndicates are a form of inter-firm alliance in which two or more venture capital firms co-invest in an investee firm and share a joint pay-off. Syndication is a significant part of the venture capital market yet little research has been conducted into the process of structuring syndicate deals and the management of syndicates following deal completion. This paper analyses the neglected issues concerning the structuring and management of syndicated venture capital investments from the perspectives of both lead and non-lead syndicate members using two surveys of venture capital firms and examination of syndication documents. Lead investors typically have larger equity stakes and the syndicated investment agreement is a document that enshrines the rights of participants rather than specifying behaviour. Contractual arrangements typically serve as a back drop to relationships as non-legal sanctions are important and decisions are typically reached following discussion and consensus, but lead venture capital investors' residual and specific powers are important in ensuring timely decision-making. The findings extend previous work on alliances by emphasizing the importance of non-legal sanctions, especially reputation effects, in mitigating opportunistic behaviour by dominant equity holders. The paper also adds to the limited research on the dynamics of alliances by highlighting the role of repeat syndicates. [ABSTRACT FROM AUTHOR]

In this paper we develop a theoretical framework for understanding failure in processes of organizational strategizing. Drawing on an intensive, longitudinal field study of organizational decision making, we examine the attempts and ultimate failure of members of a British symphony orchestra to construct an artistic strategy for their organization. We argue that failure in organizational strategizing can he understood as resulting from the interplay of certain elements of organizational discourse and specific kinds of political behaviour. Specifically, we propose a model of organizational strategizing 'episodes' that comprises four distinct stages. We argue that for each stage, there are particular discursive and political factors that can lead to failure. [ABSTRACT FROM AUTHOR]

This paper adopts a view of organizations as complex adaptive systems and makes a case for making organizations more complex internally through the use of a fairly simple managerial rule — using participative decision making. Participation in decision making enhances connectivity in organizations, which in turn, gives the organization the opportunity to self-organize and co-evolve in more effective ways than when there is minimal connectivity (i.e., autocracy). The paper uses a specific body of research to support the arguments about why participation can benefit the practice of management in modern organizations. [ABSTRACT FROM AUTHOR]

This paper presents the results of an empirical examination of the willingness of business managers to make use of utility prescriptions as an aid to their decision-making. Twenty-nine managers took part in the experiment which involved the creation of a utility function for each one and the subsequent use of the function to prescribe behaviour in a series of decision problems. Testing the effectiveness of the functions could not be done simply by comparing actual and prescribed behaviour alone as the functions were being looked upon as normative and not necessarily predictive of what each subject would do. The managers were therefore assigned to one of three groups. Group one were given details of their utility prescriptions prior to tackling the decision problems. Group two were provided with their prescriptions after they had answered the decisions and were then given the opportunity to make any alterations and group three were given no information about their prescriptions. A significant variation was detected between the three groups with those having knowledge of their prescriptions displaying the smallest differences between actual and prescribed behaviour. While the timing of this knowledge did not seem to be important the managers, all mature executives, made considerable use of the information they were given. A wide monetary range was covered by the decision problems but for subjects, with knowledge of their prescriptions, the difference between actual and prescribed behaviour was extremely small. [ABSTRACT FROM AUTHOR]

In this paper we argue that the existing conceptualizations of strategic decision making, while each affording valuable insights, offer only partial and disconnected perspectives of the strategy process that leave important questions un-addressed. To overcome this problem we develop an empirically grounded conceptualization of strategic decisions as elements of a strategic discourse, operating at both the structural level of social reproduction and the instrumental level of intentional communication, and constituting the medium through which choices are discussed and recorded, interpretations developed and expressed, and strategic actions initiated, authorized and acknowledged. This conceptualization opens up a number of research questions concerning the role of strategic decision making in the overall strategy process and leads to a fruitful conceptualization of strategy itself as a technological and appropriative social practice. [ABSTRACT FROM AUTHOR]

Adaptation is a crucial challenge for organizations, and an important theme in the strategy and organization theory literature. We still have much to learn, however, about the strategic processes by which adaptation is achieved. In this paper we focus on a basic element in the adaptation process, i.e. flexibility within the strategic decision-making process. We concentrate on strategic decisions because these choices are the most important adaptations the firm makes. We suggest that the core of ail organizational adaptation is a decision-making process. Unless the decision-making process itself is flexible, it is unlikely the organization can be flexible enough to adapt. We derive hypotheses concerning the factors that lead to flexibility (versus rigidity) from both information processing and ideological perspectives, and test them in a study involving 57 strategic decisions in 25 companies. Our results identify three contextual factors related to both perspectives - including competitive threat, slack and uncertainty - that are helpful in understanding flexibility in strategy decision making. While managers appear to be more flexible when decisions are uncertain, we found that in the very conditions where managers need the most flexibility (high competitive threat and low slack), they are least likely to be flexible. [ABSTRACT FROM AUTHOR]

Research on the consensus-performance relationship has typically used correlational data to examine the simple, bivariate relationship between top management team consensus and firm performance. The results of this research are equivocal. Recent theoretical work, however, suggests a number of 'third variables' that may provide additional insight into the consensus-performance relationship through the 'process of elaboration'. This paper presents theoretical models, based on recent theory building, that may be appropriate for incorporating these additional variables in future research. [ABSTRACT FROM AUTHOR]

There is some debate about the potential value of using devil's advocates in top-level organizational decision-making. In this paper, the contrasting views on this question are summarized briefly and the field and laboratory research on the devil's advocate and related techniques is discussed. This research is then used as the basis for detailed suggestions on the effective use of devil's advocates in improving managerial decisions. [ABSTRACT FROM AUTHOR]

This paper presents a framework for the comparative analysis of strategic decision-making processes. It draws together and integrates predominant but previously disparate theories of decision-making. Examples are given of how decision-making processes may be characterized and, hence, facilitate comparison across all types of strategic decisions. Explanation of why decision processes may differ is from two perspectives. First, the complexity of the topic may lead to particular characteristics of the decision process. Secondly, the cleavage of interests which a topic arouses may also lead to particular aspects of decision processes. We argue that each decision topic has varying levels of both complexity and cleavage and four examples of strategic decisions are analyzed on these dimensions. We identify four profiles of decision-making processes associated with varying levels of complexity and cleavage and we finally suggest that our model may explain and empirically demonstrate variations across a large number of diverse strategic decisions. [ABSTRACT FROM AUTHOR]

In the last few years management has been forced to take decisions in conditions of extreme uncertainty. One consequence of this has been an increase in the use of formal methods of analysis in major decision problems. This paper describes some observations on how companies were handling decision-making under uncertainty, made during a S.S.R.C. sponsored research project on the influence of computer methods in planning and decision-making, viz. 1. Managers were consciously handling uncertainty by evaluating their major decisions in the light of several possible alternative forecasts. 2. Statistical decision theory was not used because, though in theory it was ideally suited for this situation, in practice management had the following objections to the use of this technique: (a) It assumed an accuracy of subjective probability estimates which was unrealistic in real life. (b) It required the use of artificial criteria of choice which were totally unacceptable to senior management. (c) It over-simplified the decision-making process. 3. In the thirty-two companies visited, management was using a systems analysis approach to decision-making involving the use of decision trees to structure the decision. Thereafter, instead of carrying out a probalistic analysis, a full evaluation to determine the quantitative and qualitative results would be carried out for each feasible path though the tree. This would be followed by an iterative elimination process. 4. Management were also endeavouring to cope with uncertainty by being more adaptive and flexible in their decision-making and are developing contingency or 'fall-back' strategies. Plans were not looked on as rigid blue-prints, but more as loosely linked frameworks of decision trees with the actual path through the decision tree dependent on future events. [ABSTRACT FROM AUTHOR]

This article examines the strategy selection process of decision-makers in terms of the dispersion of the probability distributions of payoffs. The authors attempt to show that general results can be derived about the minimum and maximum variance of the payoffs of any strategy. They present the calculations used to obtain these results and examine the use of extreme expected payoffs and maximum variances. They note that when deciding between two or two or more competing strategies minimum and maximum expected payoff play an important role in the decision making process. They also discuss the concept of the trade-off, where a decision maker will trade or reduce their expected payoff for a reduction in their variability.

The article examines decision theory with incomplete knowledge. Several approaches for solving decision problems with complete information are discussed, as well as the lack of methods incorporating incomplete information. The authors present a method for estimating the maximum and minimum expected payoffs under conditions of incomplete information. The method utilizes the ranked probabilities of possible outcomes and past experience to provide the decision-maker with a number of possible probability distributions to choose from.

The article discusses the role of management structure in determining levels of organizational performance. Problems faced by managers are looked at, including how to divide tasks among people, what procedures to employ, what paperwork to use, and where to locate decision-making. The author examines theory from the classical school of management, rejecting much of it for having little practical application. The dangers of stereotypes are discussed, noting that they are typically created for analytical convenience. A manager's choice of management structures is a complex one based on several factors within their operating system.

The article uses the ON and OFF states in electrical circuitry to illustrate the interconnection of controllers in an administrative system. The authoritative roles of two types--controllers in series and controllers in parallel--are defined by an electrical system's four gates. The AND gate, OR gate,and AND/OR gate, which represent controllers in series, controllers in parallel, and conjoint controllers, show how linkages between controllers affect output. The NOT gate represents management by exception where a controller is in a state of passivity until action is needed. The logic of circuit theory, sequential and time-independent gates, and hierarchical control in decision making are mentioned.

We explore the usefulness of network analytical techniques to reveal the structure of shared cognitions among participants at a field-configuring event. Using transcripts from a professional conference at a pivotal moment in the emergence of the Jewish lawyers group in pre-state Israel, we analyse the relationships of actors and topics raised at the 1944 meeting. Our analysis demonstrates the underlying centrality of a subset of topics and actors that facilitated shared cognitive sense-making. Subsequent events are consistent with our interpretation that the revealed shared cognitions helped mobilize changes in the organizational field and its institutional logic, including growth in the Jewish legal profession and Jewish judges, use of Hebrew in courts, and establishment of an Israeli bar. [ABSTRACT FROM AUTHOR]

Previous studies have not adequately addressed the role of cognitive biases in strategic decision processes. In this article we suggest that cognitive biases are systematically associated with strategic decision processes. Different decision processes tend to accentuate particular types of cognitive bias. We develop an integrative framework to explore the presence of four basic types of cognitive bias under five different modes of decision making. The cognitive biases include prior hypotheses and focusing on limited targets, exposure to limited alternatives, insensitivity to outcome probabilities and illusion of manageability. The five modes of strategic decision making are rational, avoidance, logical incrementalist, political and garbage can. We suggest a number of key propositions to facilitate empirical testing of the various contingent relationships implicit in the framework. Lastly, we discuss the implications of this framework for research and managerial practice. [ABSTRACT FROM AUTHOR]

Almost 1000 adults participated in the development of the Cognitive Style Index (CSI), a new measure designed specifically for use with managerial and professional groups. The objectives of the study were, first, to produce a psychometrically sound instrument suitable for application in large-scale organizational studies, and second, through its development, to confirm empirically the generic intuition-analysis dimension of cognitive style. Findings suggest that each objective was largely fulfilled. At a time when there is a burgeoning interest in intuition as a basis for decision making and problem solving in organizations, the CSI would appear to be a notable addition to the small collection of measures appropriate for survey research. [ABSTRACT FROM AUTHOR]

Decisions to persist with losing courses of action known as escalation have been widely studied, albeit mainly in an experimental context. Comparatively little is known about the conditions under which de-escalation occurs. Utilizing a model of de-escalation derived from the literature the present study examines, by means of a case study, a decision to withdraw from a losing predicament. It is concluded that while de-escalation is likely to occur where the opposite conditions thought to be conducive to persistence apply, existing models under-emphasize the importance of power. Accordingly a modified version of Bowen's two-factor model is proposed. [ABSTRACT FROM AUTHOR]

The reported interpretive case study is focused on the genesis and the maturation of a catastrophic division-level business strategy and affords an uncommon glimpse of the intraorganizational dynamics of failure. A descriptive account of the focal division's history and the emergence of the fatal strategy provides the backdrop for subsequent diagnoses. Comparative analysis is used to identify salient differences between the focal strategy and the strategies of three sectoral pacesetters; then, the processes that spawned the noted differences are examined within the context of organizational and behavioural decision theory. [ABSTRACT FROM AUTHOR]

This article identifies key features of the strategy concept as a basis for reviewing existing theories of strategy. It also provides an agenda for future research. The article argues that there is a decision hierarchy in a firm, and defines strategy as the highest-level decision in the hierarchy. Consequently, strategy has to exhibit what may be called three features of dominance: vertical dominance, horizontal dominance, and dynamic dominance. A vertically dominant strategy is one that determines, directly or indirectly, other decisions of a firm. A horizontally dominant strategy seeks to optimize the value of the firm according to some criteria. Dynamic dominance implies that strategy should affect the subsequent decisions of a firm over a relevant period of time. With few exceptions, existing theories of strategy are issue-oriented and focus largely on horizontal dominance. More research should, therefore, be directed towards vertical and dynamic dominance criteria. If a comprehensive theory of strategy which satisfies the three dominance features cannot be developed, it is suggested that development should be directed towards integrating behavioural and economic approaches. [ABSTRACT FROM AUTHOR]

Despite the central place of rationality in the organization theory, strategic management, and decision-making literatures, we know relatively little about why some strategic decision-making procedures are more rational than others. This question was addressed in a study of 57 strategic decisions in 24 companies, using a multiple-informant, structured interview protocol. Results indicate that environmental competitive threat, perceived external control of the organization, and the uncertainty of the strategic issues being addressed are related to procedural rationality. Surprisingly, some of these relationships were in the opposite direction from our predictions. These results are interpreted within a framework that emphasizes the link between procedural rationality and managerial discretion. [ABSTRACT FROM AUTHOR]

This article attempts to reveal Jungian personality types' cognitive biases through a strategic management framework. The four personality types seem to use distinct heuristics to gather data, to generate and to evaluate alternatives. The connected heuristics appear as cognitive trails. We propose that different personality types habitually use certain cognitive trails; consequently, they can fall prey to biases that lurk in these trails. Cognitive trails may include linked input, output, and operational biases. We present the results from a pilot study to illustrate some connections between personality types and biases. We also explore some implications for future research and for management practice. [ABSTRACT FROM AUTHOR]

Decision-makers in organizations use dimensions implicitly or explicitly to sort strategic issues. This article compares the dimensions implied by three literatures and dimensions generated by an empirical study. While some similarities are identified, there are striking differences between what the literature assumes and what dimensions decision-makers in the NY/NJ Port Authority use to sort issues. Implications for theories of decision-making and interpretation in organizations are discussed. [ABSTRACT FROM AUTHOR]

Much recent research on strategic decision-making and strategic change from many different perspectives challenges the view that decision outcomes are the product of rational choice. Allison's (1971) classification scheme is used to categorize recent strategic decision research within three different perspectives. Discussions of research on cognitive, organizational and political perspectives are followed by an integrative discussion showing how these three perspectives can be combined to deal with the full complexity of strategic decisions and the strategic change process. [ABSTRACT FROM AUTHOR]

Despite the vast range of contributions, the study of decision-making has remained highly fragmented. Early writers adopted a psychological perspective, viewing the individual as an information processing system, and this detracted from a consideration of political aspects such as conflict and power. The subsequent move towards an approach that saw decision-making more as a political process was to be welcomed, and this article argues that this owed much to the work of Thompson and Tuden (1964). Their matrix model was extended further by Astley et al. (1982) and Hickson et al. (1986) in what became known as the Bradford Studies, and the author believes that this lineage in theoretical development can be taken further by focusing upon the 'flow' of management decision-making. Two explanatory case studies are used to show how, in the specific case of computer installations, different decision-making processes can move along alternative routes through the matrix. The hypothesis put forward is that a particular process flow depends primarily on the nature of organizational power (i.e. whether it is specialist or structural), and consequently upon the level of management involved, and the stage at which they become involved. [ABSTRACT FROM AUTHOR]

The article examines the actions taken by a large US chemical company, using the pseudonym Chemco, in the wake of the Union Carbide chemical disaster in Bhopal, India. This field study focuses on the decisions faced by executives in the handling and production of toxic chemicals, as well as the potential hazards and safety precautions involved, taking into account a low probability occurrence that could have catastrophic consequences. The authors are interested in analyzing the firms behavior using a conceptual framework based in organizational behavior and decision theory.

This article reviews the major theoretical approaches to strategic decision-making and identifies how each treats the process of problem formulation. Five models of strategic decision-making are analysed to determine the assumptions and biases made about strategic problem formulation. Successful strategic problem formulation is described and proposed as a beginning point for future research. Some constructs for further theory development are addressed. [ABSTRACT FROM AUTHOR]

This article presents evidence and argument concerning the utility of the concept of task uncertainty for organization theory and practice. The results from two studies, one field and one laboratory, are reported. The results support the hypotheses that: (1) perceptions of task uncertainty are a simple function of the number and analysabiity of exceptions encountered, and (2) perceptions of task exceptions and search difficulty have distinct relationships with behaviours of interest (communication and decision-making). Given these two findings, it is argued that the concept of task uncertainty should be replaced by the two source constructs. [ABSTRACT FROM AUTHOR]

The article discusses the disparate state of the field of management studies, which is characterized as fragmented and practically limited. The author argues that a serious analysis of the present state of management research requires a sociological approach using tools developed for scientific analysis. The article presents a history of management studies, defines the major contextual features of the field, and outlines its dominant characteristics as a "fragmented adhocracy." As a result of this analysis, the author notes that the structure of the management studies field may prevent it from becoming more unified, as academic reputation competes with practical concerns for the interest of researchers.

The article looks at a study exploring managers' perceptions of the choices on their jobs. The author defines job choices as the opportunities that exist for one jobholder to do the job differently from another. Managers who see opportunities for choice being predominantly externally controlled have a satisfying view of what is reasonable to expect in terms of choice opportunities, and are mainly content with the existing opportunities for choice. Most managers are not aware of their choosing unless there are special circumstances or especially difficult decisions to be made. They typically act by habit and instinct. One of the most important issues for management education and organizational functioning is whether managers would be more effective by adopting a more strategic approach to their jobs.

The article looks at a study of optimal decision rules where the decision-maker holds certain a priori beliefs about the probability distribution of possible states of nature. The research, conducted by Carl M. Cannon and Z. W. Kmietowicz, suggests the use of maximum and minimum expected payoffs in such situations. Kmietowicz and A.D. Pearman further suggest the use of the triple, maximum and minimum expected payoffs and maximum variance for each strategy. A method is given for determining the maximum variance within each strategy along with how their criteria might be used in practice. The author notes the errors within Kmietowicz and Pearman's work, provides corrections, and displays a proof of the validity of their method.

The article focuses on how managerial practices of Western multinational corporations differ from managerial practices in indigenous firms. It states that social role analysis provides a starting point as they permit simultaneous consideration of various attitudes of persons occupying specified positions within the organization. It examines data gathered from interviews of several corporations to provide a contrast of management practices in large Western and Chinese companies operating in Singapore, China. It talks about how decision making processes and personnel decisions differ between the Western and Chinese organizations.

Attempts to illustrate the concept of sequential decision trees and how it can be converted to a theory of games payoff table which highlights the possible outcomes to enable an assessment of a firm's exposure to gains and losses. Example of a sequential decision-making problem where the Bayesian decision trees can be applied; Alternative actions being considered; Advantages of the decision tree graph; Factors which will affect the benefits and costs of multinational corporations. [ABSTRACT FROM AUTHOR]

The article focuses on the allocation of managerial time among a variety of tasks to achieve maximum return on total available time. It states that few studies have suggested the allocation of time using a normative criteria. It mentions that decision making is an essential activity for management. It suggests that decision problems arise when the possibility of changes in organizational resource allocation arise to allow for greater efficiency in achieving organizational goals. It talks about limitations of decision models and comments on the importance of evaluating alternative strategies for problem solving.

This article examines the accounting profession and the author discusses what the future most likely holds for this function. The author contends that in the post-industrial society accounting will face a historic crisis as it becomes faced with the exclusive monetary unidimensionality of its expression. The author discusses what the functional significance of accounting is to the societal process of adaptation, and what these processes require of accounting as a societal function. The author shows that as society changes the content of the accounting profession will be changed dramatically as the traditional accounting tools of measurement and communication become outdated.

The article discusses measurement problems in the decision analysis process. The four identifiable steps in the decision analysis process are outlined, including the representation of the elements of the problem in a logical form that commonly leads to a decision tree, the assignment of probabilities at all chance forks in the tree, and the assignment of pay-offs or utilities at the tips of the branches of the tree. The drawing of the decision flow diagram is a crucial first step in any decision analysis, because the outlined tree structure will determine the degree of difficulty in obtaining assessments of uncertain quantities and utilities. Several different approaches to decision analysis are discussed.

The article focuses on the managerial decision making process for ambiguous objectives. It states that specifications of managerial goals often assume two modes: optimizing and satisficing. It mentions that optimizing is when executives act to maximize or minimize the value of a predetermined measure of performance, while satisficing is when the system is required to perform within given bounds in relation to one or more criteria. It suggests that there is no fundamental difference between objectives and constraints. It comments on the expression of standards of performance and states they're often expressed as objectives based on past performance.

The article discusses the integration of accounting and management control within management control systems. The need for a planning and control system within a business organization stems from general characteristics of the nature of business enterprises. The author notes that the purpose of a unified management control system is to ensure that actions are in accordance with the firm's objectives. Planning and controlling are inseparable parts of an overall effective management control system. From a functional viewpoint, they can be viewed as an attempt to enforce the integration of separate functional areas of the firm such as marketing, product development, or accounting into one network for the purpose of improving upon decision-making.

Questionnaire data were obtained from 128 managers representing all levels and functions of a large manufacturer. Variables describing the superior/subordinate relationship were related to respondent's perceptions of the values of management by objectives using correlational methods. These relationships were then moderated using personality and situational characteristics of the respondents. The involvement of the boss is generally related to positive orientations to MBO. Participation in decision making was related to only one criterion. When the basic relationships were moderated, however, it was found that some personality and situational characteristics may be significant in the reaction of an individual to the approach. For example, participation was related to positive effects for high initiative manager and negative effects for low initiative respondents. Essentially, the results of this research argue for selective application of the manner in which a superior stresses the use of management by objectives for subordinates. [ABSTRACT FROM AUTHOR]

The article discusses the introduction of sound appraisal schemes for managers to enhance their decision making capabilities. Many companies recognize the inevitability of appraisals within the process of making decisions on personnel. Larger companies with progressive personnel departments have prepared to carry out research to uncover the strengths and weaknesses of their appraisal schemes. The author notes the basic components of most appraisal schemes to be a structured appraisal form and an appraisal interview. The management by objective approach becomes pragmatized when concerning an employee's current job performance.

The article looks at the delegation of authority and responsibility within management control. There must be delegations between higher and lower echelons of management to a lower echelon, in order for the lower echelons to exercise discretion, develop skills in handling situations which call for managerial intervention, and share in responsibility for the success or failure of such interventions. The author notes that if complete delegation is practiced, higher management levels become useless, as full authority and responsibility for decisions are being assumed by the lower levels of management. A situation like this could bring into question the purpose and existence of the higher level of management.

The article presents a perspective on long range formal planning. The author feels that the word "planning" is being used in so many various senses that it is in danger of being reduced to an emotive noise. He asks to restore content to the idea of planning by examining the purposes of a formal procedure for long-range planning. He discusses scenarios in which planning used to help improve communications may be counterproductive. The decision-process in formal planning may be divided into four stages: problem-recognition, problem-formulation, choice and implementation.

This article defines and discusses operational research. The author defines operational research as the attack of modern science on the consequences of decisions in complex situations and the attempt of scientists to help with complex decision-making in organizations. It is natural for scientists trying to study the consequences of decisions in complex situations to utilize a model, which the author defines as a conscious recognition of the breakdown of language. Models provide an opportunity of experimenting with a real life situation. The author discussed his fascination with the structure of problems in operational research.