Rationalizing Organizational Change: A Need for Comparative Testing

dc.contributor.authorSakhartov, Arkadiy
dc.contributor.authorFolta, Timothy B
dc.date2023-05-17T14:35:26.000
dc.date.accessioned2023-05-22T23:53:08Z
dc.date.available2023-05-22T23:53:08Z
dc.date.issued2013-07-01
dc.date.submitted2016-06-11T11:07:44-07:00
dc.description.abstractBehavioral theory explains that organizational change is prompted by performance relative to a firm-specific aspiration. Although this explanation has been empirically confirmed, it has not been tested comparatively alongside other explanations, most notably rational choice. This lack of comparative study implies that prior research may be committing Type I errors—confirming aspiration-level decision making when it is not actually occurring. This paper contributes to behavioral theory in two specific ways. First, we show that several foundational studies purporting to provide empirical support for aspiration-level decision making may actually represent maximizing behavior. To consider this potential, we simulate a sample of subjectively rational agents who choose strategies by maximizing expectations. We show that it is possible and highly probable to diagnose satisficing when agents are, in fact, maximizing. Second, we develop and implement recommendations for comparative testing to demonstrate reliability. Analysis shows that the recommendations are effective at reducing Type I and II errors for both behavioral theory and rational choice. This paper is meant to inspire the design of future studies on aspirations and, indeed, all studies of organizational change.
dc.identifier.urihttps://repository.upenn.edu/handle/20.500.14332/40244
dc.legacy.articleid1054
dc.legacy.fields10.1287/orsc.1120.0785
dc.legacy.fulltexturlhttps://repository.upenn.edu/cgi/viewcontent.cgi?article=1054&context=mgmt_papers&unstamped=1
dc.source.beginpage1140
dc.source.endpage1156
dc.source.issue117
dc.source.issue4
dc.source.journalManagement Papers
dc.source.journaltitleOrganization Science
dc.source.peerreviewedtrue
dc.source.statuspublished
dc.source.volume24
dc.subject.otherbehavioral theory
dc.subject.otherrational choice
dc.subject.otheraspirations
dc.subject.otheraspiration levels
dc.subject.otherexpectations
dc.subject.othercomparative testing
dc.subject.otherBusiness Administration, Management, and Operations
dc.subject.otherOrganizational Behavior and Theory
dc.titleRationalizing Organizational Change: A Need for Comparative Testing
dc.typeArticle
digcom.contributor.authorSakhartov, Arkadiy
digcom.contributor.authorFolta, Timothy B
digcom.identifiermgmt_papers/117
digcom.identifier.contextkey8718551
digcom.identifier.submissionpathmgmt_papers/117
digcom.typearticle
dspace.entity.typePublication
upenn.schoolDepartmentCenterManagement Papers
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