Cognitive Reflection and Decision-Making Accuracy: Examining Their Relation and Boundary Conditions in the Context of Evidence-based Management

Abstract

Evidence-based management (EBM) is an increasingly advocated yet rarely adopted framework to assist in making organizational decisions. We investigate how cognitive reflection – the ability or disposition to question an intuitive response and rely instead on a more analytical process—influences decision-making accuracy in the context of EBM. Across three experimental studies (N = 332, 166 and 99), we determine the effects of using actively sought and passively sought evidence, in boundary conditions of cognitive and emotional load. Results of study 1 show that cognitive reflection is generally associated with higher decision-making accuracy, particularly in passive pathways to EBM, and when exposed to low cognitive load. Results of studies 2 and 3 support that passive pathways to EBM will result in higher accuracy, and that negative emotion inducing stimuli can strengthen the effect of cognitive reflection on evidence collection. The findings demonstrate that a contingency approach to EBM is critical, with the impact of cognitive reflection differing for situational constraints and for actively and passively sought evidence.