Applied decision making with fast-and-frugal heuristics

Details

Serval ID
serval:BIB_0D72BCF01C9E
Type
Article: article from journal or magazin.
Collection
Publications
Institution
Title
Applied decision making with fast-and-frugal heuristics
Journal
Journal of Applied Research in Memory and Cognition
Author(s)
Hafenbrädl S., Waeger D., Marewski J. N., Gigerenzer G.
ISSN
2211-3681
Publication state
Published
Issued date
06/2016
Peer-reviewed
Oui
Volume
5
Number
2
Pages
215-231
Language
english
Abstract
In applied settings, such as aviation, medicine, and finance, individuals make decisions under various degrees of uncertainty, that is, when not all risks are known or can be calculated. In such situations, decisions can be made using fast-and-frugal heuristics. These are simple strategies that ignore part of the available information. In this article, we propose that the conceptual lens of fast-and-frugal heuristics is useful not only for describing but also for improving applied decision making. By exploiting features of the environment and capabilities of the decision makers, heuristics can be simple without trading off accuracy. Because decision aids based on heuristics build on how individuals make decisions, they can be adopted intuitively and used effectively. Beyond enabling accurate decisions, heuristics possess characteristics that facilitate their adaptation to varied settings. These characteristics include accessibility, speed, transparency, and cost effectiveness. Altogether, the article offers an overview of the literature on fast-and-frugal heuristics and their usefulness in diverse applied settings.
Keywords
Fast-and-frugal heuristics, Professional decision making, Applied decision making, Decision aids, Ecological rationality, Bounded rationality, Optimization
Web of science
Create date
29/04/2016 10:42
Last modification date
20/08/2019 13:34
Usage data