Kevin L. Boettcher

Modeling the Interacting Decisionmaker with Bounded Rationality

An analytic characterization of the process of executing a well-defined decisionmaking task by a human decisionmaker is presented. A basic two-stage model of this process is introduced in which external situations are first assessed and then responses are selected. An information theoretic framework is used in which internal activity is described not only in terms of transmission or throughput, but also in terms of coordination, internal decisionmaking, and blockage. A constraint on the total rate of internal processing is suggested as a model of bounded rationality for this case. Optimizing and satisficing strategies are derived and their properties analyzed in terms of performance and workload. Finally, direct and indirect controls are discussed as models of the decisionmakers interaction with the organization.

Brief paper: Modeling and analysis of teams of interacting decisionmakers with bounded rationality

A methodology for analyzing and evaluating alternative organizational structures is presented. An information theoretic framework is used in which each team member is described by a two-stage model consisting of situation assessment and response selection stages as well as interconnections with the rest of the organization. The information processing and decisionmaking load of each team member and the measure of organizational performance are depicted in the performance-workload space as implicit functions of the decision strategies of each individual member. The approach to evaluating organizational structures using the methodology for analysis analysis of an organization consisting of two decisionmakers with bounded rationality.

Decisionmaking organizations with acyclical information structures

An analytical model of a team of well-trained human decisionmakers executing a well-defined decisionmaking task is presented. Each team member is described by a two-stage model consisting of a situation assessment (SA) and a response selection (RS) stage. An information theoretic framework is used, in which bounded rationality is modelled as a constraint on the total rate of internal processing by each decisionmaker. Optimising and satisfying strategies are derived and their properties analysed in terms of organisational performance and individual workload. The results are applied to the analysis of two three-person organisational designs.

Distributed Decisionmaking with Constrained Decisionmakers: A Case Study

A specific distributed decisionmaking problem is considered that reflects essential aspects of tactical command and control teams, particularly communications and limitations to human information processing induced because of time pressure. A constrained optimization problem is fonnulated to maximize overall team performance subject to individual limitations. The results of a systematic investigation of possible solutions are described in terms of performance and workload interactions. In particular, optimal solutions arise where team members act randomly and/or introduce errors. Though results obtained are specific to the case study, a number of more generally applicable principles are evident.