Which approach emphasizes using data and systematic analysis to inform managerial choices?

• A. Intuition-based management
• B. Bounded rationality approach
• C. Satisficing approach
• D. Evidence-based management

Answer: (D)

Evidence-based management centers on making decisions that are grounded in data, systematic analysis, and the best available evidence. It involves framing the decision, gathering relevant internal metrics and external research, critically appraising the quality of that evidence, and applying it in the specific organizational context while monitoring outcomes to learn and adjust. This approach directly uses data and structured analysis to inform managerial choices, rather than relying on intuition or just aiming for a satisfactory solution given constraints.

Intuition-based management relies on gut feelings or instincts. The bounded rationality perspective recognizes limits to information and cognitive capacity but doesn’t inherently emphasize data-driven analysis. The satisficing approach seeks a solution that is good enough under constraints rather than the best possible choice supported by evidence.