researchondecision-makingbehaviortestsystemfor.docVIP

Research on Decision-making Behavior Test System for Top Management Team Based on Simulation Environment Xue-ying Hong1, Zhu-chao Yu2 , Zhu Wang , Yang Jiang (Northeastern University of Business Administration, ShenYang, LiaoNing, 110004) 1 yingshuyuan@126.com, 2 zcyu@ (()  Abstract - The decision made by Top Management Team is fatally important for business operation. So, how to improve the quality and reliability of decision-making seems very necessary. Starting from the Prospect Theory of behavioral decision-making theory, this paper puts forward testing decision-making behaviors of Top Management Team, and analyzes the specific process and methods of decision-making. According to results of the decision-making behavior testing, the characteristics of Top Management Team can be obtained, and so as to provide reasonable foundation for evaluation and improvement of decision-making behaviors. Keywords - Behavior testing, decision-making behavior , decision simulation, top management team I. INTRODUCTION The Nobel Prize Winner Herbert Simon used to say that “management is making decision”, which reveals how important the decision-making is in business administration. With the global economic integration goes further in China, drastic market competition and rapid changes of information revolution, diversification oriented business and close coordination oriented department all present new challenges to executive leaders[1]. At the same time, team decision-making gradually takes place of personal decision-making and is becoming more and more important in business administration. By full understanding of Top Management Team (TMT) on decision–making behavior characteristics, we can make better use of the advantages of certain teams and achieve the effect that team decision is superior to individual decision, thus we can keep continual development of business in the long run. Katzenbach defined TMT as “top leaders team in organizations and institutions”, they