Huda Al Hussari, Thorsten Knauer, Christian Kremer
Debiasing with Management Dashboards
Abstract
This study investigates two information reporting features very common in management dashboards. One is a central aspect of management dashboards, a simultaneous information experience, and the other is also applicable to classical reporting, a multidimensional information visualization. We examine how these two features might affect order biases. In a laboratory experiment we vary information experience (sequential vs. simultaneous) and information visualization (numerical vs. multidimensional). Our results show that a simultaneous experience of numerical visualized information decreases order biases compared to a sequential experience. Based on the belief adjustment model, we find that a simultaneous experience of information leads to an unsystematic anchoring-and-adjustment process that counteracts the reduced sequence in which the information is seen. Further, we find that a multidimensional visualization of sequential experienced information reduces order biases compared to a numerical visualization. We state, according to dual coding theory, that the multidimensional visualization of information activates the verbal and the imagery systems. If both systems are activated, positive additive effects decrease order biases. Overall, this study informs managers that their inferences may improve from the use of management dashboards by being less affected by order biases.