Bounded Awareness Essay

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This is definitely an issue, when somebody instead of gathering knowledge themselves, leans on the knowledge of others. There are major gaps that can be expected under that scenario. It is worth considering that this applies to information systems as well. Computer systems are powerful with respect to the information that they can process, but they are configured in a fixed manner. If there are gaps in terms of how that configuration gathers and disseminates information, those gaps will result in bounded awareness on the part of the managers who rely on those information systems.

For managers, the implications of bounded awareness are simple. Managers need to understand that when they are making decision, they probably do not have all of the information that they need. There are two things that they can do in response.

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The first is to gather more information, which seems a natural course of action. The second is simply to understand that there are things they don't know, and react accordingly. This does not necessarily mean hedging their bets, but it does mean that managers should be prepared to be flexible in the event that they did miss something that was important. Managers who do not realize that bounded awareness occurs are more likely to make mistakes, and they are more likely to fail to recognize early that they made mistakes, because they had too much certainty when making a decision that should not have been characterized by certainty......

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