Evidence-Based Management Practice
Evidence-based management (EBM) is a decision-making framework that involves systematically acquiring, appraising, aggregating, and applying the best available evidence from multiple sources, including scientific literature, organizational data, practitioner experience, and stakeholder values.
THE IDEA
Evidence-Based Management Practice
Banasiewicz presents the Center for Evidence-Based Management (CEBMa), an independent nonprofit foundation, as a proponent of evidence-based practice. He discusses the contributions of management researchers including Denise Rousseau, Rob Briner, Eric Barends, and Jeffrey Pfeffer.
The account describes a process for using the best available evidence from multiple sources:
- Asking: translate a practical problem into an answerable question.
- Acquiring: search for and retrieve relevant evidence.
- Appraising: judge its trustworthiness and relevance.
- Aggregating: weigh the evidence and bring it together.
- Applying: incorporate it into the decision.
- Assessing: evaluate the outcome and use what is learned to improve later decisions.6
CEBMa defines evidence as ‘information, facts or data supporting (or contradicting) a claim, assumption or hypothesis’. The account identifies four sources:
- Scientific literature: findings from empirical research.
- Organizational data: facts and figures gathered within the organization.
- Practitioners: professional experience and judgment.
- Stakeholders: the values and concerns of people affected by the decision.
The guiding idea is that ‘good-quality decisions should be based on a combination of critical thinking and the best available evidence’. Evidence from each source needs appraisal: a large dataset can contain poor measurements, an experienced practitioner can be mistaken, and a published study may not fit the decision at hand.
Systematic reviews gather and assess research through explicit methods. Meta-analyses combine comparable numerical findings. The account describes an evidence hierarchy that generally gives these syntheses more weight than isolated studies or uncorroborated opinions. A synthesis still depends on the quality and relevance of its underlying studies.
Banasiewicz questions whether an approach rooted in medical research gives enough attention to organizational data. He argues that management research often deals with more divergent settings and less agreement about mechanisms, making general prescriptions harder to transfer. This is a criticism of how evidence is weighted, rather than a claim that the framework excludes organizational data: those data are explicitly among its sources. The practical question is which evidence can answer the organization’s particular question and what its limits are.
When to use it
Implementing a new employee training program.
Deciding on a pricing strategy for a new product.
Choosing between two software vendors for a company-wide system.
Evaluating the effectiveness of a remote work policy.
FROM THEORY TO EVERYDAY LIFE
In practice
Implementing a New Performance Review System
A company is considering adopting a new performance review system. Using EBM, the management team formulates a question, searches for scientific studies on performance reviews, collects internal data on current employee satisfaction, consults with HR practitioners, and surveys employees (stakeholders). They then appraise and aggregate the evidence to make an informed decision.
Product Feature Prioritization
A product manager compares user feedback, usage data, relevant research, and practitioner experience when prioritizing features. Industry reports may add context, but they need appraisal and are not automatically scientific studies. After choosing a feature, she evaluates whether it produces the expected benefit.
A MOMENT TO REFLECT
Put it to work.
How would you apply the ask-acquire-appraise-aggregate-apply-assess cycle to a decision you are currently facing?
What sources of evidence are you most likely to overlook, and how can you ensure they are included in your decision-making process?
In what ways might the hierarchy of evidence be less applicable in management compared to medicine?
Often confused with
CONTINUE THE CONVERSATION
Source texts
- Evidence-Based Decision-Making How to Leverage Available Data and Avoid Cognitive Biases (Andrew D. Banasiewicz)