Effects of Information Sequence and Irrelevant Distractor Information When Using a Computer‐based Decision Aid*

Abstract

Computer-based decision aids are intended to support and improve human judgments. Frequently, the largest portion of the design effort is devoted to the technical aspects of the system; behavioral aspects are often overlooked. As a result, the decision aid may be ineffective. An experiment was conducted to examine the effects of two information structure variables that theoretically affect judgments: information sequence and irrelevant distractor information. Auditor subjects made continuing existence judgments for client-banks after interacting with one of four alternative decision aids. The decision aids are modifications of a system developed by an international CPA firm. Judgments were predicted to be more accurate when: (1) diagnostic information is presented late rather than early in the information sequence and (2) when no irrelevant distractor information is presented. Further, judgment confidence was predicted to be unrelated to either information sequence or irrelevant distractor information. The experimental data support all three predictions.

Knowledge Acquisition and Memory Effects Involving an Expert System Designed as a Learning Tool for Internal Control Assessment*

“…As another possibility, which could only be completed with a larger number of students, an additional group could train on ICS2, then use ICS1 for the next phase of the testing, and then complete Phase III with the other groups. This would indicate a test situation that is consistent with the findings of Reneau and Blanthorne (2001) by providing active, diagnostic explanations later in the process. Future development of the systems tested in this study could also include expanding the systems for use with other audit cycles.…”

“…The experts involved in the study used explanations for verifying their solutions, which is a more active approach. Reneau and Blanthorne (2001) found that judgment is more accurate when diagnostic information in a decision aid is presented later in the process, and when no irrelevant distraction information is presented. Finally, Mascha (2001) found that the task complexity as well as type of feedback affects the acquisition of procedural knowledge, with task complexity playing a more important role.…”

“…At the same time, different learning methods may determine how well a student or novice auditor learns and retains this information (Derry & Murphy, 1986; Frederick & Libby, 1986; Hulse, Egeth, & Deese, 1980; Murphy, 1990;Weber, 1980). When an expert system is involved, the task presentation and complexity and the extent, timing, and type of explanations have been found to affect learning (Hornik & Ruf, 1997; Mao & Benbasat, 2000; Pei & Reneau, 1990; Reneau & Blanthorne, 2001).…”

Mitigating the Dilution Effect in Auditors' Judgments Using a Frequency Response Mode

“…2 The dilution effect has also been shown to occur in a legal context (Smith, Stasson, andHawkes 1998/1999) and in consumer behavior (Meyvis and Janiszewski 2002). Other accounting studies that have examined the dilution effect include Reneau and Blanthorne (2001), Waller and Zimbelman (2003), Seow (2009), Wood (2012), and Fanning et al (2015). Waller and Zimbelman (2003) provide a review of the dilution literature in accounting.…”

The effects of decision aid structural restrictiveness on decision-making outcomes

“…The use of decision aids is widespread in accounting (Dowling and Leech, 2007;Mascha and Smedley, 2007), health care (Holbrook et al, 2007;Inger, 2007; McMaster University Evidence-based Practice Center, 2002;Miller, 1994), human-resource management (Lawler and Elliot, 1996;Sturman, Hannon, and Milkovich, 1996) and marketing (Haubl and Trifts, 2000;Olson and Widing II, 2002;Wierenga, Van Bruggen, and Staelin, 1999). Increasingly, computerized decision aids are developed to support human judgments (Bell, Bedard, Johnstone, and Smith, 2002;Brown and Eining, 1997;Dowling and Leech, 2007;Mascha and Smedley, 2007;Reneau and Blanthorne, 2001;Wheeler and Jones, 2006). Technology offers the opportunity to have more discretion regarding the design of computerized decision aids as compared with manual decision aids.…”