Executive Scanning and Perceived Uncertainty: A Multidimensional Model

Abstract

The present study examined how executives’perceptions of the environment affected their decisions to collect strategic information. It was hypothesized that two dimensions of perceived uncertainty would have unique relationships with environmental scanning. Interviews were conducted with 72 senior executives in a cross-section of industries and produced the following results: (1) strategic importance was the primary determinant of scanning; (2) scanning declined as the environment was perceived to be more complex; and (3)perceived variability interacted with importance to positively affect scanning.