"Running Head: Nudging in Behavioral Decision MakingNudges in Behavioral Decision MakingIntroductionAn organization may be either simple or complex in structure, but the idea of decisionmaking in both cases is inevitable. One of the most complex forms of decision-makingtechniques is the behavioral decision making. Approaches such as training and development,organizational culture change and organizational behavior have been used to moderate thebehavior of people within an organization (Hansen & Jesperse, 2013). Nudging is one techniquethat can be used to manipulate choice and formulation of the behavioral decision. Most policymakers use specific contexts for decision-making purposes to catalyze behavior change andinterests of the individual. Such approaches have often shown how challenging it is to makebehavioral decisions in an organization. It is believed that nudging helps manipulate the choicespeople make in an organization, which can face opposition from Democratic philosophies.Manipulating the decision that people make is against the principles of democracy in the modernworld. Despite the democratic consideration, nudging has some advantages and disadvantages. ,therefore this paper will, delve into the concept of nudging in behavioral decision-making. Inaddition, the paper will look into principles of nudges and libertarian paternalism. Strengths andlimitations of nudges will also be discussed with specific case studies provided.Nudge Approach behavioral changeThaler and Sunstein (2008) are the brains behind the use of nudge in behavioral decision- making approach. The approach recommends development of behavioral decisions basing on theparticular context. Nudges aim to influence choices people make without necessarily limiting theoption of choices from which they select. The best nudging process is where one individual Nudging in Behavioral Decision Making 2referred to as a change agent moderates the entire process.In using nudges as a tool inbehavioral decision-making, there are often choice architects who have various responsibilities.Choice architects are tasked with responsibilities to ensure that they formulate and organizecontexts that the people use to make decisions. Many people can be choice architects eithervoluntarily or involuntarily depending on the professional field in which they operate (John, etal., 2013). For instance, the individuals who have the responsibility of deciding election ballotscan be classified as choice architects for an electoral process. Choice architects are required todevelop logical combinations that will offer a variety of choices for people within anorganization to choose from.To avoid the notion that nudges infringe democratic rights, thechoice architect must be conversant with the possible choices that the individuals in a societyprefer. The architects are responsible for ensuring that all social, cultural, political and sensitiveissues are not offensively addressed in the contexts they develop. Choice architects mustintelligently influence choices of people within an organization. Several factors should be considered by choice architects when structuring tasks. Thechoice architects should adequately consider the number of alternatives they avail to therespondents. Many architects face a challenge of deciding the number of options they shouldinclude as choices. In determining the number of choices, architects have to balance optionssince the more the options, the more the chances of providing preferences match. In addition, thechoice architect also has to recognize that more options increase the cognitive burden on theintended respondents. Information technology systems can be employed in cases where the choices in place areplenty (Johnson, Dellaert, Golstein, Larrick, & David, 2012). The use of information technologycan prove to be useful in aiding to solve the choice task. Architects can also use decision aids Nudging in Behavioral Decision Making 3such as adverts to ease the burden of making choices. However, the influence of some decisionaid tools on respondents can be easily predicted. Another important tool that architects candeploy in developing contexts is the default tool. Defaults are typical settings within the contextthat will apply to respondents who take a little initiative to alter them. The concept of ‘choiceover time’ since most individuals responds to choices depending on the various experiences overtime. Using nudges effectivelyNudges can effectively be adopted and implemented by considering some importantaspects. It is important to ensure that the approach deployed is in line with the local needs andpreferences. Nudging needs to involve a strategic leader who understands the local environmentto act as the choice architect. Nudging should ensure that impact of every intervention deployedis proportionate and not over-emphasized or under-emphasized. Behavior change interventionstrategy through nudging should be efficient at creating and maintaining behavioral change. Thetarget population should be in the location where they practice a behavior that requires change.Adequate funds and time should be allocated to enable the activity since some resources areneeded to complete a nudging process. Training of staff cannot be disregarded since they canplay a crucial role in ensuring the nudging process is a success.Principles of nudges and libertarian paternalismMany individuals have drawn the assumption that nudges are similar to libertarianpaternalism regarding limiting the thinking of people. It can be argued that both nudges andlibertarian paternalism have disadvantages, but they also have principles on how the can beadopted and applied.The principles are discussed below. Nudging in Behavioral Decision Making 4Choice architectureWhen an organization decides to use nudges, as at tool for behavioral decision-making, itis important to have a choice architecture. Choice architectures are useful in developing contextsthat can be used in the nudging process. Nudge architectures have to possess leadership skill anda great sense of understanding. Without good choice architectures, poor contexts may bedeveloped leading to poor outcomes of the expected results.Paths of least resistanceChoice architects have to establish contexts that contain options that might meet lessresistance from the targeted respondents. Some aspects of an organization might meet resistance,and thus, the nudges can be branded as dictatorial. It is one of the areas that architectures have todevelop a good understanding of the organization they plan to aplly a nudging process. Socialissues, cultural issues and political issues can have varying opinions and thus prone to resistance.Heuristics and anchoringIt is available to anchor certain perceived values using previous activities. At times, theanchors involved may be inappropriate activities that relate to an initial activity. In addition,heuristics must be avoided as this can lead to biases in the use of nudges. Organizations haveindividuals who can have complex personalities and ideas. For instance, people love shortcutsbut in the end, the shortcuts can be misleading.AvailabilityChoice architectures must select options that are more conversant with the respondents.In addition, the choices should have more influence to the on the behavior of the individuals "