Qualitative Vs. Quantitative: The Importance of Managers and Leaders to Understand and Interpret Results
Don Klein
Davenport University
BUSN688- Quantitative Business Analysis
Alhaddi, Dr. Hanan A.
January 12, 2017
Abstract
It is important for a person in a position of leadership to understand and implement different types of analysis. This paper will compare qualitative and quantitative research methods. A white paper by the collaborative research program Academy for Healthcare Infrastructure developed qualitative research based on a set survey questions from six distinct categories. Conversely, Life-Cycle Cost Analysis (LCCA) is a quantitative methodology used to estimate the overall cost of construction project alternatives and provide the lowest overall cost of ownership. It is based on quantifiable data from seven categories that envelop building-related costs. A study by the American Society of Civil Engineers in cooperation with Eno Center for Transportation published a report about using the LCCA methodology at state and federal levels.
Qualitative Research and Analysis
In today’s fast-paced, data-driven society it is imperative that leadership within the Michigan Department of Transportation not only understand the data, but can extrapolate what is needed for efficient and effective decision making. To do this, management must make use of the massive amounts of analytical data available to them. For this reason, several agencies were merged to form the Office of Operations Administrative Services (OOAS). One of the office’s main responsibilities is to oversee the construction and maintenance of all MDOT-owned road maintenance facilities. Finding ways to limit the cost to construct and maintain its infrastructure is one of the office’s main objectives. In Essentials of Business Analytics, chapter one states “Strategic decisions involve higher-level issues concerned with the overall direction of the organization; these decisions define the organization’s overall goals and aspirations for the future.” (Camm et al., 2016). In entry-level managerial positions within a company or organization it may only be necessary to obtain extracts from databases or spreadsheets for short time periods or individual projects, or to ask an employee to complete a quick analysis of a few competitors, but at the executive level mid to long range decisions are based on thorough research. Today this research is done using a mix of qualitative and quantitative research.
One of the more popular forms of qualitative research today is the interview method. Researchers first scour academic databases in search of literature that supports the area of study. A series of interview questions will then be written, relevant to the research topic, from the data collected. And finally, a group of candidates will be selected from a pool of applicants who are usually subject matter experts or have relative experience in the field. Dr. Claire Anderson (2010) states qualitative research 1) can be examined in detail and in depth; 2) the research framework and direction can be quickly revised as new information emerges; 3) the data that is obtained is powerful and sometimes more compelling than quantitative data; 4) Findings can be transferable to other settings.
Although, qualitative research is not without its limitations. Dr. Anderson (2010) also states that 1) the research quality is heavily dependent on the individual skills of the researcher and more easily influenced by the researcher's personal biases and idiosyncrasies; 2) it is sometimes not as well understood and accepted as quantitative research within the scientific community; 3) the researcher's presence during data gathering can affect the subjects' responses; 4) the findings can be more difficult and time consuming to characterize in a visual way.
A collaborative research program, The Academy of Health Infrastructure, in 2015 conducted a series of interviews with executives from the nation’s top healthcare systems including healthcare providers, designers, and contractors. The objective of the research was to identify new, innovative and effective actions to improve the delivery of services, while lowering operational costs. The white paper that resulted used a collection of six interview questions to conduct interviews over a four-week period. Interviews ranged from 60-90-minute phone calls. The analysis found twenty-one central themes and/or patterns that provided a foundation for the study. Some of the themes found included evaluating capital cost based on life-cycle cost (best value), selecting an appropriate useful life when conducting life-cycle analysis, focusing on operational efficiency, making existing processes lean first, managing real estate as a valued asset, fostering team development, performance contracting, developing design standards, and leveraging technology.