Game Theory: A Game-changer for Management Information Systems of International Organizations

Abstract

International organizations, despite the superficial “all is well” have their own fair share of challenges in the domain of Management Information Systems (MIS) and allocation of resources in a fair manner, reaching verdicts in a constantly changing sphere and correlating a vast array of stakeholders, are a few to name. This research explores the likelihood of fruitfully utilizing game theory to address the aforementioned challenges. Thus, the objectives of this research revolve around assessing the applicability of game theory in enhancing the effectiveness of MISs of international organizations, evaluating the influence of game theory in the decision making processes of these organizations and analyzing the pros and cons of employing game theory in this context. This research is significant in the way that game theory can be deemed as a successful approach to enhance the organizational success owing to increased efficiency in strategic decisions, simultaneously contributing to the sustainability of these organizations. A qualitative approach of analyzing real-world examples from a multitude of international organizations, is being employed. Key findings emphasize on the fact that game theory can optimize resource allocation, which is evident by UNHCR employing game theory to optimize allocation of resources to refugees. Furthermore, crucial decisions made on a global level, can be benefitted by a game theory approach, as evident by UN climate change conference (COP21), using this approach to model the negotiation decisions among various nations. Irrespective of the good side, this approach is equipped with its own challenges and the scarcity of data and unwillingness of people to change plays a pivotal role among them. Nevertheless, we can conclude that game theory undoubtedly lead to improved effectiveness of international organizations and better results can be reaped on addressing the challenges cited above.