Action Research and its Relevance
Why you should consider Action Research in evaluating a company’s profits
Introduction: What is Action Research?
An actual business problem might be questioning why there has been a loss of profits over the last business cycle. This will require an analysis of all financials, employee motivation (Syed, 2021), and various key performance indices (Piney, 2017). The questions that need to be asked will require tangible answers. A qualitative and quantitative analysis will be needed here.
Firstly let us give a definition of action research. This is an investigation into current organizational practices in order to cause better outcomes. People who engage in action research are both simultaneously going to be researchers, analysts, consultants, as well as professionals who put their results into action.
They must ensure that they place emphasis on practical matters instead of the theoretical too much. They cannot also put too much emphasis on experiments since they wish to produce practical solutions that can be applied.
Moreover action research is intrinsically reflective and iterative. The researchers involved in action research will do this repeatedly until a trajectory is found that is workable. They will additionally emphasize making changes and documenting the impact of their changes.
Action research involves all employees as well. They will observe and follow closely to what the employees are currently doing in order to have a thorough background into the issue at hand. The kind of data produced is unlimited. They will produce whatever data necessary that can fulfill that change.
Five Steps to Address the Problem from an Action Research Perspective
For an organizational problem such as the abstract one discussed above, they will engage in five steps. The first step is to diagnose the problem. The organization has determined that for some unbeknownst reason, profits have decreased which has negatively impacted the business’s health. They will diagnose all related variables and factors and try to see what the relationship is between all these factors.