Herbert Simon

Administrative Behavior, bounded rationality (cross-listed)

Herbert Simon (1916–2001) was a professor at Carnegie Mellon University whose work spanned economics, psychology, and computer science. He won the 1978 Nobel Memorial Prize in Economic Sciences for his theory that decision-makers operate under cognitive limits and incomplete information — 'bounded rationality' — and therefore 'satisfice' (seek good-enough solutions) rather than optimise. His 1947 book Administrative Behaviour applied these ideas to organisational management.