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Qualitative research is not as widely accepted as quantitative research because it’s often considered not 
“scientific” or “objective” enough. It’s also often confused as no more than personal or biased opinions.

Managers like numbers. They like unequivocal evidence supporting one approach vs. another
Qualitative findings are too fuzzy, too subjective, too specific about single cases 

You’ve probably read about well‐known businesses, such as Google, GE, or Enron. How do we know, for 
example, what we learned from the Enron was not a one‐off exception. How do we know, for example, that a 
company with very similar governance structures would end up with the same fate as Enron?

Fortunately, there are ways to address theses concerns by improving the rigor of the qualitative approach.

For example, you should carefully review prior literature, learn from other people’s experience and avoid 
repeating obvious mistakes

You can also be more clever about how you select your sample. Make sure you include contrasting cases, for 
example, can help you strengthen your arguments. When you can compare data across different contexts, 
the reader can be more confident with your conclusion.




                                                                                                              2
This slide highlights many of the qualitative techniques that are useful for data collection. 

These six methods are to be discussed in the rest of this lecture
1) Grounded Theory is based on individual depth interviews. The researcher looks for repeating themes 
     that could shed light on the phenomenon being studied and that may eventually lead to proposing a 
     theory. If the final purpose of the study is not developing theory but just understanding the 
     phenomenon, this method may be called simply “Individual Depth Interviews (IDIs)” The Corbin  and 
     Strauss interviews with Vietnam war veterans is an example of using individual interviews for grounded 
     theory
2) Group Interviews consist of interviewing more than one participant at once. Also, participants are 
     encouraged to interact by the moderator based on the idea that this interaction will lead to richer data. 
     There may be a need for several group interviews
3) Focus groups are panels of people led by a trained moderator and with direct research sponsor’s 
     involvement. The meetings tend to be long (about 2 hours) and because of this specific activities (e.g. 
     free association– what word comes to your mind when you see this picture?) are used to elicit deeper 
     feelings, knowledge and motivations. Focus groups are usually used as an exploratory methodology
4) Case Study. Combines different methodologies such as interviews, observations, document analysis, etc. 
The goal is to obtain multiple perspectives of a single organization, situation, event, or process at a point in 
time or over a period of time 
5) Ethnography consists of the collaboration of interviewer and participant in the field. The interviewer will 
participate in the situation under study. For example, should I want to study how managers decide how to 
prioritize and allocate resources, I could ask for a “job” in a manager’s office, and ask the manager why 
he/she decided to follow a specific action whenever a decision situation occurs. 
6) Observation refers –as the name implies‐ to the use of observation of a phenomenon to understand it. For 
example, if we want to learn how strangers get to socialize with each other, we may install ourselves in a 
place where this situation may occur (e.g. the waiting room of a doctor’s office) and observe carefully the 
interaction that develops. 




                                                                                                                    3
The last item is what you need to be aware of but they are not going to be discussed in the rest of the lectures.
7) Action Research refers to the solution of complex but practical problems about which little is known by 
studying the specific situation. For example, we may want to study if employees have gotten upset by the 
imposition of a specific security policy and if they are obeying it.




                                                                                                                    3
The next two slides discuss the different formats/types of interviews




                                                                        4
In an unstructured interview, there are no specific questions or order of topics to be discussed. Each 
interview is customized to each participant. 
In a semistructured interview, there are a few standard questions but the individual is allowed to deviate 
based on his or her answers and thought processes. The interviewer’s role is to probe. 
In a structured interview, the interview guide is detailed and specifies question order, and the way questions 
are to be asked. These interviews permit more direct comparability of responses and maintain interviewer 
neutrality.
Most qualitative research relies on the unstructured or semistructured interview format. 

Again please be reminded that these interview methods can be used for grounded theory




                                                                                                                  5
Exhibit 7‐5.  Focus on the individual interview which is easier to manage for the MFF capstone project, 
although both methods are frequently used in business research. 

There are advantages and disadvantages associated with these two options. Group interviews can be more 
time efficient than individual interviews. However as discussed on page 177 of the Cooper textbook, the 
group format also presents significant challenges – When speaking in front of others, people can be worried 
about protecting their own egos, being politically correct, or fitting in (what we call “group think”). The group 
can also be easily dominated by a few outspoken participants or go off track without strong group facilitation.

Again please be reminded that these interview methods can be used for grounded theory




                                                                                                                     6
You may think that you have read case studies before. Harvard business press, newspapers, and big 
companies all publish case studies. We’ve been reading the WorldCom case study for other classes. So are 
those “qualitative research?”
Turns out that not all “case studies” are the same. In order for a “case study” report to be considered 
qualitative research, the author must be very careful about its reasoning logic in the analysis. The author 
should also try to build a theory (e.g., based on what we read in an interview with Google executives, we can 
theorize that companies with a strong emphasis on meritocracy will be more innovative) that can be applied 
to or tested with other cases (e.g., would the theory apply to all companies that emphasize meritocracy?)

The Harvard Business cases you have read so far in this MBA program are written for you, the reader, to 
theorize and analyze. The author presents the facts, not analysis. Therefore, it serves more like “data” for a 
qualitative researcher, rather than a qualitative research report.

Journalists often write in‐depth reports on high profile cases like Enron, along with their own analyses. Their 
work can sometimes be very objective, insightful and logically sound. However, keep in mind that the 
journalist’s primary goal is to tell a story rather than build a scientific theory. At the end of the day, what’s 
newsworthy would be the most important priority for the journalist.




                                                                                                                     7
Observational studies can differ in terms of the extent to which the researcher participates in the phenomena 
that s/he is observing.

1.   Complete Participant.   The researcher is part of the group being studied and is not identified as such. An 
     example would be the famous case of Festinger and colleagues joining a UFO cult and participating in 
     their activities to study the sociology of belief which was later published as “When prophecies fail” : 
     http://en.wikipedia.org/wiki/When_Prophecy_Fails

1.   Complete Observer. This is the other extreme, the observer does not participate at all in the activities of 
     the people being studied. For example, we could sit in a strategic location (ideally hidden) at lunch time 
     to study the social interaction of children during their break.

2.   Observer as Participant.  In this case, the researcher (the observer) is integrated into the team but 
     his/her status is clear. A simple example could be the role of embedded journalists during the Iraq war 
     that has resulted in a large number of books about the sociological aspects of this war. Similarly,
     University of Pittsburgh professor Kathleen Blee observed women in Ku Klux Klan by participating in the 
     KKK activities without being a KKK member. Her work is documented in the book “Women of the Klan.”

3.   Participant as Observer. In this case the observer is skilled enough to do the same job, at least up to a 
     point, as the rest of the participants but his/her role as researcher is fully identified for all the parties 
     involved. The researcher is quite aware of the contextual meaning of things taking place.




                                                                                                                      8
As discussed earlier, ethnography consists of the collaboration of interviewer and participant in the field. The interviewer 
will participate in the situation under study. Although this and the next slide are not necessarily specific to fraud and 
forensics (with the notable exception of “Liquidated: An Ethnography of Wall Street” by Karen Ho), we have included 
them here so you get a better feeling of how ethnography has been used in business in general. 

There are two dominant applications of ethnography:
“Corporate anthropology” – which focuses on understanding organizational behavior, and “consumer anthropology” –
which observes consumer behavior for product innovation or marketing purposes

Xerox, for example, was one of the pioneers in corporate anthropology. Anthropologist Julian Orr spent hundreds of 
hours watching technicians fixing Xerox machines, and developed lots of insights about how work can be restructured to 
improve productivity and employee satisfaction. The knowledge sharing system Eureka that Dr. Chung studied for her 
dissertation work was developed partly as a result of Orr’s work.

Companies such as P&G and Kodak have invested a lot resources in qualitative consumer research. The Swift disposable 
mop, and the feminine product Tampax Pearl both came out of qualitative research. Kodak also performs qualitative 
research on many of their digital cameras.

Qualitative research is so useful that many design shops now specialize in qualitative consulting services. 

Maya design, for example, a Pittsburgh‐based design shop, specializes in “user‐centered design” – which is a type of 
qualitative research

Check out the YouTube video listed on the slide. With their field research of “soccer moms” for an SUV manufacturer, 
they discovered what these moms really needed – a firewall for their cars! [Stop the youtube video at 1:36]




                                                                                                                                9
Another famous example of a consumer product designed based on anthropology research is the PT cruiser
Unfortunately this car has been discontinued as of 2009
It was originally designed based on the recommendations of Dr. Rapaille, a French‐born medical 
anthropologist and psychiatrist.
He presumably came up with the design recommendations based on his clients’ report on their deepest 
desires for a car, when these clients were lying in a dark room. I wonder if Sigmund Freud ever considered 
corporate consulting as another stream of revenue!

http://archives.cnn.com/2001/CAREER/dayonthejob/05/23/corp.anthropologist.idg/
http://wheels.blogs.nytimes.com/2009/02/27/pt‐cruiser‐from‐hero‐to‐zero/?apage=2




                                                                                                              10
The general sampling guideline for qualitative research is to keep sampling as long as your breadth and depth 
of knowledge of the issue under study is expanding (this approach is also called theoretical sampling), and 
stop when you gain no new knowledge or insights (called theoretical saturation). In other words, a 
qualitative researcher will stop sampling (e.g. interviewing)  when he or she has reached data redundancy.

For example, Corbin  and Strauss– in their textbook on grounded theory‐ interviewed a Vietnam veteran to 
understand the experience of the participants in this war. During the interview this participant mentioned his 
pride of serving his country (he volunteered) and how different the attitude of conscript soldiers was. This 
suggested to Corbin that now she had to add conscript veterans to her sample. This second participant 
mentioned the traumatic experience of killing his first enemy combatant and how those who have never 
killed anybody cannot understand. This suggested to Corbin that besides the consideration of volunteer/non‐
volunteer she would need to interview both veterans who had actually killed enemy soldiers and those who 
had not. Notice that this also means the need for additional questions to the new type of participant. After 
this, she did not find any new themes (insights) from the ones she had already identified (e.g. pride of 
serving, killing experience) and for this reason she limited her sampling to the above participants (however, in 
practice, a well‐developed interview study may involve up to 32 participants).

Harvard Business Cases you have been reading can be considered as “data” for a qualitative study. However, 
it is not in itself a rigorous qualitative research study because:
1. The purpose is to educate and therefore the analysis is left out from the reader’s view on purpose
2. It’s a single isolated case and therefore is useful but insufficient by itself for a rigorous qualitative 
      researcher to build a theory without having other points of reference




                                                                                                                    11
Surveys don’t always give you the answers you want, because

Sampling bias is prevalent – we can only sample who we know

For example, our MBA survey shows that people only want evening classes Based on this information, the 
school decides to not offer Saturday classes However, is it possible that because our program is an evening 
program Our students, naturally, are those who prefer evening programs Those who prefer Saturday 
programs would never go to Carlow MBA

By sampling our own “customers,” we never understand what other customers may want. At the same time, 
these same customers keep telling us the same thing, because they are the ones happy with the current 
offerings  hard to generate new insight

More importantly, people usually don’t know what they want until you give them a product that they crave 
(Does the iPhone ring the bell?). Did you ever long for listening to music while jogging in the park? (it may 
seem natural to you now but nobody thought anyone would need a walkman before the invention of the 
Sony walkman, or an iPhone until its invention)

Qualitative research, on the other hand, often generates insights that are not available from quantitative 
research However, doing qualitative research the right way is not easy or trivial  hence “corporate 
anthropologists”
Understanding how to combine qualitative and quantitative research gives companies competitive advantage
More and more organizations are jumping on the bandwagon

Is your organization keeping up with this trend? How can you apply the qualitative methods to build new 
insights about fraud and forensics?




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