SPREADSHEET MODELING ABUSE - AN OPPORTUNITY FOR OR

Spreadsheet models are increasingly being used in decision making with in organizations. With questions about the quality of these models, an investigation was conducted into the spreadsheet practices in ten fir ms, with an emphasis on the process of building spreadsheet models. Th e study showed that spreadsheet models were usually built in an inform al, iterative manner, by people from all organizational levels. These people had received very little training in the building of models, wh ich could help explain why at least 25% of the models contained errors . Other problems were also found. It was evident that the spreadsheet practices in the firms were inadequate. There is a need for increased training as well as setting and enforcing organizational spreadsheet s tandards. This could provide an opportunity for OR workers if carefull y handled. Although the study was viewed as exploratory, it indicated a need for further study into the effect of formal design practices on the incidence of errors and model creation time.