Crisis Management Days

Attention and Opportunity Cost in AI-Supported Crisis Management

Mirela Karabatić

University of Applied Sciences Velika Gorica

Keywords: Attention Economy, Opportunity Cost, Artificial Intelligence, Crisis Management

Abstract

In the digital environment, attention has become a scarce and valuable resource, as emphasized in the concept of the attention economy developed by Herbert A. Simon. This paper examines how the allocation of attention influences decision-making in business crisis situations, with a particular focus on the role of artificial intelligence (AI) and digital tools. Building on the concept of opportunity cost, every allocation of attention implies the loss of alternative options. At the individual level, this is reflected in reduced focus, lower productivity, and superficial information processing. At the organizational level, it may result in slower and less effective responses during crises. The paper argues that AI and digital tools can support better attention management by filtering information and reducing cognitive overload. However, they may also intensify competition for attention if not properly designed and implemented. Therefore, managing attention effectively becomes a critical factor in successful crisis management. Integrating the attention economy with the concept of opportunity cost provides a useful framework for improving decision-making in crisis contexts, where AI serves as a support tool rather than a substitute for strategic thinking.