This study examined how personnel managers (n= 19) and line managers (n= 28) make disciplinary decisions. Using a policy‐capturing approach, subjects were asked to respond to disciplinary incidents that varied in terms of three factors likely to affect managerial attributions about the cause of the disciplinary problem (managerial provocation, personal problems, or tenure). The incidents also varied in terms of factors made relevant by the economic, institutional/legal, and hierarchical contexts. Of the six variables manipulated, the factor relating to the institutional/legal context had the largest impact on the decisions made by the personnel managers, and the factor relating to the hierarchical context had the largest impact on the decisions made by the line managers. While provocation was relatively important for both line and personnel managers, personal problems, tenure, and the economic implications of the decision had more modest impacts on managerial decisions. The results also suggest that there is substantial variation across managers in terms of the decision rules employed when responding to disciplinary case