Exam 6: Managerial Decision Making

After-action reviews should only be conducted after decisions that have led to bad outcomes.

Shirley works in the human resource department at Turtle Shells, Inc.She believes she is seeing an increase in alcohol use problems among the workforce.She thinks she needs to investigate further.She is at which of the following stages of the managerial decision-making process?

Point-counterpoint is a decision-making technique in which groups develop and exchange proposals and discuss and debate the various options until they arrive at a common set of understandings and recommendations.

Genna is collecting data on how well the organization has done since a new strategy was implemented.She is in which of the following stages of the managerial decision-making process?

A __________ model defines how a manager should make logical decisions and provides guidelines for reaching an ideal outcome.

The most effective managers consistently use a single, preferred decision-making style rather than shifting among styles

The 5 Whys is a question-asking technique that can help diagnose the root cause of a specific problem.

__________ is the willingness to undertake risk with the opportunity of gaining an increased payoff.

Most managerial decision making can be accounted for by one of three models: the classical model, the administrative model, and the political model.

The __________  is a question-asking technique that can help diagnose the root cause of a specific problem.

Most people underestimate their ability to predict uncertain outcomes.

Compare decision conditions of certainty, risk, uncertainty, and ambiguity.

__________ means that all the information the decision maker needs is fully available.

Describe the 5 Whys technique and illustrate its use with an example.

What is risk propensity, and why is it important in decision making?

Risk propensity refers to the willingness to undertake risk with the opportunity of gaining an increased payoff.

Explain why quasirationality is emerging as an important concept in managerial decision making.

When a human resource staff at Big Bend Inc.reviewed bids for running their employee assistance program, one company stood out with a sophisticated presentation that left everyone impressed.As they did their due diligence, the managers found that the company did not have a stellar reputation, often missed deadlines, and frequently promised more than it could deliver.Still, there was that wonderful presentation and most of the managers gave higher ratings to that company that was hired.What error have these managers made?

Explain the difference between programmed and nonprogrammed decisions and give an example of each.

Managers will frequently look for new information that contradicts their instincts or original point of view just to balance things out.