Exam 7: Decision Making and Creativity

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Comment on the accuracy of the following statement: 'Creativity increases with the individual's years of experience in that field of activity.'

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(Note: This is similar to discussion question 8 in the textbook.)The best answer here might be 'it depends' or 'yes,to some extent'.It is certainly not a clear-cut 'yes' or 'no'.The textbook explains that people are most creative after about 10 years in a field of activity.The reason is that discovering new ideas requires knowledge of the fundamentals.On the other hand,lengthy experience isn't always an asset in creativity.Some experts suggest that the more experience we gain,the more we form mental models.These mental models eventually become so ingrained that we cease to question them,so we fail to consider alternative world views.For this reason,some firms claim that they are successful by hiring people with no experience in the same industry.

The incubation stage of creativity is more effective when the decision maker sets aside all other activities and focuses attention on the issue or problem.

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False

Scenario planning improves decision making by encouraging:

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B

People are the most creative when management puts intense pressure on them to produce creative ideas.

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Creative ideas can emerge when asking people unfamiliar with the problem to explore the problem with you.

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An important resource for creativity is:

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The textbook argues that problem identification is usually the least important step in the rational choice paradigm.

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You have just received seed money for a new internet business and you want to hire a dozen people with a lot of creative potential.To hire the most creative people,you would select applicants who:

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When should decision makers bypass the search for alternative solutions and development of new solutions?

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A learning orientation is:

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Employee involvement mainly refers to controlling resources for one's own job.

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Escalation of commitment is more likely to occur when the perceived costs of terminating the project are high or unknown.

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_________ heuristic is a natural tendency to evaluate probabilities of events or objects by the degree to which they resemble other events or objects rather than on objective probability information.

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Employees should not make the final decision alone when conflict is likely among employees.

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Associative play,morphological analysis,and cross-pollination are three strategies to:

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Employees tend to be less creative in organizations that punish failure.

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Organizations can improve creativity by:

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Millions of dollars were wasted on the development of a new machine-made potato chip,at Fancy Chips Ltd.As a result,the Board of Directors of the food-processing firm fired the CEO who had proposed and championed the product's development.The new CEO's first task is to find out why this monumental waste of money had occurred and how it can be prevented in the future.Provide three possible explanations why this escalation of commitment occurred at Fancy Chips Ltd.

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According to bounded rationality theory,people make better decisions when their perceptions are "bounded" or framed by past experience.

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Creative people tend to have a high need for social approval.

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