Exam 10: Decisions Making in Organizations

If a group seeks answers too quickly in a sense of desperation, they are guilty of:

Groupthink can be eliminated or diminished by:

Some techniques that can be used in making decisions in emergencies are to recognize your prime objectives, rely on experts, and encourage groupthink.

The ________ of decision-making seeks to maximize profits by searching systematically for the optimum solution to a problem.

________ are made by selecting the first minimally acceptable alternative as it becomes available.

Briefly describe the type of task involved and who the typical decision maker is for programmed and nonprogrammed decision.

________ occurs when decision makers stick to the first idea that comes to mind without adequately evaluating it consequences.

The Delphi technique has the advantage of:

The use of ________ leads to outcomes that are higher in quantity and better in quality than those made in the absence of such techniques.

Escalation of commitment involves selecting one's preferred decision alternative before all options have been considered.

What is the decision style model?

When trying to decide if a decision is a programmed or nonprogrammed decision, a manager should consider three questions, including:

Table 10.3 Nancy recently tried to talk her executive management team into moving into international markets. She emphasizes the positive opportunities that were possible, but her supervisors turn her idea down because they fear the risks involved. They preferred expanding existing markets to entering new markets. Nancy reviews the meeting with her supervisor later to see how she could improve it. Her supervisor says that she didn't provide sufficient information prior to the meeting and several of the executives were drawing on information currently on their desks, showing the international market was a dangerous place to be, rather than the exciting opportunity Nancy tried to present. Gail, Nancy's friend, suggested at lunch that the 'old-boys' network was functioning, and she was turned down because they weren't going to let some pushy woman tell them what they should be doing. About four months after the presentation, the executive management team meets again to decide about the investment of capital and effort. Existing markets are drying up, and if the company doesn't move into new markets, especially internationally, it may well fail. Obsolescence of the product line and the growth of competition is destroying their market share and profitability. However, the management team decides to invest more money and effort into existing markets and to let the international idea sit. -Refer to Table 10.3. Nancy's immediate boss's explanation for the turndown is related to:

Table 10.4 B.F.E., Inc. has to assign several problems to different groups. In the first case, the group consists of a number of experts who have offices across the country and have difficulty getting together. The problem they are working on is a problem that needs to be solved over the next six to nine months. In the second case, management is concerned that people might be intimidated by their leaders. The team is located in the same building as the corporate headquarters. Genuine consensus is important, and a trained facilitator is available to lead the group. In the third and final situation, management has observed that the people selected to participate seem hesitant to do so. Plus, the lengthy nature of the work to be done means new people will need to be added to the group periodically. Time is not an issue. -Refer to Table 10.4. ________ would be the best approach to problem solving in the first case.

Bill's company tends to have employees from all levels gather data, prepare reports, and pass this information on to senior level managers who actually make the decisions. This is an example of:

Once a problem has been identified:

The decision-making model that simply considers alternatives as they appear and accepts the first alternative that meets the criteriafor acceptability is the:

Table 10.3 Nancy recently tried to talk her executive management team into moving into international markets. She emphasizes the positive opportunities that were possible, but her supervisors turn her idea down because they fear the risks involved. They preferred expanding existing markets to entering new markets. Nancy reviews the meeting with her supervisor later to see how she could improve it. Her supervisor says that she didn't provide sufficient information prior to the meeting and several of the executives were drawing on information currently on their desks, showing the international market was a dangerous place to be, rather than the exciting opportunity Nancy tried to present. Gail, Nancy's friend, suggested at lunch that the 'old-boys' network was functioning, and she was turned down because they weren't going to let some pushy woman tell them what they should be doing. About four months after the presentation, the executive management team meets again to decide about the investment of capital and effort. Existing markets are drying up, and if the company doesn't move into new markets, especially internationally, it may well fail. Obsolescence of the product line and the growth of competition is destroying their market share and profitability. However, the management team decides to invest more money and effort into existing markets and to let the international idea sit. -Refer to Table 10.3. Gail's explanation of the failure of the presentation relates it to:

________ are simple rules of thumb used to help make quick decisions about complex problems.

The key element in classifying a decision as certain or uncertain is: