CH 4 - DECISION MAKING

The process by which managers respond to opportunities and threats that confront them by analyzing options and making determinations about specific organizational goals and courses of action is known as decision making.

• True

• False

Programmed Decision involves non-routine, virtually automatic decision making that follows established rules or guidelines.

• True

• False

Feelings, beliefs, and hunches that come readily to mind, require little effort and information gathering, and result in on-the-spot decisions are known as intuitions.

• True

• False

The second step in decision making is the realization that there’s a need to make decision(s).

• True

• False

One can use these four criteria in assessing alternatives; 1. legality, 2. ethically, 3. economically and 4. politically.

• True

• False

In many cases, managers do not have complete information, and as a result, biases can occur when making decision making.

• True

• False

Effective managers always conduct an  analysis to see what they can learn from past successes or failures.

• True

• False

Which of the followings help managers to learn from past experiences, and avoid mistakes.

• Compare what happened to what was expected to happen as a result of the decision.

• Explore why any expectations for the decision were not met.

• Derive guidelines that will help in future decision making.

• All the stated answers

Group decision making can have the following advantages except:

• Superior to individual decision making

• Choices less likely to fall victim to bias

• Able to draw on combined skills of group members

• Can be undermined by biases

Groupthink is a pattern of faulty and ______ decision making that occurs in groups whose members strive for agreement among themselves at the expense of accurately assessing information relevant to a decision.