09_Decision-Making and Conflict Resolution

Question 1

Two Models of Individual Decision-Making

Answer 1

Rational-economic Model

Bounded Rationality (Administrative) Model

Question 2

Rational-economic Model

Answer 2

Systematic searching and consideration of all possible alternatives

Decision-maker has complete information and can process information accurately

Question 3

Bounded Rationality Model

Answer 3

Limited capabilities, time, resources for decision-makers to be less than totally rational

Decision maker chooses to “satifice” instead of optimize or maximize

Question 4

Groupthink (Janis)

Answer 4

Suspension of critical thinking that can occur in highly cohesive groups

Question 5

Two Factors That Increase Likelihood of Groupthink

Answer 5

Highly directive leader

High stress conditions

Question 6

Characteristics of groups engaging in Groupthink

Answer 6

Illusion of invulnerability and unanimity

Collective rationalization

Unquestioning morality

Excessive negative stereotyping

Strong pressure to conform

Self-appointed “mind guards”

Self-censorship of dissenting views

Question 7

Ways That a Group Leader Can Reduce the Likelihood of Groupthink

Answer 7

Encourage skepticism and dissent

Appointing someone to play devil’s advocate

Bringing in outside opinions

Reducing time pressures to reach solution

Not sharing their opinion prior to group discussion

Question 8

Group Polarization

Answer 8

Tendency for groups to make decisions that are more extreme (conservative or risky) than initially health
*“risky shift”

More extreme than decisions that would have been generated by individual members alone

Question 9

Factors that influence Group Polarization

Answer 9

Social comparison

Mutual reinforcement

Diffusion of responsibility

Question 10

True or False?

People brainstorming alone produce more and better ideas in the same amount of time than the same number of people brainstorming as a group.

Answer 10

True

Question 11

Ways to improve effectiveness of group brainstorming

Answer 11

Heterogeneity of skills

Cohesiveness

Adequate training in brainstorming

Question 12

Conflict Resolution:

Functional vs Dysfunctional conflict

Answer 12

Functional = improve productivity, motivation, creativity, problem-solving

Dysfunctional = interfere with communication/performance, negative climate

Question 13

Conflict Resolution:

Three Formal Methods for Resolving Conflict

Answer 13

Bargaining

Mediation

Arbitration

Question 14

Conflict Resolution:

Bargaining (Negotiation)

Answer 14

Most common method for conflict resolution

Most effective when benefits for both sides can be maximized (win-win)

Question 15

Conflict Resolution:

Mediation

Answer 15

Third-party intervention when bargaining deadlocks

Neutral third-party facilitates voluntary agreement between disputants

Mediator has no formal power
they clarify the issues and open lines of communication

Question 16

Three Basic Phases of Mediation

Answer 16

Setting the stage

Problem-solving

Achieving a workable agreement

Question 17

Conflict Resolution:

Arbitration

Answer 17

Arbitrator has more authority than a mediator

Controls both the process and outcome of conflict resolution

Question 18

Four Types of Arbitration

Answer 18

Binding arbitration

Voluntary arbitration

Conventional arbitration

Final offer arbitration

Question 19

Binding arbitration

Answer 19

Two sides agree in advance to accept settlement recommended by arbitrator

Question 20

Voluntary Arbitration

Answer 20

Parties agree only to the arbitration process

Question 21

Conventional arbitration

Answer 21

Arbitrator is free to choose any settlement solution

Question 22

Final Offer Arbitration

Answer 22

Arbitrator must select one of the final offers made by the disputants