Chapter 5 Flashcards

1
Q

What is perception?

A

A process by which individuals organize and interpret their sensory impressions in order to give meaning to their environment. This is important because behaviour is based on the perception of reality. Differs per culture

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2
Q

Which factors is perception based on?

A
  1. Perceiver: attitude, personality, motivation, expectations etc.
  2. Object (target) being perceived: things that stand out in a group/against their background
  3. Situation/context in which a perception is created: time, location, light, setting and other situational factors
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3
Q

What is attribution theory?

A

This theory tries to explain how we judge people differently, based on the meaning we attribute to behaviours. We try to determine whether certain behaviours are caused by internal or external factors.

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4
Q

What are internally caused behaviours?

A

This behaviour is caused by what we believe to be under the control of the individual

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5
Q

What are externally caused behaviours?

A

This behaviour is caused by the situation we imagine forces an individual to do something.

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6
Q

What does the decision between internally and externally caused behaviour?

A
  1. Dinstinctiveness: whether an individual acts differently in different situations
  2. Consensus: behaviour is widely shared
  3. Consistency: does person respond the same way over ceratin period of time
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7
Q

What is fundamental attribution error?

A

The tendency to underestimate external influences and overestimeate internal influences when judging others.

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8
Q

What is a self-serving bias?

A

The tendency to attribute success to internal factors and failures to external factors. This is a consequence of fundamental attribution error

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9
Q

what is selective perception?

A

The tendency to selectively interpret what one sees on the basis of one’s interests, background, experience and attitudes. This is because we can’t observe everything.

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10
Q

What is the halo effect?

A

The tendency to draw a general impression about individuals based on a single characteristics.

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11
Q

What are contrast effects?

A

This is the evaluation of characteristics affected by comparisons with other people who rank higher or lower on the same characteristics

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12
Q

What is stereotyping?

A

Judging someone based on one’s perception of the group to which that person belongs/ They help us make decisions quickly.

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13
Q

What are decisions?

A

Choices made from among two or more alternatives. These are largely influenced by perceptions/ This is becoming more important because individual decisions making within the organizations is increasing. Decisions are made as a reaction to problems.

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14
Q

What is a problem?

A

This is the occurrence of discrepancies between how things are and how you want them to be.

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15
Q

What is rational?

A

This is characterized by making consistent, value-maximizing choices within a specific constraints.

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16
Q

What are the three types of decision making?

A
  1. Rational decision-making
  2. Bounded rationality
  3. Intuitive decision-making
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17
Q

What is the rational decision-making model?

A

This model describes how individuals should behave to maximize their desired outcome. Chooses option with highest utility. They rely on the assumption that decision-maker has perfect information scenario.

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18
Q

What are the steps in the rational decision-making model?

A
  1. Define problem
  2. Identify decision criteria
  3. Allocate weights to criteria
  4. Develop alternatives
  5. Evaluate alternatives
  6. Select best alternative
19
Q

What is bounded rationality?

A

Process of decision-making by building simplified models to extract essential features of problems without capturing all their complexity. Most people look for satisfactory outcome.

20
Q

What is satisficing?

A

Choosing for a satisfactory, sufficient or reasonable alternative.

21
Q

What is intuitive decision-making?

A

Unconscious process created out of distilled experience. /can be useful but it can’t be the only proof. Intuitions should be tested with proper tests.

22
Q

What are common biases and errors in decision-making?

A
  1. Overconfidence bias
  2. Anchoring bias
  3. Confirmation bias
  4. Availability bias
  5. Escalation of commitment
  6. Randomness error
  7. Risk aversion
  8. Hindsight bias
23
Q

What is the overconfidence bias?

A

We think we know more than we do. Weakest are most likely to overestimate

24
Q

What is anchoring bias?

A

A tendency to fixate on initial information, from which one the fails to adjust for subsequent information

25
Q

What is confirmation bias?

A

A tendency to look for information that validates past choices and to ignore contradiction confirmation.

26
Q

What is the availability bias?

A

Tendency to base judgments on information that is available to those people. These judgments are also based on experience

27
Q

What is escalation of commitment?

A

Increased commitment to previous decisions despite negative information. Happens when individuals beleive they are responsible and there are sunk costs involved.

28
Q

What is randomness error?

A

Tendency to believe we can predict the outcome of random events. Decision making is impaired by believing imaginary patterns.

29
Q

What is risk aversion?

A

A tendency to prefer a sure gain of moderate outcome over a riskier outcome, even if this riskier outcome has a higher expected payoff

30
Q

What is a hindsight bias?

A

A tendency to falsely believe that we could have predicted the outcome of events after the outcome is actually known. This increases overconfidence.

31
Q

How can you avoid becoming a victim of these errors and biases?

A
  1. Focus on goals
  2. Look for information disconforming your beliefs
  3. Don’t create meaning our of random events
  4. Increase your options
32
Q

Name four individual differences influencing decision-making

A
  1. Personality: conscientiousness and self-esteem
  2. Gender: women suffer more from Rumination
  3. Mental ability: higher mental ability–> faster information processing
  4. Cultural differences: time orientation, collectivism etc.
33
Q

What is rumination?

A

This is excessive reflecting on decisions and their outcome, also known as overthinking. More often occurs by women.

34
Q

What are organizational constraints influencing decision making?

A
  1. How is performance evaluated?
  2. How will choices pay off (reward system)
  3. System-imposted time constraints like deadlines
  4. Historical precedents: what has been done in the past
35
Q

What are the three ethical decision criteria?

A
  1. Utilitarianism
  2. Whistle-blowers
  3. Justice
36
Q

What is utilitarianism?

A

Decisions are made to provide the best outcome for the biggest number of people. This is associated with goals like efficiency and maximal profits

37
Q

what are whistle-blowers?

A

These are people who report unethical practices of employers to outsiders. Ethical decision making requires considering the rights of whistle-blowers

38
Q

What is justice in decision making?

A

You have to impose and enforce rules fairly and impartially.

39
Q

What is the broken window theory?

A

This is the idea that bad urban environments facilitate criminal behaviour because they signal antisocial norms.

40
Q

How can behavioural ethics be improved?

A
  1. Realizing that signals influence ethical behaviour
  2. encouriging conversations about morals and ethics
  3. Increase awareness of moral blind spots
41
Q

What is the three-stage model of creativity?

A

This is based on the idea that creativity requires three stages:
1. Causes (creative potential and environment)
2. Creative behaviour
3. Creative outcomes (innovation)

42
Q

Name the four steps in which creative behaviour occurs

A
  1. Problem fourmulation: identify problems requiring solutions
  2. Information gathering: possible solutions incubute in the mind
  3. Idea generation: possible solutions are developed from relevant information
  4. Idea evaluation: evaluate potential solutions and pick best one
43
Q

What are the causes of creative behaviour?

A
  1. Creative potential: intelligence, openness to experience, experties, proactivity etc.
  2. Creative environment: you should be motivated, incentivized, individualistc and good leadership
44
Q

What are creative outcomes?

A

Ideas/solutions found to be novel and useful.Creative ideas are only actualized due to a social process.