Chapter 7

Question 1

the precess by whic managers respond to opportunites and threats by analyzing options and making determinations about specific organizational goals and courses of action

Answer 1

decision making

Question 2

routine, vitually automatic decision making that follows established rules or guidelines

Answer 2

programmed decision making

Question 3

nontoutine decision making that ocurs in response to unusual, unpredictable opportunities and threats

Answer 3

non programmed decision making

Question 4

feelings, beliefs, and hunches that come readily to mind, require little efffort and information gathering, generation of alternatives, and evaluation of alternatives

Answer 4

intutition

Question 5

a decision that takes time and effort to make and results from careful information gathering, generation of alternatives, and evaluation of alternatives

Answer 5

reasoned judgement

Question 6

a prescirpive approach to decsion making based on the assumption that the decision maker can identify and evaluate all pssible aternatives and their consequences and taionally choose the most appropriate course of action

Answer 6

classical decision making model

Question 7

the most appropriate decision inlight of what managers believe to be the most desirable future consequences for the organiztion

Answer 7

optimum decision

Question 8

an approahc to decision making that explains why decision making is inherently uncertain and risky and why managers usually make satisfacory rather than optimum decisions

Answer 8

administrative model

Question 9

cognitive limitations that constrain ones ability to interpret, process, and act on information

Answer 9

bounded rationality

Question 10

the degree of probability that the possible outcomes of a particular course of action will occur

Answer 10

risk

Question 11

unpredictability

Answer 11

uncertainty

Question 12

information that can be interpreted in multiple and often conflicting ways

Answer 12

ambiguous information

Question 13

searching for and choosing an acceptable, or satisfactory, response to problems and opportunities, tather than tring to make the best decision

Answer 13

satisficing

Question 14

rules of thumb that simplify decision making

Answer 14

heurisitics

Question 15

errors taht people make over and over and that result in poor decision making

Answer 15

systematic errors

Question 16

a cognitive bias resulting from the tendency to base decisions on strong prior beliefs even if evidence shows that those beliefs are wrong

Answer 16

prior hypothesis bias

Question 17

a cognitive bias resulting form the tendency to generalize inappropriately from a small sample or froma single vivid event or episode

Answer 17

representative bias

Question 18

a source of cognitive bias resulting from the tendency to overestimate ones own ability to control activities and events

Answer 18

illusion of control

Question 19

a source of cognitive bias resulting form the tendency to commit additional resources to a project even if evidence shows that the project is failing

Answer 19

escalating commitment

Question 20

a pattern of faculty and biased decidion making that occurs in groups whose members struve for agreement among themselves at the expense of accurately assessing infomration relevant to a decision

Answer 20

groupthink

Question 21

critical analysis of a preferred alternative, made in response to challenges raised by a group member who, playing the role of devils advocate, defends unpopular or opposing alternatives for the sake of argument

Answer 21

devils advocacy

Question 22

critical analysis of two preferred aternatives inorder to find an even better alternative for the organization to adopt

Answer 22

dialectial inquiry

Question 23

the process through which mangers seek to improve employees desire and ability to understand and manage the organiztion and its task environment

Answer 23

organiztional learning

Question 24

an organization in which managers try to maximize the ability of individuals and groups to think and behave ceatively and thus maximize the potential for organizaiotnal learning to take placee

Answer 24

learning organization

Question 25

a decision makers ability to discover original and novel ideas tha lead to feasible alternative courses of action

Answer 25

creativity

Question 26

a loss of productivity in brainstorming sessions due to the unstructured nature of brainstorming

Answer 26

production blocking

Question 27

a decision maknig technique in which group members write down ideas and solutions, read their suggestions to the whole group, and discuss and then rank the alternatives

Answer 27

nominal group technique

Question 28

a decison making technique in which group members do no t meet face to face but respond in wiriting to questions posed by the group leader

Answer 28

delphi technique

Question 29

an individual who notices opportunites and mobilizes resouces necessary to produce new and improved goods and services

Answer 29

entrepreneur

Question 30

and individual who pursues initiatives and opportunities and mobizes resourecs to address social problems and nees in order to improve society and well being through creative solutions

Answer 30

social entrepreneur

Question 31

a manager, scientist, or researcher who works inside an organzition and notices opportunites to develop new or improved products and better ways to make them

Answer 31

intraprenuer