Chapter 7: Individual and Group Decision Making

Question 1

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.

Answer 1

Decision Making

Question 2

First of six stages of decision making.

Answer 2

Identifying and diagnosing the problem.

Question 3

Second of six stages of decision making.

Answer 3

Generating alternative solutions.

Question 4

Third of six stages of decision making.

Answer 4

Evaluating alternative solutions.

Question 5

Fourth of six stages of decision making.

Answer 5

Making the choice.

Question 6

Fifth of six stages of decision making.

Answer 6

Implementing the decision.

Question 7

Final of six stages of decision making.

Answer 7

Evaluating the decision.

Question 8

Routine, virtually automatic processes.

Answer 8

Programmed Decisions

Question 9

Non-routine decision making that occurs in response to unusual, unpredictable opportunities and threats.

Answer 9

Non-Programmed Decisions

Question 10

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

Answer 10

Intuition

Question 11

Decisions that take time and effort to make result from careful information gathering, generation of alternatives, nad evaluation of alternatives.

Answer 11

Reasoned Judgement

Question 12

A choice made from among available alternatives.

Answer 12

Decision

Question 13

Kahneman’s thinking type which operates automatically and quickly.

Answer 13

System 1

Question 14

Kahneman’s thinking type which is slow, deliberate, analytical, and consciously effortful.

Answer 14

System 2

Question 15

Also called the classical model; the style of decision making that assumes that managers will make logical decisions that will be the optimum in furthering the organization’s best interests.

Answer 15

Rational Model

Question 16

Difficulties that inhibit the achievement of goals.

Answer 16

Problems

Question 17

Situations that present possibilities for exceeding existing goals.

Answer 17

Opportunities

Question 18

Analyzing the underlying causes.

Answer 18

Diagnosis

Question 19

Models of decision-making style that explain how managers make decisions; they assume that decision making is nearly always uncertain and risky, making it difficult for managers to make optimum decisions.

Answer 19

Nonrational Models of Decision Making

Question 20

One type of nonrational decision making; the ability of decision makers to be rational is limited by numerous constraints.

Answer 20

Bounded Rationality

Question 21

One type of nonrational decision-making model; managers seek alternatives until they find one that is satisfactory, not optimal.

Answer 21

Satisficing Model

Question 22

A person’s explicit and tacit knowledge about a person, a situation, an object, or a decision opportunity.

Answer 22

Expertise

Question 23

Intuition that stems from expertise.

Answer 23

Holistic Hunch

Question 24

Intuition based on feelings.

Answer 24

Automated Expertise

Question 25

Individuals trained in matters of ethics in the workplace, particularly about resolving ethical dilemmas.

Answer 25

Ethics Officers

Question 26

Graph of decisions and their possible consequences, used to create a plan to reach a goal.

Answer 26

Decision Tree

Question 27

The translation of principles based on best evidence into organizational practice.

Answer 27

Evidence-Based Management