DECISION-MAKING: ANALYSIS AND INTUITION Flashcards
STRATEGIC ANALYSIS AND METHODS
What are the two basic kinds of thinking processes according to the dual-process theory of cognition?
System 1 and System 2
System 1 is intuitive and fast, while System 2 is analytical and slow.
How is System 1 thinking characterized?
Intuitive, heuristic, unconscious, implicit, fast
System 1 is often referred to as ‘intuitive thinking’.
How is System 2 thinking characterized?
Analytic, rule-based, conscious, explicit, slow
System 2 is often referred to as ‘strategic analysis’.
What do intuitive thinking and strategic analysis contribute to?
Decision-making
Both are important tools for a strategic decision maker.
What does strategic decision-making imply according to Singh and Singhal?
Both intuitive and rational processes of thinking
They are equally important for a strategic decision maker.
What is strategic analysis described as by Facione?
Deliberately reflective, computational, and rule-governed
It is best developed through various critical thinking skills and dispositions.
What is one definition of strategic analysis in the business context according to Rubnicki and Vagner?
Conducting research on the business environment and the organization itself to formulate strategy
This definition is taken from BNET Business Dictionary.
What is another definition of strategic analysis provided by Rubnicki and Vagner?
A theoretically informed understanding of the environment and the organization’s interaction to improve efficiency and effectiveness
This definition is based on Worall (1998).
Fill in the blank: System 1 thinking is often referred to as _______.
intuitive thinking
Fill in the blank: System 2 thinking is often referred to as _______.
strategic analysis
True or False: System 1 thinking is slow and rule-based.
False
System 1 is characterized as fast and heuristic.
True or False: Strategic analysis can help improve an organization’s capacity to deploy and redeploy resources intelligently.
True
