Decision Making (chapt.7)

Question 1

Decision making

Answer 1

a person must select one option from a number of alternatives. There is some amount of information available with respect to the option. The timeframe is relatively long (longer than a second). The choice is associated with the uncertainty; that is it is not necessarily clear which is the best option

Question 2

Normative decision models

Answer 2

Multi-attribute utility theory assumes that the overall value of a decision option is the sum of the magnitude of each attribute multiplied by the utility of each attribute.

U(v) = ∑i=1 a(i) u(i)

Question 3

Heuristic and Biases

Answer 3

Information Processing Limits in Decision Making Cue Reception and Integration, Hypothesis Generation and Selection, Plan Generation and Action Choice

Question 4

Heuristics and biases in hypothesis generation, education and selection

Answer 4

Generation of limited Number of Hypotheses.
One and four
Availability Heuristics.
One Recent and more frequent Representativeness Heuristics.
Situation that look alike
Overconfidence.
CognitiveTunneling.
Stuck in one hypotheses
Confirmation Bias.
Seek first only confirming information

Question 5

Heuristic and Biases in action selection

Answer 5

retrieve a small number of action, availability heuristic for action, availability of possible outcomes, framing bias

Question 6

Dependency of decision making

Answer 6

Dependency of Decision making on the Decision Context.

Skill, Rule and knowledge-based Behavior.

Question 7

Improving decision making

Answer 7

task redesign, decision support systems, decision matrices and trees, spreadsheets, simulation, expert system, displays, training

Question 8

Heuristics and Biases in Receiving and Using Cues

Answer 8

Attention to a Limited Number of Cues.Cue primacy and anchoring. Inattention to Later Cues.Cue Salience .
Overweighting of Unreliable Cues.

Question 9

Heuristics and Biases in Action Selection

Answer 9

Retrieve a small number of action.Availability heuristic for action. Availability of possible outcomes. Framing bias.

Question 10

Factors Affecting Decision Making

Answer 10

Three Levels of Cognitive Controls (Rasmussen).

SRK (Skill, Rule, Knowledge) Model of behavior.

Question 11

Improving Decision making

Answer 11

Task redesign
   Decision-Support Systems
   Decision Matrices and Trees
   Spreadsheets    Simulation
   Expert System    Displays
   Training