MGMT 3000 Chapter 9 Flashcards
what are mintzbergs managerial roles?
- interpersonal
- informational
- decisional
what type of managerial role has figurehead, leader and liaison characteristics?
interpersonal roles
what type of managerial role has monitor, disseminator and spokesperson roles?
informational
what type of managerial role has entrepreneur, disturbance handler, resource allocator and negotiator roles?
decisional
who has one of only three roles of a manager?
decision maker
what are the types of decision?
programmed and nonprogrammer
what are programmed decisions?
Involve situations that have occurred often enough to enable decision rules to be developed and applied in the future. Such decisions are made in response to recurring organizational problems
what are nonprogrammed decisions?
Are made in response to situations that are unique, are poorly defined and largely unstructured, and have important consequences for the organization
what is the primary difference between programed and non programed decisions?
facing certainty and uncertainty
what is certainty?
all available information the decision maker needs is fully available
what is risk?
the decision has clear cut goals and that good information is available but the future outcomes associate with each alternative are subject to some chance of loss or failure
what is uncertainty?
you know which goals you want to achieve but information about alternatives and future events is incomplete
what is the most difficult decision situation?
ambiguity
what is ambiguity?
the goals to be achieved or the problem to be solved is unclear and alternatives are difficult to define and information about outcomes is unavailable
what can create wicked decision problems?
ambiguous situation
true or false. for wicked problems there is often no right answer?
true
what do the choice among the three main models of decision making depend on?
- managers personal preference
- whether the decision is programmed or non programmed
- the degree of uncertainty
what is the classical model based on ?
based on rational economic assumptions and manager beliefs about what ideal decision making should be
what does normative mean?
how a decision maker should make a decision
what is the administrative model?
use of rational decision making process within the limits of human and environmental factors
what does descriptive mean?
how managers actually make decisions in complex situations
what is bounded rationality?
people have limited or boundaries on how rational they can be
what is satisficing?
choosing the first solution that satisfies minimal decision criteria
what is intuition ?
quick apprehension of decision situation based on experience
what is the political model?
useful for nonprogrammed decisions when conditions are uncertain, information is limited and there is conflict about goals to pursue or action to take
what are decisions the result of in a political model?
bargaining and discussion among coalition members
what are the assumptions of the political model?
- organizations are made up of group with diverse interests
- information is ambiguous
- managers do not have time to identify all info regarding a problem
what are the assumptions of the classical model?
- problems are defined
- results are calculated
- criteria for alternatives are known
- decision maker is rational and uses logic
what is the managerial decision making process?
- recognition of decision requirement
- diagnosis and analysis of causes
- development of alternatives
- selection of desired alternative
- implementation of chosen alternative
- evaluation and feedback
what is a problem?
organization has not met one of their goals
what is an opportunity ?
managers see potential opportunity in their external environment
what is the 5 why’s?
asking why over and over again to explore the root cause underlying a particular problem
what is risk propensity ?
willingness to undertake risk in exchange for the opportunity of gaining an increased payoff
what are the decision styles for personal decision framework?
- directive
- analytical
- conceptual
- behavioral
what is directive style?
prefer simple, clear cut solutions to problems
what is analytical style?
base decisions on all available rational data
what is conceptual style?
use a broad amount of information to solve problems creatively
what is behavioral style?
exhibit a deep concern regarding effect of decision on others
why do managers make bad decisions?
- being influenced by initial impressions
- justifying past decisions
- seeing what you want to see
what is anchoring bias?
cognitive bias that causes us to rely too heavily on the first piece of information we are given and therefore interpret newer information from the reference point of our anchor instead of seeing it objectively
what is loss aversion?
place a higher value on avoiding losses than on potential gains
what is confirmation bias?
occurs when the manager puts too much value on evidence that is consistent with a favored belief and discounts evidence that contradicts it
