Week 3 - Decision Making on the Business or Organisational Context Flashcards
What is decision maker?
processes
What is decision taker?
events
What does decision making = ?
managing
What are the layers of managerial decisions
-operational
-tactical
-strategic
Are decision situations obvious or hidden?
may be both
What is the purpose of decision situations?
-solve problems
-take advantage of opportunities
What was decision making like before big data (20 years ago)?
managers would rely on knowledge and experience
What is decision making like after big data (now)?
-Analytics provide
insight and input
-Data offers objective
validation when justifying management decisions
What are the two dominant views on decision-making?
rationalist and naturalsitic
What is the rationalist view on decision-making?
taking logical approach to decision-making
What is the naturalistic approach to decision-making?
understands how decisions are actually made within the complexity of reality
Rationalist view of decision making is … in nature
prescriptive
Naturalistic view of decision making is … in nature
descriptive
Which view of decision-making has step by step process?
rationalist
Which view on decision making cannot be presented as set of steps because of complex nature
naturalistic
What is dual process theory?
Addressing moment of a decision can be done in one of two ways:
― Through intuition/non-rationality
― Through reasoning/rationality
What is system is intuition/non-rationality?
system1
What system is reasoning/rationality?
system 2
What does heuristics mean?
mental shortcuts or “rules of thumb” that people use to simplify decision-making and problem-solving
Which system is heuristics attributed to?
system 1
What system does operational decisions use?
system 2
What system does tactical decisions use?
system 1 and 2
What system does strategic decisions use?
system 1 and 2
What type of system does simple routine decisions use?
system 2
What type of decisions do complicated decisions use?
system 1 and 2
What system does complex decisions use?
system 1 and 2
What system does chaotic decisions use?
system 1 or 2
What system does disorder decisions use?
system 1 or 2
What are the four steps to get the most out of analytics?
- find balance between judgement and data in decision-making
- build trust in data analytics
- transforming reactive into proactive decisions
- creating processes and guidelines around decision making
What are the two classifications of decision makers?
data driven vs judgement driven
What are the four types of managers?
-Type A “analytics bent”
-Type B “all-rounder”
-Type C “uncertain or uninformed”
-Type D “old-fashioned”
