Deck 5: Problem Solving and Decision Making

Question 1

A major reason that decision making is often not such a rational process is that there are

A) too many stages in decision making for most people to cope with.
B) natural biases against diagnosing problems.
C) few bounds to human decision-making capability.
D) limits to how much information people can process and recall.

Answer 1

D

Question 2

A frequent decision-making error during a crisis is to

A) methodically search for alternatives
B) become less rational and more emotional.
C) become more rational and less emotional.
D) welcome differences of opinion.

Answer 2

B

Question 3

The condition of groupthink is likely to occur when group members

A) strive too hard for consensus.
B) think of themselves as inferior.
C) use the step-by-step approach to decision making.
D) have different perspectives.

Answer 3

A

Question 4

Marketing executive Jasmine likes to make a decision quickly as soon as enough information is available, and she also likes to generate lots of options. Her decision-making style is therefore characterized as,

A) decisive.
B) flexible.
C) hierarchic.
D) integrative.

Question 5

A key aspect of lateral thinking is that it

A) focuses on few answers to a problem.
B) is needed more in manufacturing than in marketing.
C) decreases the number of wasted alternative solutions.
D) leads to many different solutions to a problem.

Question 6

In making a decision, the alternative should be chosen that most clearly

A) is favored by top management.
B) achieves the goal of the decision.
C) saves the organization money.
D) leads to innovation.

Question 7

The purpose of a heuristic in decision making is to

A) simplify the decision-making process.
B) find a rapid way to explore more alternatives.
C) obtain input from a large number of people.
D) evaluate whether a decision was effective.

Question 8

Creativity can be defined simply as the process of

A) doing two things at once.
B) developing novel ideas that can be put into action.
C) providing feedback.
D) implementing a plan

Question 9

To say that a decision is based on political considerations means that it is not based on

A) alliances with others.
B) thoughts of acquiring power.
C) both sides of an issue.
D) the objective merits of the situation.

Question 10

The purpose of decision making is to

A) analyze a problem.
B) solve a problem.
C) collaborate..
D) involve people in the decisions.

Question 11

The purpose of visualization for making better decisions under crisis is to

A) rehearse in your mind how you will react to the crisis.
B) think of all the times you have failed in the past.
C) engage in a pleasant fantasy to reduce your stress.
D) imagine how angry your boss will be if your fail.

Question 12

A recommendation for becoming more adept at making decisions under crisis conditions is

A) to establish a special committee.
B) to avoid taking risks.
C) to anticipate crises
D) to avoid speaking to the media.

Question 13

Information technology executive Darryl likes to pore over a lot of information before making a decision, and he also likes to commit to one course of action. His decision-making style is therefore characterized as

A) decisive.
B) flexible.
C) hierarchic.
D) integrative.

Question 14

Billy is usually heavily influenced by the first information he receives on a topic. He is under the influence of a process called

A) anchoring.
B) rationalizing.
C) trial and error.
D) emotional intelligence.

Question 15

Emotional intelligence generally deals with the ability to

A) connect with people and understand their emotions.
B) stay in control while taking tests.
C) knowing how to throw a tantrum for effect.
D) using common sense to earn a living.

Question 16

A distinguishing feature of the nominal group technique is that

A) criticism and discussion are disallowed.
B) a small group of people is assembled.
C) alternatives are rated and the best-rated one is chosen.
D) the group is placed on a tight time limit.

Question 17

A problem is technically defined as a discrepancy between the

A) past and present.
B) future and present.
C) person's wishes and desires.
D) ideal and actual conditions.

Question 18

Julio was going to recommend a new billing system for the hospital where he works. However, he does not want to upset the executive who installed the system, so he does not make the recommendation. Julio has fallen into the

A) overconfidence trap.
B) status quo trap.
C) anchoring trap.
D) creativity rut.

Question 19

A major advantage of group decision making is that

A) it makes efficient use of time.
B) it results in low risk taking.
C) members are likely to be committed to a decision.
D) it eliminates passing the blame onto others.

Question 20

The type of motivation necessary for creativity is a

A) desire to earn large financial bonuses.
B) passion for the task.
C) drive to win over others in competition.
D) state of inner peace and harmony.

Question 21

A problem many pessimistic decision makers face is that they keep searching for good alternative solutions to problems.

Question 22

Self-help techniques for improving creativity generally aim toward

A) getting people involved in new hobbies.
B) encouraging group problem solving.
C) improving one's sense of humor.
D) improving the flexibility of one's thinking.

Question 23

Visualization to improve decision making under crisis, centers around rehearsing in your mind the worst possibilities that could occur.

Question 24

A research study showed that with respect to work creativity, encouragement from family and friends

A) had zero impact.
B) resulted in interference.
C) made a contribution.
D) made a contribution providing that the supervisor gave little encouragement.

Question 25

Groupthink takes place where there is so much consensus that members lose their ability to evaluate their ideas critically.

Question 26

The nominal group technique provides information about how people react to decision alternatives.

Question 27

An example of a heuristic would be not to spend more than 30% of your net income on debt other than a home mortgage.

Question 28

Perfectionism usually enhances decision making because the decision maker knows exactly what he or she wants.

Question 29

You use an integrative decision-making style when you explore one option, and use less information.

Question 30

Walt Disney naming his cartoon mouse "Mickey" instead of "Mortimer" proved to be a satisficing decision.

Question 31

Managers can establish a creative atmosphere by

A) allotting time and money carefully.
B) giving employees the freedom to choose how to accomplish a goal.
C) giving employees the right type and amount of challenge.
D) all of the choices

Question 32

The flow experience refers to

A) the ultimate involvement in work
B) a condition of heightened focus, productivity, and happiness.
C) both a & b
D) a design that allows for the flow of ideas, such as common meeting areas.

Question 33

The effective decision maker attempts to minimize hunches and intuition in the process of making a decision.

Question 34

Which one of the following is the most recommended approach for a manager to enhance creativity within the group?

A) Staff the group with people of quite similar intellectual backgrounds.
B) Keep risk taking to a minimum.
C) Give support in terms of financial rewards and recognition.
D) Prevent lethargy by making many discouraging comments.

Question 35

A major technique for improving decision making is to dig for alternatives rather than accept the first possibility that comes to mind.

Question 36

Cognitive (or traditional) intelligence carries a profound influence in decision-making effectiveness.

Question 37

The ability to supply managers with high-quality information forms the major justification for information systems.

Question 38

You know you have a problem when the conditions that exist with respect to a particular situation are much different than what you want.

Question 39

A well-planned and highly structured organization reduces the number of nonprogrammed
decisions by formulating policies.

Question 40

According to the decision-making styles of Decision Dynamics, the two dimensions of decision making are how information is used, and how many options are explored.

Question 41

The experience if Ideo, the design firm, is that preparing for brainstorming meetings inhibits spontaneity so much that preparation is not worth the effort.

Question 42

Risk taking does not enhance creativity.

Question 43

Describe the role of intuition in decision making.

Question 44

When Andrew Schuman bought Hammond's Candies, he learned than an assembly-line worker had dreamed up the design of the company's candy. So Schuman decided to offer a $50
bonus to assembly-line workers who came up with successful ideas to cut manufacturing costs.
1. What does this story illustrate about finding new ideas?
2. How does the candy company encourage creativity?

Question 45

A generally effective practice for fostering creativity is to punish people for attempting creative solutions that fail to solve the problem.

Question 46

Describe what actions an organization can take to encourage employees to think more creatively.

Question 47

Playing the roles of artist, judge, and lawyer is a method for a team leader to encourage creative problem solving among team members.

Question 48

A well-accepted method of stimulating creativity is to engage in physical exercise.

Question 49

Many people are poor decision makers because they procrastinate, or delay taking action without a valid reason.

Question 50

Describe what you can do in the next several years to increase your creativity.

Question 51

A powerful approach to developing an innovative organization is to systematically
gather ideas from people inside and outside the firm.

Question 52

Creative thinkers generally stick closely to following the rules.

Question 53

Lateral thinking would be required to uncover new markets for the products or services of one's firm.

Question 54

Conflict and tension that put people on edge can also foster creativity.