Deck 11: Decision Making

Question 1

Decisions that occur frequently enough that we develop an automated response to them are termed ________________.

Answer 1

programmed decisions

Question 2

The availability of too much information can lead to __________________,where more and more time is spent on gathering information and thinking about it,but no decisions actually get made.

Answer 2

analysis paralysis

Question 3

On of the most important considerations in management is whether or not the decisions you are making as an employee or manager are ethical.

Answer 3

True

Question 4

Creative decision making includes which of the following?:

A)Illustration
B)Problem solving
C)Immersion
D)Creative coordination

Question 5

The model that refers to arriving at decisions without conscious reasoning is called ___________________.

Question 6

An important part of the bounded rationality approach is the tendency to ______________.

Question 7

Creativity is the first step in the innovation process

Question 8

The tendency to accept the first alternative that meets minimum criteria is called:

A)Bounded rationality model
B)Intuitive decision-making model
C)Satisfice
D)Analysis paralysis

Question 9

The automated response we use to make programmed decisions is called the ______________.

Question 10

Creativity and innovation are the same thing.False: Creativity and innovation are not the same thing.Easy;Knowledge

Question 11

Making strategic,tactical and operational decisions is an integral part of which function of the P-O-L-C framework?

A)Planning
B)Organizing
C)Leading
D)Controlling

Question 12

A crisis situation also constitutes a _________________ decision.

Question 13

If you are able to generate several distinct solutions to a problem,your decision-making process is high on ______________.

Question 14

Creative ideas begin with innovation,and it also involves realistic planning and follow-through.

Question 15

In 2005,McDonald's became aware of a need to respond to growing customer concerns regarding the unhealthy aspects of the food they sell in terms of being high in fat and calories,is an example of a programmed decision.

Question 16

Satisficing is similar to rational decision making.

Question 17

While it can be argued that management is decision making,most of the decisions made by managers within organizations fail.

Question 18

In the rational decision-making model,individuals knowingly limit their options to a manageable set and choose the best alternative without conducting an exhaustive search for alternatives.

Question 19

________________ refers to making choices among alternative courses of action,which may also include inaction.

Question 20

Which corporate members are typically not involved in making strategic decisions?:

A)Top management teams
B)Employees
C)CEOs
D)Board of Directors

Question 21

Groups tend to suffer from symptoms of groupthink when they are small and when the group is not cohesive.False: Groups tend to suffer from symptoms of groupthink when they are large and when the group is cohesive.Medium;Knowledge

Question 22

________________ is a group process of generated ideas that follows a set of guidelines which include no criticism of ideas,and building on other ideas.

Question 23

A variation of brainstorming is ___________ where the group focuses on ideas that are impossible and then imagines what would need to happen to make them possible.

Question 24

Escalation of commitment demonstrates how individuals' desire for consistency can cause them to continue to invest in a decision which is not prudent.

Question 25

When individuals continue on a failing course of action after information reveals this may be a poor path to follow is called ________________.

Question 26

Sunk costs fallacy is another term for _______________ .

Question 27

Use the _____________ decision-making model when you have experience with the problem.

Question 28

Kahnemann and Tversky found that individuals are influenced in making decisions by which of the following?:

A)De-escalation
B)Overconfidence
C)Decision bias
D)Constructing bias

Question 29

Describe the three decisions commonly made within organizations.Strategic decisions set the course of the organization.Tactical decisions are decisions about how things will get done.Operational decisions refer to decisions that employees make each day to make the organization run.Medium;Knowledge

Question 30

Why does escalation of commitment occur? Decision makers may not want to admit that they were wrong.Secondly,decision makers may incorrectly believe that spending more time and energy might somehow help them recover their losses.Medium;Knowledge

Question 31

Research shows that for top management teams,groups that debate issues and which are diverse make decisions that are more comprehensive and better for the bottom line in terms of profitability and sales.

Question 32

How does one avoid overconfidence bias?

Question 33

The opposite of overconfidence bias,as it occurs when looking backward in time is called _______________.

Question 34

Explain the classic example of escalation of commitment in Motorola's Iridium project.In the 1980s,there was a real need within the business community to improve phone access around the world.Motorola envisioned solving this problem using 66 low-orbiting satellites.At the time of idea development,the project was technologically advanced.Motorola spun off Iridium as a separate company.It took researchers a total of 15 years to develop the product from idea to market.However,the landscape for cell phone technology was dramatically different from the 80s and the wide-spread cell phone coverage around the world eliminated a large base of projected customer base for Iridium.The decision makers should have abandoned the project in the 90s but released it to the public and it was a failure.Medium;Knowledge

Question 35

If a group is diverse,poor decisions may be made because different group members may have different ideas based on their background and experience.False: If a group is diverse,better decisions may be made because different group members may have different ideas based on their background and experience.Easy;Knowledge

Question 36

The tendency to avoid critical evaluation of ideas the group favors is called social loafing.

Question 37

______________ bias occurs when individuals overestimate their ability to predict future events.

Question 38

Setting high ____________ where the group must reach a set number of ideas before they are done is recommended to avoid process loss and maximize the effectiveness of brainstorming.

Question 39

_____________ refers to the tendency of decision makers to be influenced by the way that a situation or problem is presented.

Question 40

______________ refers to the tendency of individuals to rely too heavily on a single piece of information.

Question 41

What are the four steps to nominal group technique? First,each member of the group engages in a period of independently and silently writing down ideas.Second,the group goes in order around the room to gather all the ideas which were generated.Third,a discussion takes place around each idea and members ask for and give clarification and make evaluative statements.Finally,individuals vote for their favorite ideas by using either ranking or rating techniques.Medium;Knowledge

Question 42

_____________________ are interactive computer-based systems that are able to combine communication and decision technologies to help groups make better decisions.

Question 43

Diagrams where answers to yes or no questions lead decision makers to address additional questions until they reach the end of the tree are called __________________.

Question 44

Research suggests that the simple exercise of imagining what could go wrong with a given decision can increase your ability to correctly identify reasons for future successes or failures by ___________.

Question 45

The tendency of some members to put forth less effort while working within a group is called _______________.

Question 46

What is the process of consensus? The process works by discussing the issues at hand,generating a proposal,calling for consensus,and discussing any concerns.If concerns still exist,the proposal is modified to accommodate them.These steps are repeated until consensus is reached.Medium;Knowledge

Question 47

The tendency to avoid critical evaluation of ideas the group favor is called ________________.

Question 48

_________?????____ refers to a decision-making rule where each member of the group is given a single vote and the option which receives the greatest number of votes is selected.

Question 49

Decision trees tend to be helpful in guiding the decision maker to a pre-determined alternative but do not ensure consistency of decision making.False: Decision trees tend to be helpful in guiding the decision maker to a pre-determined alternative and ensuring consistency of decision making.Medium;Comprehension

Question 50

A group process using written responses to a series of questionnaires instead of physically bringing individuals together to make a decision is called _____________.

Question 51

_______________ was developed to help with group decision making by ensuring that all members participate fully.

Question 52

The Delphi technique refers to a decision-making rule where each member of the group is given a single vote and the option which receives the greatest number of votes is selected.False: Majority rule refers to a decision-making rule where each member of the group is given a single vote and the option which receives the greatest number of votes is selected.Medium;Knowledge

Question 53

Some recommendations for avoiding groupthink include the following EXCEPT:

A)Discuss the symptoms of groupthink and how to avoid them
B)Assign a rotating devil's advocate
C)Encourage a culture of difference where different ideas are valued
D)Break up the team

Question 54

NGT is used to structure group meetings when members are grappling with problem solving or idea generation.

Question 55

Tools and techniques for making better decisions include which of the following?:

A)Brainstorming
B)Collaboration
C)Delphi technique
D)Minority rule

Question 56

What are the steps of the Delphi Technique? The first questionnaire asks individuals to respond to a broad question such as stating the problem,outlining objectives,or proposing solutions.Each subsequent questionnaire is built from the information gathered in the previous one.The process ends when the group reaches a consensus.Medium;Knowledge

Question 57

Research shows that a GDSS can actually improve the output of group collaborative work through higher information sharing.

Question 58

Despite its popularity within organizations,group decision making suffers from which of the following?:

A)Groups commonly outperform their best member,which can lead to intra-group rivalries.
B)Group decision making is not a thorough process for some management decisions
C)Groups can suffer from social isolation
D)Groups may suffer from the tendency to avoid critical evaluation of ideas the group favors

Question 59

Groupthink is characterized by which of the following symptoms?:

A)Invulnerability
B)Collective modeling
C)NGT is used more often than it should
D)Stereotyped views of out-groups are seen when groups discount rivals' abilities to make effective responses

Question 60

A problem the GDSS intended to solve is:

A)Use in virtual meetings
B)Need for immediate feedback
C)Lack of control over the issues
D)To make sure every idea is heard and recorded

Question 61

A ________________ is a way to imagine what might go wrong and avoid it before spending a cent or having to change course along the way.

Question 62

What are the steps to a premortem process? A team comes up with an outline of a plan.Either the existing group or a unique group is told to imagine what would happen if the new product failed.They then write down all the reasons they can imagine.Each team member shares items from their list until all the potential problems have been identified.The list is reviewed for additional ideas.The issues are sorted into categories in search of themes.The plan should then be revised to correct the flaws.Medium;Comprehension/Knowledge