Question 1

Groupthink causes the unintended effect of discouraging individuals from raising issues that run counter to majority opinion.

Accepted Answer

When groupthink occurs, pressures for agreement and harmony within a group have the unintended effect of discouraging individuals from raising issues that run counter to majority opinion.

Question 2

Decision making in response to threats occurs when managers search for ways to improve organizational performance to benefit customers, employees, and other stakeholder groups.

Accepted Answer

Decision making in response to opportunities occurs when managers search for ways to improve organizational performance to benefit customers, employees, and other stakeholder groups.

Question 3

Maria, a supervisor at a petrochemical plant, asks the plant superintendent to hire an additional worker whenever overtime hours for the previous month increase by more than 15 percent over the headcount.What type of decision is this?
A)intuitive
B)groupthink
C)satisficing
D)programmed
E)bounded

Accepted Answer

Programmed decisions are decisions that have been made so many times in the past that managers have developed rules or guidelines to be applied when certain situations inevitably occur.

Question 4

Brainstorming is a group problem-solving technique in which managers meet face-to-face to generate and debate a wide variety of alternatives from which to make a decision.

Accepted Answer

Brainstorming is a group problem-solving technique in which managers meet face-to-face to generate and debate a wide variety of alternatives from which to make a decision.

Question 5

Generating creative alternatives to solve problems may require managers to abandon their existing mind-sets.

Accepted Answer

Generating creative alternatives to solve problems and take advantage of opportunities may require that we abandon our existing mind-sets and develop new ones.

Question 6

Escalating commitment is the tendency of decision makers to overestimate their ability to control activities and events.

Accepted Answer

Illusion of control is the tendency of decision makers to overestimate their ability to control activities and events.

Question 7

A skunkworks is a group of intrapreneurs who are deliberately separated from the normal operation of an organization to encourage them to devote all their attention to developing new products.

Accepted Answer

A skunkworks is a group of intrapreneurs who are deliberately separated from the normal operation of an organization to encourage them to devote all their attention to developing new products.

Question 8

Allowing individuals to develop a sense of personal mastery is detrimental to organizational learning.

Accepted Answer

For organizational learning to occur, top managers must allow every person in the organization to develop a sense of personal mastery.

Question 9

Decisions that are based on rules and guidelines are known as ______ decisions.
A)brainstormed
B)heuristic
C)programmed
D)intuitive
E)creative

Accepted Answer

Programmed decisions are decisions that have been made so many times in the past that managers have developed rules or guidelines to be applied when certain situations inevitably occur.

Question 10

The key to a good assessment of the alternatives is to define the opportunity or threat exactly.

Accepted Answer

The key to a good assessment of the alternatives is to define the opportunity or threat exactly and then specify the criteria that should influence the selection of alternatives for responding to the problem or opportunity.

Question 11

To avoid production blocking that occurs during brainstorming, the nominal group technique is often used.

Accepted Answer

The main reason for the loss of productivity in brainstorming appears to be production blocking.To avoid production blocking, the nominal group technique is often used.

Question 12

Intuitive decisions require time and effort and result from careful information gathering.

Accepted Answer

Intuition refers to feelings, beliefs, and hunches that come readily to mind, require little effort and information gathering, and result in on-the-spot decisions.

Question 13

_________ is the process that managers use to deal with opportunities and threats by analyzing the options and making determinations, or decisions, about specific organizational goals and courses of actions.
A)Groupthink
B)Intuition
C)Decision making
D)Bounded rationality
E)Heuristics

Accepted Answer

Decision making is the process by which managers respond to opportunities and threats by analyzing the options and making determinations, or decisions, about specific organizational goals and courses of actions.

Question 14

The illusion of control causes managers to overestimate the odds of a favorable outcome and, consequently, to make inappropriate decisions.

Accepted Answer

The illusion of control causes managers to overestimate the odds of a favorable outcome and, consequently, to make inappropriate decisions.

Question 15

The tendency of managers to ignore critical information is not as serious as the existence of incomplete information.

Accepted Answer

Perhaps more serious than the existence of incomplete information is the often documented tendency of managers to ignore critical information.

Question 16

When uncertainty exists, the probabilities of alternative outcomes cannot be determined and future outcomes are unknown.

Accepted Answer

When uncertainty exists, the probabilities of alternative outcomes cannot be determined and future outcomes are unknown.

Question 17

When paper supplies reach a minimum level, Ethan makes a call to the supplier to order more paper.What type of decision does this represent?
A)brainstormed decision
B)heuristic decision
C)programmed decision
D)intuitive decision
E)creative decision

Accepted Answer

Programmed decisions are decisions that have been made so many times in the past that managers have developed rules or guidelines to be applied when certain situations inevitably occur.

Question 18

The higher the level of intrapreneurship in a firm, the higher the level of learning and innovation.

Accepted Answer

The intensity of competition today, particularly from agile, small companies, has made it increasingly important for large, established organizations to promote and encourage intrapreneurship to raise their level of innovation and organizational learning.

Question 19

Barbara, a school superintendent, hires an additional teacher whenever the student enrollment in a grade goes beyond 35.This can be classified as a(n) _____ decision.
A)programmed
B)heuristic
C)brainstormed
D)intuitive
E)creative

Accepted Answer

Programmed decisions are decisions that have been made so many times in the past that managers have developed rules or guidelines to be applied when certain situations inevitably occur.

Question 20

Decision making is the process by which managers respond to opportunities and threats to make determinations about organizational goals and courses of action.

Accepted Answer

Decision making is the process by which managers respond to opportunities and threats by analyzing the options and making determinations, or decisions, about specific organizational goals and courses of action.

Quiz 7: Decision Making, Learning, Creativity, and Entrepreneurship

Groupthink causes the unintended effect of discouraging individuals from raising issues that run counter to majority opinion.

Decision making in response to threats occurs when managers search for ways to improve organizational performance to benefit customers, employees, and other stakeholder groups.

Maria, a supervisor at a petrochemical plant, asks the plant superintendent to hire an additional worker whenever overtime hours for the previous month increase by more than 15 percent over the headcount.What type of decision is this?

Brainstorming is a group problem-solving technique in which managers meet face-to-face to generate and debate a wide variety of alternatives from which to make a decision.

Generating creative alternatives to solve problems may require managers to abandon their existing mind-sets.

Escalating commitment is the tendency of decision makers to overestimate their ability to control activities and events.

A skunkworks is a group of intrapreneurs who are deliberately separated from the normal operation of an organization to encourage them to devote all their attention to developing new products.

Allowing individuals to develop a sense of personal mastery is detrimental to organizational learning.

Decisions that are based on rules and guidelines are known as ______ decisions.

The key to a good assessment of the alternatives is to define the opportunity or threat exactly.

To avoid production blocking that occurs during brainstorming, the nominal group technique is often used.

Intuitive decisions require time and effort and result from careful information gathering.

_________ is the process that managers use to deal with opportunities and threats by analyzing the options and making determinations, or decisions, about specific organizational goals and courses of actions.

The illusion of control causes managers to overestimate the odds of a favorable outcome and, consequently, to make inappropriate decisions.

The tendency of managers to ignore critical information is not as serious as the existence of incomplete information.

When uncertainty exists, the probabilities of alternative outcomes cannot be determined and future outcomes are unknown.

When paper supplies reach a minimum level, Ethan makes a call to the supplier to order more paper.What type of decision does this represent?

The higher the level of intrapreneurship in a firm, the higher the level of learning and innovation.

Barbara, a school superintendent, hires an additional teacher whenever the student enrollment in a grade goes beyond 35.This can be classified as a(n) _____ decision.

Decision making is the process by which managers respond to opportunities and threats to make determinations about organizational goals and courses of action.