Question 1

According to the rational decision-making approach, what is the second step of the decision-making process?
A) Identify the problem
B) Generate alternatives
C) Evaluate alternatives
D) State the situational goal
E) Determine the decision type

Accepted Answer

The answer of According to the rational decision-making approach, what...

Question 2

The administrative model of decision making does not attempt to prescribe how managers should make decisions.

Accepted Answer

The administrative model of decision making does not provide a specific set of guidelines or rules for decision making. It recognizes the reality that decision making is a complex and uncertain process and encourages managers to use their judgment and experience to make decisions based on the specific situation and context.

Question 3

The rational decision-making approach assumes decision makers
A) have complete information.
B) are objective.
C) are systematic in their approach to decisions.
D) work in an organization that encourages logical choices.
E) all of these

Accepted Answer

The rational decision-making approach assumes that decision makers have complete information, are objective, and are systematic in their approach to decisions. Additionally, this approach is most effective in organizations that encourage logical choices. Therefore, all of the choices listed (A, B, C, D) are correct.

Question 4

If a customer voices a complaint about food taste and temperature, certain restaurants always offer a complimentary meal.This represents
A) a standard decision.
B) a decision rule.
C) a nonprogrammed decision.
D) experience.
E) cognitive dissonance.

Accepted Answer

Offering a complimentary meal in response to a specific customer complaint represents a decision rule - a specific guideline or criteria for making decisions in certain situations. In this case, the restaurant has a decision rule in place to offer a complimentary meal as a way to address complaints about food taste and temperature.

Question 5

The Delphi technique is a method to systematically gather the judgments of experts who work closely together at a common worksite.

Accepted Answer

The Delphi technique is a method to gather the judgments of experts who are typically geographically dispersed and may not necessarily work closely together at a common worksite. The technique involves a series of questionnaires or rounds of feedback to reach consensus or forecast future developments in a particular field.

Question 6

A decision maker's actions should be guided by
A) personal opinions.
B) a goal.
C) an operating budget.
D) interpersonal relationships.
E) a code of honor.

Accepted Answer

A decision maker's actions should be guided by a clear goal or objective to ensure that they are working towards a specific outcome. Personal opinions, interpersonal relationships, and a code of honor can all influence decision making, but they should not be the sole guiding factors. Having an operating budget is important in making decisions, but it is not the main guiding principle.

Question 7

In problem-solving tasks, groups usually develop more and better solutions than do individuals.

Accepted Answer

Studies have shown that groups tend to generate more creative, diverse, and effective solutions than an individual working alone. This is due to the different perspectives, skills, and knowledge that group members bring to the task. Additionally, group collaboration and discussion can lead to the combination and improvement of individual ideas, resulting in richer and more comprehensive solutions.

Question 8

____ decisions tend to involve situations that occur often in a company.
A) Nonprogrammed
B) Procedural
C) Repetitive
D) Major
E) Programmed

Accepted Answer

Programmed decisions involve situations that occur regularly and can be addressed with established policies and procedures. These decisions are routine and repetitive, and can be automated or delegated to lower-level employees.

Question 9

Nonprogrammed decisions are most common at what level of the organization?
A) Lower
B) Top
C) Managerial
D) Subordinate
E) Middle

Accepted Answer

Nonprogrammed decisions are unique and unstructured decisions that require judgment, evaluation, and creativity. These decisions are usually made by top-level managers who have the authority to make decisions for the entire organization. Lower-level managers are more likely to make routine, programmed decisions that have already been made many times before. Middle managers may also make nonprogrammed decisions, but they are more likely to be involved in implementing decisions made by top-level management.

Question 10

What information condition lies between certainty and uncertainty in making decisions?
A) Risk
B) Coin tossing
C) Problem solving
D) Decision rules
E) Guesswork

Accepted Answer

The information condition that lies between certainty and uncertainty in making decisions is known as risk. This means that there is some level of uncertainty, but the possible outcomes can be calculated and the probability of each outcome can be estimated.

Question 11

Which of the following statements about programmed decisions is FALSE?
A) Information is readily available.
B) Specific methods for handling them exist.
C) They are highly structured.
D) Judgment and creativity are the basis of solution.
E) Goals are clear and well known.

Accepted Answer

Programmed decisions are routine and repetitive in nature and require little or no judgment or creativity for their solution. The other statements are true about programmed decisions.

Question 12

Decisions that recur infrequently and have no decision rules are ____ decisions.
A) certain
B) risk
C) programmed
D) nonprogrammed
E) uncertain

Accepted Answer

Nonprogrammed decisions are those that are unique and do not occur often, and for which decision rules do not exist. Therefore, the best choice would be nonprogrammed decisions, which is option D.

Question 13

In the nominal group technique, group members share their ideas with each other and then vote on them in private.

Accepted Answer

In the nominal group technique, group members share their ideas individually, and then the ideas are listed and discussed before voting takes place. The voting is typically done in private, but the initial sharing and discussion of ideas happens in a group setting.

Question 14

An illusion of invulnerability and stereotyped views of "enemy" leaders are symptoms of groupthink.

Accepted Answer

An illusion of invulnerability and stereotyped views of "enemy" leaders are both classic symptoms of groupthink, a phenomenon identified by social psychologist Irving Janis in the 1970s. Groupthink refers to a situation where a group of people in a decision-making situation become overly focused on consensus and harmony, often at the expense of critical thinking and alternative viewpoints. This can lead to flawed decision-making, particularly in high-stakes situations where dissent and independent thinking are especially important. The illusion of invulnerability arises when group members believe that their group is inherently superior, invincible, or impervious to criticism or outside attack. Stereotyped views of "enemy" leaders refer to simplified and often negative perceptions of other individuals or groups that are seen as opposing the group's goals or interests. Both of these factors can exacerbate groupthink and make it more difficult to achieve good decisions.

Question 15

Group polarization is the tendency for group members to converge on a common decision outcome or solution.

Accepted Answer

Group polarization refers to the tendency for a group to make decisions that are more extreme than the initial inclination of its members, often leading to a shift towards a more extreme position after group discussions.

Question 16

Decision making is
A) finding the answer to a question.
B) choosing one alternative from among several.
C) staffing positions within the organizational hierarchy.
D) motivating employees to pursue organizational goals.
E) fixing problems that arise in the operations of the business.

Accepted Answer

Decision making involves choosing one option among several alternatives.

Question 17

Nonprogrammed decisions are usually made by
A) all employees within an organization.
B) union workers.
C) upper management.
D) middle management.
E) lower management.

Accepted Answer

Nonprogrammed decisions are usually made by upper management because they involve unique, complex, and significant problems that require managerial judgment and creativity. These decisions are not routine and cannot be made using established policies or procedures.

Question 18

Which of the following statements about nonprogrammed decisions is FALSE?
A) The decisions are poorly structured.
B) The problem situation is nonroutine.
C) The consequences of decision making are far reaching.
D) The decisions are rarely a responsibility of top management.
E) Goals are often vague.

Accepted Answer

Nonprogrammed decisions are typically the responsibility of top management as they are complex and involve high-level strategic planning. Therefore, the statement that nonprogrammed decisions are rarely a responsibility of top management is false.

Question 19

If a Human Resources manager can estimate the probability that a certain percentage of employees will take advantage of a proposed benefit plan, the manager is operating under a condition of
A) certainty.
B) estimation.
C) risk.
D) uncertainty.
E) rationalization.

Accepted Answer

The fact that the HR manager is estimating the probability implies that there is potential for variation or unpredictability in the outcome. This aligns with the definition of risk, which involves uncertainty about potential outcomes and the possibility of negative consequences. The other options do not accurately reflect the situation described.

Question 20

One basis for making programmed decisions is
A) a lack of information.
B) a set of decision rules.
C) creativity.
D) movement.
E) group formation.

Accepted Answer

Programmed decisions are those that can be made using a set of decision rules or predetermined standard operating procedures. These decisions are often made in routine situations and do not require a lot of creativity or information gathering. Therefore, having a set of decision rules is a basis for making programmed decisions.

Quiz 8: Decision Making and Problem Solving

According to the rational decision-making approach, what is the second step of the decision-making process?

The administrative model of decision making does not attempt to prescribe how managers should make decisions.

The rational decision-making approach assumes decision makers

If a customer voices a complaint about food taste and temperature, certain restaurants always offer a complimentary meal.This represents

The Delphi technique is a method to systematically gather the judgments of experts who work closely together at a common worksite.

A decision maker's actions should be guided by

In problem-solving tasks, groups usually develop more and better solutions than do individuals.

____ decisions tend to involve situations that occur often in a company.

Nonprogrammed decisions are most common at what level of the organization?

What information condition lies between certainty and uncertainty in making decisions?

Which of the following statements about programmed decisions is FALSE?

Decisions that recur infrequently and have no decision rules are ____ decisions.

In the nominal group technique, group members share their ideas with each other and then vote on them in private.

An illusion of invulnerability and stereotyped views of "enemy" leaders are symptoms of groupthink.

Group polarization is the tendency for group members to converge on a common decision outcome or solution.

Decision making is

Nonprogrammed decisions are usually made by

Which of the following statements about nonprogrammed decisions is FALSE?

If a Human Resources manager can estimate the probability that a certain percentage of employees will take advantage of a proposed benefit plan, the manager is operating under a condition of

One basis for making programmed decisions is