Fundamentals Of Management (ch. 6)

Satisficing means that decision makers choose the first solution alternative that satisfies minimal decision criteria regardless of whether better solutions are expected to exist.

Two employees in Stacey's department quit, which is normal for her department. She is faced with the decision to fill these positions. This would be considered a nonprogrammed decision.

When considering decisions, the mind often gives disproportionate weight to the last information it receives.

Administrative and political decision-making procedures and intuition have been associated with high performance in unstable environments in which decisions must be made rapidly and under more difficult conditions.

The most effective managers are consistent in using their own decision style rather than shifting among styles.

Point-counterpoint is a decision-making technique in which people are assigned to express competing points of view.

Making a choice is the most significant part of the decision-making process.

Good intuitive decision making is based on an ability to recognize patterns at lightning speed.

Managers are considered to have a(n) __________ style when they prefer to consider complex solutions based on as much data as they can gather.

People who prefer simple, clear-cut solutions to problems use the directive style.

Brainstorming uses a face-to-face interactive group to spontaneously suggest as many ideas as possible for solving a problem.

Risk propensity refers to the willingness to undertake risk with the opportunity of gaining an increased payoff.

The formulation stage involves the use of managerial, administrative, and persuasive abilities to ensure that the chosen alternative is carried out.

Step 1 in the managerial decision-making process is recognition of decision requirement.

When managers base decisions on what has worked in the past and fail to explore new options, they are:

Most people underestimate their ability to predict uncertain outcomes.

Examples of nonprogrammed decisions would include the decision to:

During the fallout of the global financial crisis of the late 2000s, finance companies had to make important decisions in a highly ambiguous environment. The decision to buy out failed banks could best be described as which of the following types of decision?

The approach that managers use to make decisions usually falls into one of three types—the classical model, the administrative model, and the political model.

The behavioral style is often adopted by managers who like to consider complex solutions based on as much data as they can gather.

Bierderlack has a policy that states that more than three absences in a six-month period shall result in a suspension. Colleen, the manager, has just decided to suspend one of her shift employees for violating this policy. This is an example of:

Most bad decisions are errors in judgment that originate in the human mind's limited capacity and in the natural biases of the manager.

Evidence shows that people who make poor decisions under the influence of strong emotions tend to continue that behavior in the future.

Groupthink refers to the tendency of people in groups to suppress contrary opinions.

Managers will frequently look for new information that contradicts their instincts or original point of view.