Exam 15: Decision Making and Organizational Learning

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Decision makers tend to take more risks when they frame or view decisions in positive terms rather than in negative terms.

(True/False)
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Total quality management includes the two group decision-making techniques of ________.

(Multiple Choice)
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Decision making in response to ________ occurs when members of an organization make choices or act in ways that result in benefits or gains.

(Multiple Choice)
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Which of the following is NOT a step group leaders can take to prevent the occurrence of groupthink?

(Multiple Choice)
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Exploration involves organizational members learning ways to refine and improve existing organizational behaviors and procedures to increase effectiveness.

(True/False)
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Systems thinking is an ongoing mental model that all of the organization's members use to frame problems or opportunities.

(True/False)
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Nonprogrammed decisions can become programmed decisions if they ________.

(Multiple Choice)
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Briefly define bounded rationality.

(Essay)
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The concept of "bounded rationality" advocated by March and Simon disregards the cognitive limitations of the decision maker.

(True/False)
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The night before the shuttle Challenger launch, an engineer for one of NASA's contractors brought up concerns over how cold it was projected to be the next day. When his manager and NASA managers discussed the issue, they collectively rationalized that temperature was not a problem, censored the engineer who initially had the concerns, and mistakenly believed they were in unanimous agreement that the launch should proceed. As a result, this team of engineers and managers experienced ________.

(Multiple Choice)
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Discuss the effect that information technology (IT) can have on decision-making heuristics.

(Essay)
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________ is a process managers seek out to improve the decision-making abilities of employees and enhance the efficiency and effectiveness of the organization.

(Multiple Choice)
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Nonprogrammed decision making involves searching for the extra information that is needed to make the right choice.

(True/False)
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The rules of thumb that help people simplify decision making are called heuristics.

(True/False)
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What is decision making?

(Essay)
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What are performance programs? How do they change decisions?

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Mike Barry, editor of the Carole Creek Times, has to decide which one of two reporters he will fire because the newspaper is losing money. Mike has to make this decision MOST LIKELY because of ________.

(Multiple Choice)
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________ is the process of giving employees the authority to make decisions and be responsible for their outcomes.

(Multiple Choice)
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Escalation of commitment is the tendency of decision makers to invest additional time, money, or effort into bad decisions or unproductive courses of action that are already draining the organization's resources.

(True/False)
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Decision making is the process by which members of an organization choose a specific course of action to respond to opportunities and problems that confront them.

(True/False)
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