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

The classical decision-making model assumes that managers require very little or no information in order to make an optimum decision.

The first step in the decision-making process is to recognize the need for a decision.

Which of the following is an accurate description of satisficing?

_____ is the decision-making method in which group members write down ideas and solutions, read their suggestions to the whole group, and discuss and then rank the alternatives.

Steven, a marketing manager, wants to budget the advertising for a new product launch. He is trying to determine the amount of money that the company can afford to spend on advertising. Which criterion of decision making is he focusing on?

Which of the following would be considered a programmed decision by James Calloway, CEO of FSE Inc.?

_____ is present when managers know the possible outcomes of a particular course of action and can assign probabilities to them.

Which of the following is an assumption made by the classical model?

To deal with opportunities and threats, managers must select one solution from a set of alternatives. This process is known as _____.

Dialectical inquiry is easier to implement than devil's advocacy to blunt the effects of groupthink in group decision making.

Jordan, the manager of JT's Tasty Treats, has to decide whether to introduce a new frozen dessert that has never been sold previously. What type of decision would this represent?

Mistakes in decision making that some managers make repeatedly are known as:

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

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

Discuss the four sources of bias that can adversely affect the way managers make decisions.

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

Which of the following is true of a learning organization?

Peggy, a foreman 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?

Which of the following is a guideline to promoting individual creativity in an organization?

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.