Deck 3: Strategic Decision Making in Organizations

Question 1

Herbert Simon referred to the decision maker as having:

A) Bounded rationality
B) Loose rationality
C) Limited intelligence
D) Full rationality

Answer 1

A

Question 2

A typology of cognitive biases in organizations includes which of the following?

A) Pattern-recognition
B) Pattern construction
C) Route familiarity
D) Path dependency

Answer 2

A

Question 3

Action orientation bias involves:

A) over optimism
B) misaligned individual incentives
C) confirmation
D) anchoring and adjustment

Answer 3

A

Question 4

Group decision making conflict is typically referred to as:

A) Cognitive conflict
B) Group conflict
C) Decision conflict
D) Collegiate conflict

Question 5

In group decision making techniques, teams are used for:

A) Dialectical enquiry
B) Devils advocacy
C) Delphi method
D) Consensus making

Question 6

Groups tend to make riskier decisions than individuals because:

A) Risk is perceived to be shared by the group
B) Consensus is less accurate
C) Resources are more readily available
D) Individuals are constrained by their role

Question 7

According to Nutt and Wilson (2010) strategic decisions have the following characteristics:

A) deal with complex problems which are hard to define
B) rarely have one best solution, but rather a series of possible solutions
C) follow a predictable path
D) have logical and obvious outcomes

Question 8

Milliken 1987 identifies three types of uncertainty, these are:

A) State uncertainty
B) Effect uncertainty
C) Response uncertainty
D) Environmental uncertainty
E) Strategic uncertainty

Question 9

In managerial heuristics, managers will often have a tendency to assume that what we see or will see is typical of what can occur

Question 10

Devils advocacy is a legitimate decision-making technique