Question 1

Think of Bagley's decision tree model of decision making.Discuss the steps in the decision tree.Is use of this model beneficial for people as well as organizations? How? Describe a specific situation that you experienced in which this model would be helpful.
Harvard Business School Professor Constance Bagley suggests that a decision tree can help managers make more ethical decisions.A decision tree is a graphical representation of the process underlying decisions,and it shows the consequences of making various choices.Follow Bagley's decision tree,by asking the following questions: 
(1)Is the proposed action legal? 
(2)If yes,does the proposed action maximize shareholder value? 
(3)If yes,is the proposed action ethical? 
(4)If no,would it be ethical not to take the proposed action?

Accepted Answer

The answer of Think of Bagley's decision tree model of...

Question 2

The first question asked in Bagley's decision tree is:

Accepted Answer

A)  Is the proposed action legal? 
B)  Is the proposed action ethical? 
C)  Does the proposed action maximize shareholder value? 
D)  Does the proposed action affect any stakeholders? 
E)  Would it be ethical not to take the proposed action?

Question 3

Roger runs a small nonprofit group.He wants to buy a copier,because he knows it will be cheaper than going to the copy store.One of the other employees remarks that they should make do with an inexpensive copier from Walmart or Staples,but Roger wants one that will copy legal documents and collate reports.Roger may be impacted by _______ bias.

Accepted Answer

A)  framing 
B)  hindsight 
C)  anchoring 
D)  availability 
E)  confirmation

Question 4

Nicole is a manager at a fast food restaurant.She is under a lot of pressure from headquarters to increase her monthly profits.Nicole isn't sure what the solution is for her financial dilemma.She decides to use the rational decision-making model to determine the best path for a solution.The problem has already been defined by headquarters.Now Nicole has to

Accepted Answer

A)  generate alternative solutions. 
B)  evaluate the alternative solutions. 
C)  identify additional opportunities. 
D)  implement a solution. 
E)  evaluate the solution.

Question 5

In evaluating alternatives and selecting a solution,managers should evaluate the legality and efficiency of potential solutions and conduct a cost-benefit analysis.

Accepted Answer

A) True 
 B)False

Question 6

You are taking an OB course that meets Mondays and Wednesdays,and your professor gives unannounced quizzes each week.It's the Sunday before a class,and you are deciding whether to study for a potential quiz or watch football.Two of your classmates have decided to watch the game rather than study because they don't think there will be a quiz the next day.The next morning you walk into class and the professor says,"Take out a sheet of paper for the quiz." You turn to your friends and say,"I knew we were going to have a quiz; why did I listen to you? This reflects the anchoring bias.

Accepted Answer

A) True 
 B)False

Question 7

At Peter James Consulting,managers are in the process of submitting their budget cuts for the next fiscal year.In evaluating alternatives,managers should consider all of the following except

Accepted Answer

A)  Will these cuts impact the quality of our service? 
B)  What is the budget impact of these changes? 
C)  Are these the right choices to make for our company? 
D)  Is this the choice that I, personally, would like to make? 
E)  Is this the best use of our resources company-wide?

Question 8

A decision maker is influenced by the manner in which a problem or question is stated.This represents the _______ bias.

Accepted Answer

A)  confirmation 
B)  availability 
C)  representativeness 
D)  overconfidence 
E)  framing

Question 9

Evidence collected after the fact can be used to convince an external audience that the organization is following a sound course of action in a complex and ambiguous decision context.On the positive side,this can lead to

Accepted Answer

A)  shareholders questioning management. 
B)  confidence and goodwill about the company. 
C)  less input from employees. 
D)  insecurity about management decision making. 
E)  supplying only the most pertinent information.

Question 10

Define "creativity." What causes creativity? What are the stages of the creative process?

Accepted Answer

The answer of Define "creativity." What causes creativity? What are...

Question 11

When Jamie comes to work in the morning,the first thing he does is head to the employee lounge where he grabs a cup of coffee and talks to coworkers for several minutes.This implies that he probably has a

Accepted Answer

A)  low tolerance for ambiguity. 
B)  high tolerance for ambiguity. 
C)  task orientation. 
D)  low need for structure. 
E)  social orientation.

Question 12

_______ is the sense of "we-ness" that overrides individual differences and motives.

Accepted Answer

A)  Group coherence 
B)  Group cohesiveness 
C)  Groupthink 
D)  Peer pressure 
E)  Stereotyping

Question 13

A(n)________ is a graphical representation of the process underlying decisions.

Accepted Answer

A)  PERT chart 
B)  GANNT chart 
C)  decision tree 
D)  flowchart 
E)  organizational chart

Question 14

Instinct,insight,and intuition are synonymous; that is,they are the same thing.

Accepted Answer

A) True 
 B)False

Question 15

Yuri is very task-focused at work and does not pay much attention to people issues.Tina is just the opposite.These are examples of ________,the extent to which an individual focuses on either task and technical concerns or people and social concerns when making decisions

Accepted Answer

A)  extraversion 
B)  value orientation 
C)  locus of control 
D)  individualism 
E)  tolerance for ambiguity

Question 16

An example of the ________ heuristic occurs when you see news reports about people losing their jobs,and then start believing that you are in danger of being laid off.You start lying awake in bed each night worrying that you are about to be fired.

Accepted Answer

A)  availability 
B)  hindsight 
C)  representativeness 
D)  anchoring 
E)  framing

Question 17

In the _________ bias,a decision maker is influenced by the first information received about a decision,even if it is irrelevant.

Accepted Answer

A)  confirmation 
B)  availability 
C)  representativeness 
D)  anchoring 
E)  framing

Question 18

Three years ago,the City of Recker committed to build a park and music venue by the river.It was expected to cost $2.5 million and be paid for from an additional meals tax in the community.The residents pushed back.Local restaurants suffered as people ate out less or patronized restaurants in neighboring communities.The project has stalled,but the town council kept pushing it on.This spring,a flood devastated the venue. The town council appears to have suffered from _______ bias.

Accepted Answer

A)  confirmation 
B)  availability 
C)  escalation of commitment 
D)  overconfidence 
E)  framing

Question 19

Madetra makes low-priced leather handbags and wallets.They keep their costs down,but have to cut some corners.Now,their rate of return is 25 percent.Madetra considers this a(n)________ or "good enough" solution.

Accepted Answer

A)  satisficing 
B)  optimizing 
C)  minimizing 
D)  intuitive 
E)  rationalizing

Question 20

In a simple environment,a manager should use the _______ model of decision making.

Accepted Answer

A)  heuristic 
B)  rational 
C)  satisficing 
D)  nonrational 
E)  intuition

Exam 11: Decision Making and Creativity

The first question asked in Bagley's decision tree is:

In evaluating alternatives and selecting a solution,managers should evaluate the legality and efficiency of potential solutions and conduct a cost-benefit analysis.

At Peter James Consulting,managers are in the process of submitting their budget cuts for the next fiscal year.In evaluating alternatives,managers should consider all of the following except

A decision maker is influenced by the manner in which a problem or question is stated.This represents the _______ bias.

Evidence collected after the fact can be used to convince an external audience that the organization is following a sound course of action in a complex and ambiguous decision context.On the positive side,this can lead to

Define "creativity." What causes creativity? What are the stages of the creative process?

When Jamie comes to work in the morning,the first thing he does is head to the employee lounge where he grabs a cup of coffee and talks to coworkers for several minutes.This implies that he probably has a

_______ is the sense of "we-ness" that overrides individual differences and motives.

A(n) ________ is a graphical representation of the process underlying decisions.

Instinct,insight,and intuition are synonymous; that is,they are the same thing.

Yuri is very task-focused at work and does not pay much attention to people issues.Tina is just the opposite.These are examples of ________,the extent to which an individual focuses on either task and technical concerns or people and social concerns when making decisions

An example of the ________ heuristic occurs when you see news reports about people losing their jobs,and then start believing that you are in danger of being laid off.You start lying awake in bed each night worrying that you are about to be fired.

In the _________ bias,a decision maker is influenced by the first information received about a decision,even if it is irrelevant.

Madetra makes low-priced leather handbags and wallets.They keep their costs down,but have to cut some corners.Now,their rate of return is 25 percent.Madetra considers this a(n) ________ or "good enough" solution.

In a simple environment,a manager should use the _______ model of decision making.