# Shared Flashcard Set

## Details

Module 2
Decision Making
50
Management
02/02/2016

Term
 Decision Making
Definition
 The process of selecting one of several possible alternatives.
Term
 Problem Solving
Definition
 Changing a currently unsatisfactory situation into a satisfactory oneMay involve making more than one decision.
Term
 What does it mean to say decision making and problem solving are two dimensional processes?
Definition
 Refers to fact that they involve gathering information and then manipulating that info.
Term
 What are the two general types of problems one can face?
Definition
 1) Logical or Structured problems2) Elusive or Unstructured problems
Term
 Logical/Structured Problem
Definition
 -clearly identified w/ logical structure. -solution found by following a set route i.e. candidate selection - develop hiring criteria, evaluate applicants, choose best
Term
 Elusive/Unstructured Problem
Definition
 -difficult to define problem-solution is not apparent-cannot be solved by route logic i.e. party failure during election, polls inconclusive
Term
 What are the 8 steps in the Rational Decision Making Model?
Definition
 1. Identify the Problem2. Identify Decision Criteria3. Allocate Weights to the Criteria4. Develop Alternatives5. Evaluate Alternatives6. Select an Alternative7. Implement the Alternative8. Monitor and Evaluate the Decision’s Overall Effectiveness
Term
 What are the three broad steps involved in 'identifying the problem'?
Definition
 1) Identify the route of the issue - not the symptoms i.e. wrkrs making errors ringing in items --> symptom wrkrs not trained properly on till --->PROBLEM2) Identify and Classify the issue i.e. urgency? reactive? anticipatory?3) Identify objective solution must satisfy - OUTCOME i.e. workers accurately ringing in items, less shrinkage
Term
 Explain what 'identifying decision criteria' means
Definition
 It means isolating what factors (criteria) are important to the decision at hand. It is more about what the solution needs than further understanding the problem i.e. cashiers able to accurately ring in items
Term
 Explain 'allocating weights to criteria'
Definition
 When you have multiple decision criteria, you need to establish what is most important, what weighs more i.e. having employees understand barcode system is less important than them being able to key info correctly*one criterion could be set as the deciding factor when all other criteria are equally met. i.e. candidate selection - if everyone is awesome, one with additional merchandizing experience would win
Term
 Explain 'developing alternatives'
Definition
 Fleshing out the ways in which a problem can be handled i.e. cashiers can be trained one on one, or in a group, or given work to complete in spare time, or can go through modules on computer
Term
 Explain 'evaluating alternatives'
Definition
 Judge alternatives by how much they satisfy selection criteriaInvolves looks at: • Risk • Timing • Economy • Resources • Implementation • Contribution to objectives
Term
 Select an Alternative
Definition
 Choose an alternative -easy if other steps have been thorough and smooth -if two options equally good, look for tie-breakers
Term
 Implement Alternative (chosen solution)
Definition
 implementation may involve other people and their cooperation and commitment. entails effective communication, coordination and monitoring.
Term
 Monitor and Evaluate the Decision’s Overall Effectiveness
Definition
 Checking up on how things are going-problem resolved?-what was done well?-what wasn't?-what could be done better/differently?-modifications?-lessons for the future?*If problem persists, or other problems arise as a result of solution, then back to the drawing board
Term
 What were the changes health Canada made to decision-making framework regarding blood supply issue?
Definition
 1) Broadened information base for decision making -issues like culture, gender, etc. w/ potential impact2) Broadened transparency - info used - decisions made - uncertainties - involve interested/affected parties - processes - uncertainties3) Allowed for more flexibility to address range of risk issues4) Clarified roles, responsibilities, accountabilities of participants.5) Involve interested/affected parties and give them enough info to meaningfully participate in process
Term
 What is the take home regarding the changes seen recently to the decision making framework?
Definition
 Learning how to support the involvement of all people impacted by: -gender -culture -other factors The result is better outcomes for organizations in supporting inclusion.
Term
 2 types of decisions?
Definition
 1) Programmed2) Non-programmed
Term
 Programmed Decision?What 3 tools support these types of decisions?
Definition
 Programmed decisions are reserved for routine, reoccurring and logical problems.1) Policies are expressions of intent or overall guidelines and they may be written or unwritten2) Procedures are outlined series of steps used to arrive at a desirable outcome3) Rules are concise statements of what should or should not be done
Term
 How do the tools of policies, procedures, and rules support programmed decisions?
Definition
 assist in routine or reoccurring decisions by: 1) speeding up 2) simplifying and 3) sometimes, replacing the decision-making process.
Term
 Non-programmed Decisions?
Definition
 Decisions requiring novel, specific decisions. needed when problem is elusive, unusual, complicated
Term
 What types of decisions are usually made in the upper ranks of an organization? lower ranks?
Definition
 Upper ranks - non-programmed decision more commonLower ranks - programmed
Term
 How does personality factor into the decision making process?
Definition
 1) May impact how he or she approaches a problem2) Reveal how individuals approach decision making differently.
Term
 What 2 dimensions of the myers briggs test are most relevant to how personality shapes decision making?
Definition
 Sensor vs. Intuitor - degree to which prefer hard data or intuitionThinker vs Feeler - degree to which prefer logic over emotional reasoning
Term
 What are the three models of decision making?
Definition
 1) Optimizing - idealistic presentation of rational and logical decision making at its best2) Satisficing - when the first or most obvious alternative is selected instead of the best solution.3) Implicit favourite - preselect a favourite alternative; then set out to confirm your choice
Term
 Decision Tree Theory
Definition
 A theory athat intended to (1) deal w/ uncertainty of non-programmed decision making by (2) attaching a quantitative value to each potential alternative
Term
 Explain how to use decision tree theory
Definition
 1) multiply the percentage of chance by the expected benefit and loss2) take the difference between the two3) if +, then worthwhile, if - reconsider
Term
 Problem with decision tree theory?
Definition
 The recommendations can be flawed if inputs are off
Term
 Autocratic management
Definition
 When managers make only small day to day decisions. All others are made higher up
Term
 Democratic/Paticipatory Management
Definition
 When employees are involved in the decision making process.
Term
 When should you use group decision making?
Definition
 When there is: -ample time -involves unstructured/elusive problem -decision is non-programmed -you lack ability, expertise, resources to do it alone -when others have more of all of these -you lack the authority to do it alone -problem is important; wide consultation important -decision majorly affects others
Term
 When should decisions be made individually?
Definition
 When there are:-time constraints-structured logical problem with programmed decision/systematic-you have required ability, expertise, resources-you have the required resources-it is strictly your responsibility-it is confidential-problem unimportant-does not majorly affect others
Term
Definition
 • Collective brain power• Increased acceptance of solution• Increased legitimacy
Term
Definition
 • Time-consuming• Perception of abdication of responsibility or incompetence• Minority domination• Shared (reduced) responsibility• Groupthink
Term
 Groupthink
Definition
 Groupthink is the tendency of a highly cohesive group to lose their critical evaluative abilities and, as a result, to suppress disagreement and arrive at the wrong decisions
Term
 What are the signs of groupthink?
Definition
 1) Mind-guarding2) Illusion of invulnerability3) Illusion of unanimity4) Active suppression of dissidents5) Invoking a common enemy and stereotyping6) Group leader bias is clearly communicated7) Belief in inherent group morality8) Self-censorship by members
Term
 Overcoming Groupthink
Definition
 • Anonymity - make members critical evaluators w/ anonymously submitted written critiques• Hold your tongue - leaders should abstain from expressing biases•Divisions - split the group up into subgroups that, under different leaders, work on the same problem.•Broad Feedback - have group members discuss issues with their staff and report back on their reactions.•Outsiders - invite outside experts to observe group activities and react to group processes and decisions.•Devil's Advocate - assign a contrarian•Double-check - hold second-chance meetings after consensus has apparently been achieved.
Term
 Brainstorming
Definition
 Brainstorming is a group decision-making technique that allows a free exchange of ideas within a structured format.
Term
 What is the typical brainstorming process?
Definition
 1) Invite to the meeting all persons who can make a helpful contribution.2) Create and maintain a positive environment.3) Set clear objectives.4) If the problem and the criteria are not yet clearly defined, encourage participation in defining.5) Collect all ideas; do not evaluate them at this point—focus on volume of ideas. The facilitator may need to guard against evaluation at this stage.6) Evaluate contributions and arrive at definition.7) At this point, you may have to evaluate whether your participants have sufficient energy to continue with the problem-solving part of the session or whether you must reschedule that session.8) Collect all alternative solutions from participants; do not evaluate at this point.9) Evaluate solutions.10) Select the best solution (or combination of solutions).11) Thank your participants.12) Implement solutions and evaluate results.13) Give feedback to the participants.
Term
 What is brainstorming most useful for?
Definition
 Brainstorming is most suitable for solving unstructured or elusive problems when creative solutions may be appropriate.
Term
 What is one area where brainstorming is an unlikely, but useful option?
Definition
 Collective bargaining, when novel ways of dealing with long-standing problems may be sought.
Term
 Problem Chain
Definition
 Identification of one problem leads to a series of interconnected problems. - cannot solve problem until you reach end of chain
Term
 Problem Package
Definition
 Several unrelated problems are conveniently grouped under a single label. -deal with each problem separately.
Term
 Constraints or a Closed-MindHow can you deal with this?
Definition
 When we make assumptions prior to problem solving as to what will or will not work.Free your mind - every time you find yourself saying that something will not work, ask yourself, “How do I know, if I don’t try it first?”
Term
 Dealing with the Symptoms, Not the Problem
Definition
 The surface evidence masks the underlying problem. *look at symptoms to uncover problem
Term
 Vested Interests
Definition
 It is in someone’s interest to keep the problem unsolved because the solution may mean a loss to him or her. *uncover the vested interests and deal with them first.
Term
 The Decision Maker Lacks All Information to Solve Problem
Definition
 This may happen when the decision maker is unable or unwilling to access such information. *group decision making may be the answer.
Term
 What are the six 'problems to problem solving'?
Definition
 1) Vested Interests2) Dealing with the Symptoms, Not the Problem3) Constraints or a Closed Mind4) The Problem Package5) The Problem Chain6) Different Perceptions
Term
 Different Perceptions
Definition
 • Is there a problem at all?• What is the problem?• How important is the problem?• What are the available alternatives?• Evaluation of alternativesRecognizing perceptual differences may help.
Term
 What are 6 cautionary considerations for managers and minor decision making?
Definition
 1.Several minor decisions form a pattern that characterizes the decision maker.2. Staff and others may copy the decision-making style of a decision maker who is in a position of leadership.3. Minor decisions made in a department that has to work closely with other departments are bound to affect the other departments.4. Not making a decision may label you as indecisive or a “postponer”, or imply the problem itself as unimportant.5. There may be perceptual differences over the impact of a particular decision.6. What you consider a minor decision may have major impact on others.
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