Question 1

Which of the following steps in the rational model considers ethics, feasibility, and effectiveness of various choices?

Accepted Answer

A)  Identifying the problem
B)  Generating obvious and creative alternative solutions
C)  Evaluating alternatives
D)  Implementing the chosen solution
E)  Evaluating the chosen solutionF) A) and E)
G) A) and C)

Question 2

Brainstorming is not appropriate for evaluating alternatives or selecting solutions.

Accepted Answer

A) True 
 B)False

Question 3

Contrast the rational and the normative models of decision making. What are the assumptions of each?

Accepted Answer

The rational model of decision making pr...

Question 4

Mention a few steps to be taken to reduce the escalation of commitment in organizations.

Accepted Answer

The following actions are recommended to...

Question 5

What is a judgmental heuristic? Describe the availability heuristic and the representativeness heuristic.

Accepted Answer

Judgmental heuristics represent rules of...

Question 6

The use of heuristics increases the uncertainty inherent within the decision-making process.

Accepted Answer

A) True 
 B)False

Question 7

Creativity is defined as the process of using imagination and skill to develop a new or unique product, object, process, or thought.

Accepted Answer

A) True 
 B)False

Question 8

According to the decision tree which of the following questions necessitates that a manager considers the harm or cost of an action to shareholders against the costs or benefits to other key constituents?

Accepted Answer

A)  Does the proposed action maximize shareholder value?
B)  Is the proposed action ethical?
C)  Does the action result in a more favorable financial position for an organization?
D)  Would it be ethical not to take the action?
E)  Is the proposed action legal?F) A) and B)
G) D) and E)

Question 9

A decision tree is a graphical representation of the process underlying decisions and it shows the resulting consequences of making various choices.

Accepted Answer

A) True 
 B)False

Question 10

Consensus requires unanimous agreements.

Accepted Answer

A) True 
 B)False

Question 11

The _____ model proposes that managers use a four-step sequence when making decisions by identifying the problem, generating alternative solutions, selecting a solution, and implementing and evaluating the solution.

Accepted Answer

A)  rational
B)  normative
C)  situational leadership
D)  nonrational
E)  contingencyF) A) and E)
G) A) and D)

Question 12

People with a(n)  _____ decision-making style have a low tolerance for ambiguity and are oriented toward task and technical concerns when making decisions.

Accepted Answer

A)  reasoning
B)  directive
C)  analytical
D)  conceptual
E)  behavioralF) A) and E)
G) None of the above

Question 13

Which of the following is an internal constraint of bounded rationality that reduces rational decision making?

Accepted Answer

A)  Employment levels in the community
B)  Human capital of the organization
C)  Government policies
D)  Capital availability
E)  Confirmation biasF) B) and D)
G) B) and E)

Question 14

Which of the following is true about intuition?

Accepted Answer

A)  An automated response represents a judgment that is based on a subconscious integration of information stored in memory.
B)  People relying on automated experiences make choices that based on explicit knowledge.
C)  A holistic hunch represents a choice that is based on a familiar situation and a partially subconscious application of previously learned information related to that situation.
D)  People using a holistic hunch may not be able to explain why they want to make a certain decision, except that the choice "feels right."
E)  Holistic hunches are decisions made based on previous familiar incidents.F) A) and C)
G) All of the above

Question 15

Computer-aided decision making increases consensus roadblocks.

Accepted Answer

A) True 
 B)False

Question 16

According to the concept of bounded rationality, capital availability is an internal constraint that reduces rational decision making.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following causes decision makers to satisfice?

Accepted Answer

A)  Confirmation bias
B)  Availability heuristics
C)  Sampling bias
D)  Optimizing
E)  Bounded rationalityF) A) and E)
G) B) and C)

Question 18

List the steps to be taken while conducting evidence-based decision making.

Accepted Answer

The evidence-based decision making model...

Question 19

The hindsight bias occurs when knowledge of an outcome influences our belief about the probability that we could have predicted the outcome earlier.

Accepted Answer

A) True 
 B)False

Question 20

List the important issues to be considered when using groups to make decisions.

Accepted Answer

There are five important issues to consi...

Exam 12: Individual and Group Decision Making

What is a judgmental heuristic? Describe the availability heuristic and the representativeness heuristic.

Correct AnswerverifiedJudgmental heuristics represent rules of...View AnswerShow Answer

Brainstorming is not appropriate for evaluating alternatives or selecting solutions.

Correct AnswerverifiedShow Answer

According to the decision tree which of the following questions necessitates that a manager considers the harm or cost of an action to shareholders against the costs or benefits to other key constituents?

Correct AnswerverifiedShow Answer

Which of the following is an internal constraint of bounded rationality that reduces rational decision making?

Correct AnswerverifiedShow Answer

Which of the following causes decision makers to satisfice?

Correct AnswerverifiedShow Answer

Which of the following steps in the rational model considers ethics, feasibility, and effectiveness of various choices?

Correct AnswerverifiedShow Answer

Mention a few steps to be taken to reduce the escalation of commitment in organizations.

Correct AnswerverifiedThe following actions are recommended to...View AnswerShow Answer

The _____ model proposes that managers use a four-step sequence when making decisions by identifying the problem, generating alternative solutions, selecting a solution, and implementing and evaluating the solution.

Correct AnswerverifiedShow Answer

Computer-aided decision making increases consensus roadblocks.

Correct AnswerverifiedShow Answer

Consensus requires unanimous agreements.

Correct AnswerverifiedShow Answer

The hindsight bias occurs when knowledge of an outcome influences our belief about the probability that we could have predicted the outcome earlier.

Correct AnswerverifiedShow Answer

List the steps to be taken while conducting evidence-based decision making.

Correct AnswerverifiedThe evidence-based decision making model...View AnswerShow Answer

The use of heuristics increases the uncertainty inherent within the decision-making process.

Correct AnswerverifiedShow Answer

According to the concept of bounded rationality, capital availability is an internal constraint that reduces rational decision making.

Correct AnswerverifiedShow Answer

Contrast the rational and the normative models of decision making. What are the assumptions of each?

Correct AnswerverifiedThe rational model of decision making pr...View AnswerShow Answer

People with a(n) _____ decision-making style have a low tolerance for ambiguity and are oriented toward task and technical concerns when making decisions.

Correct AnswerverifiedShow Answer

Which of the following is true about intuition?

Correct AnswerverifiedShow Answer

A decision tree is a graphical representation of the process underlying decisions and it shows the resulting consequences of making various choices.

Correct AnswerverifiedShow Answer

List the important issues to be considered when using groups to make decisions.

Correct AnswerverifiedThere are five important issues to consi...View AnswerShow Answer

Creativity is defined as the process of using imagination and skill to develop a new or unique product, object, process, or thought.

Correct AnswerverifiedShow Answer

Correct Answer
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Judgmental heuristics represent rules of...
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Correct Answer
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The following actions are recommended to...
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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The evidence-based decision making model...
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Correct Answer
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Correct Answer
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Correct Answer
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The rational model of decision making pr...
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Correct Answer
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Correct Answer
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Correct Answer
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There are five important issues to consi...
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Correct Answer
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