Management Ch 7

Policy-Based Analysis

Policy-based analysis means to look at specific policies that could be contributing to undesirable effects.

Prior-Hypothesis Bias

Prior-hypothesis bias is when a decision is made based on beliefs or assumptions despite evidence to the contrary.

Production Blocking

Production blocking is the loss of productivity during a brainstorming session because individuals are overwhelmed by the number of possibilities being generated.

Programmed Decisions

Programmed decisions are based on pre-established rules in response to a recurring situation.

Certainty

Certainty is a situation in which a decision maker knows all alternatives and their outcomes.

Classical Model

Classical model of decision making is a normative model of decision making that leads to an optimum decision, assuming full availability of information, sufficient time, and rationality of the decision maker.

Adaptive Management

Adaptive management requires managers to use critical thinking, collaboration, and reflection skills to make nonprogrammed decisions.

Administrative Model

Administrative model of decision making recognizes the limits of information, time, and individuals and seeks a satisficing rather than an optimum solution.

Ambiguity

Ambiguity occurs when information about the situation, goals, or criteria is incomplete or can be interpreted in multiple ways.

Balancing Correction

Balancing correction is a system behavior in which long-term problems are created through short-term fixes.

Bounded Rational

Bounded rational decision making that is limited by time, cognitive abilities, and available information.

Brainstorming

Brainstorming means creating as many alternatives as possible, without making value judgments about any idea.

Delphi Technique

Delphi technique is a method of decision making in which a group of experts propose and question ideas until a consensus is reached.

Groupthink

Groupthink is an unconscious mode of group decision making in which individuals prioritize agreement over analysis

Heuristics

Heuristics is a set of informal rules used to simplify and expedite the decision-making process also referred to as "rules of thumb."

Illusion of Control

Illusion of control is overestimating one's ability to control events and activities.

Nominal Group Technique (NGT)

In Nominal group technique (NGT) individuals rate proposed solutions and the total tally determines the final decision.

In Dialectical Inquiry

In dialectical inquiry a proposal and a conflicting counterproposal are given equal consideration.

Intuitive Decision

Intuitive (also known as, "gut") decisions are based on feelings, previous experience, and existing knowledge.

Nonprogrammed Decisions

Nonprogrammed decisions are based on reason and/or intuition in response to a unique situation that requires a tailored decision.

Optimum Decision

Optimum decision is the best possible decision given all the needed information.

Reasoned Judgement

Reasoned judgment is a decision based on extensive information gathering, careful analysis, and generation of alternatives.

Reinforcing Engine

Reinforcing engine is a system behavior indicative of growth coupled with an unintended consequence in another part of the system.

Representative Bias

Representative bias means generalizing from too small a sample size.

Risk

Risk is the degree to which the outcomes of an alternative can be predicted.

Satisficing

Satisficing process balances time, information, and the team's ability to consider and implement alternatives.

Symptomatic Effects

Symptomatic effects are observable behaviors related to underlying causal variables.

Uncertainty

Uncertainty occurs which is a situation in which a decision maker does not know all the alternatives and their outcomes.

Underlying Causes

Underlying causes are the behaviors that lead to a desired or undesired symptomatic effect.