MAN3025 Smartbook Chapter 7

Which of these is another term for hindsight bias?

"I knew it all along" effect

What are symptoms of groupthink? (Choose every correct answer.) Multiple select question. - An illusion of unanimity - A sense of individual independence - A sense of invulnerability - Rationalization

- An illusion of unanimity - A sense of invulnerability - Rationalization

Which of the following business needs are typically supported by artificial intelligence? (Choose every correct answer.) Multiple select question. - Analyzing data - Engaging customers and employees - Automating business processes - Interviewing potential job candidates

- Analyzing data - Engaging customers and employees - Automating business processes

Successful implementation of major decisions requires which of the following? (Choose every correct answer.) Multiple select question. - Reliance on the easy way out of the problem - Careful planning - Sensitivity to those affected by the decision - Ignoring ethical dilemmas

- Careful planning - Sensitivity to those affected by the decision

Which of the following are the top challenges associated with AI? (Choose every correct answer.) Multiple select question. - Enhanced decision making - Data issues - Implementation - Cost

- Data issues - Implementation - Cost

Which of these are reasons for the increase in ethical violations among business leaders in the 21st century? Multiple select question. - Digital communications increase exposure to risk from both hackers and whistle-blowers. - Companies are expanding operations into developing countries where ethical risks may be higher and laws less protective. - More flexible regulations. - It has become customary for business leaders to self-report unethical behavior.

- Digital communications increase exposure to risk from both hackers and whistle-blowers. - Companies are expanding operations into developing countries where ethical risks may be higher and laws less protective.

What are the four general styles of decision making associated with a person's value orientation and tolerance for ambiguity? (Choose every correct answer.) Multiple select question. - Directive - Collaborative - Analytical - Behavioral - Formative - Conceptual

- Directive - Analytical - Behavioral - Conceptual

What are common results of groupthink? Multiple select question. - Failure to consider new information - Loss of new ideas - Ideas that are too ambitious or unorthodox - Infighting and conflict

- Failure to consider new information - Loss of new ideas

Which of the following career-readiness competencies relate to evidence-based decision making? Multiple select question. - Social intelligence - Information technology application - Self-motivation - Critical thinking and problem solving - Computational thinking

- Information technology application - Critical thinking and problem solving - Computational thinking

Which of these characteristics are associated with someone with a high tolerance for ambiguity? (Choose every correct answer.) Multiple select question. - Feeling stressed or anxious in strange situations - Lacking a strong need for control - Thriving in uncertain situations - Desiring a high degree of structure

- Lacking a strong need for control - Thriving in uncertain situations

Which of these assumptions are made in the rational model of decision making? Multiple select question. - Managers will not be limited by time or money constraints when implementing the chosen solution. - Managers will always select the course of action that they know will most benefit the organization. - Managers have complete, error-free information about alternative courses of action and their consequences. - Managers are able to make logical decisions without prejudice or emotional blind spots. - Managers will be influenced by their own self-interest when choosing among alternative courses of action.

- Managers will always select the course of action that they know will most benefit the organization. - Managers have complete, error-free information about alternative courses of action and their consequences. - Managers are able to make logical decisions without prejudice or emotional blind spots.

A recent survey of U.S. companies showed that most companies use AI to do which of the following? (Choose every correct answer.) Multiple select question. - Replace employees - Optimize internal processes - Make more effective decisions - Enhance current offerings

- Optimize internal processes - Make more effective decisions - Enhance current offerings

Which of the following applications of big data are typically used by employees at the lower managerial level of an organization? (Choose every correct answer.) Multiple select question. - Safeguarding data - Presenting data to executives - Making data-driven decisions and strategizing - Analyzing data

- Safeguarding data- - - Analyzing data

Which of the following are examples of what can function as the first stage in rational decision making by managers? - Sales shortfalls - Poor product quality - Customer complaints - Low staff turnover

- Sales shortfalls - Poor product quality - Customer complaints

Which of the following are examples of big data? (Choose every correct answer.) Multiple select question. - Social network communications - Web-browsing data trails - Surveillance data - Unrecorded customer interactions - Data in corporate databases

- Social network communications - Web-browsing data trails - Surveillance data - Data in corporate databases

Which of the following are ways in which artificial intelligence is expected to improve the interactions between businesses and employees or consumers? (Choose every correct answer.)

- Tailoring products to the personal needs and preferences of individual consumers - Reducing work demands and freeing up more time for family or leisure

Which of the following is an accurate description of decision making? Multiple choice question. - The act of implementing a plan that has already been conceived - The process of identifying and choosing alternative courses of action - The procedure of explaining a choice that has been made - The process of analyzing the underlying causes of a situation

the process of identifying and choosing alternative courses of action

Which model of decision making explains how managers should use logic to determine the optimal means of furthering the organization's best interests?

the rational model

According to Bagley, what should businesspeople use as a guide for making good ethical decisions?

their own sense of right and wrong

In what way is artificial intelligence expected to help businesses with enhanced decision making?

By impacting the precision, speed, and credibility of decisions related to products and operations

Which one of the following best describes the decisions made by a person with an analytical style?

Carefully considers lots information and alternatives

Which of the following is the newest and least common type of AI used for business needs?

Customer and employee engagement

Which application of big data is typically used by employees at the top managerial level of an organization?

Influencing others to support data-driven decisions

Which of the following questions would you use to evaluate alternatives in the third stage of the rational model of decision making? Multiple select question. Is it creative? Is it feasible? Is it ultimately effective? Is it ethical? Is it profitable?

Is it feasible? Is it ultimately effective? Is it ethical?

"Close enough is good enough" best characterizes which model of decision making?

Satisficing

What are appropriate actions for a manager to take if a decision is not working as intended? (Choose every correct answer.) Multiple select question. Blame others. Try another alternative. Deny there is anything wrong. Change it slightly. Give it more time. Start over.

Try another alternative. Change it slightly. Give it more time. Start over.

Which of the following is the best diagnostic question for an organization practicing evidence-based decision according to Jeffrey Pfeffer and Robert Sutton?

What happens when people fail?

When are directors, managers, and employees most likely to engage in unethical behavior?

When they feel compelled to put company interests ahead of their own sense of right and wrong

An individual with a high tolerance for ambiguity would most likely be attracted to which style of decision making?

analytical

When making decisions for her department, Ellie tends to take a long time because she takes into consideration a large amount of information. What type of decision-making style does Ellie demonstrate?

analytical

Samantha had never traveled to New York City before, but she had been on a recent business trip to Houston. When she learned that the hotel room she wanted in New York City cost $300 per night, she was shocked because she thought the hotel rooms would be priced similarly to those in Houston. This is an example of the ______ bias

anchoring and adjustment

What type of bias refers to the tendency to make decisions based on an initial figure that may or may not be in line with market realities?

anchoring and adjustment

Rather than holding formal meetings in the board room, Kevin prefers meeting with his group over lunch at a restaurant. He feels that his group opens up more during these lunches and opinions are openly exchanged. Which style of decision making does Kevin use?

behavioral

Which decision-making style is the most people oriented of the four styles?

behavioral

Stores of data that are so large or complex that it is difficult to process them using traditional database management applications are known as ______.

big data

The concept that suggests that the ability of decision makers to be rational is limited by constraints such as complexity, skills, time, and money is known as _____________ rationality.

bounded

Which type of bias is described by the tendency of decision makers to classify people or information based on observed or inferred characteristics?

categorical thinking

Sam follows Fox News Channel on Facebook so she can occasionally see news from a viewpoint that contrasts with the posts on her regular Newsfeed. As a result, Facebook mislabels Sam as "conservative." What is this an example of? Availability bias Sunk-cost bias Categorical thinking bias Representative bias

categorical thinking bias

Which decision-making style is characterized by a high tolerance for ambiguity and the consideration of many options together with a willingness to take risks? Multiple choice question. - Behavioral - Conceptual - Analytical - Directive

conceptual

"Don't tell me the truth; just tell me what I want to hear" is an example of the ______ bias.

confirmation

A _____ is a choice made from available alternatives.

decision

A graph of decisions and their possible consequences used to create a plan is known as a(n) ______.

decision tree

Conducting a(n) ______ involves analyzing the underlying causes of a problem or an opportunity.

diagnosis

Kendall is frustrated with her co-worker Jill. She feels that Jill doesn't care that their manager seems to be showing favoritism toward the two other members of their team. Jill just focuses on the work she is supposed to do, which demonstrates her ______.

directive

People with a(n) ______ decision-making style have a low tolerance for ambiguity and are task oriented. They are efficient, logical, and practical in their approach to solving problems and making decisions. Which style do they use?

directive

People with the ______ style of decision making are action oriented and like to focus on facts. They also tend to be autocratic-type managers.

directive

Goal ______ occurs when the primary goal is subsumed by a secondary goal. Multiple choice question.

displacement

What is the most valuable competitive resource for a manager who needs alternative solutions to a problem?

employees with ideas

"Throwing good money after bad" characterizes the ______ bias.

escalation of commitment

When decision makers increase their commitment to a project despite negative information about it, they are experiencing which type of bias?

escalation of commitment

When using the ethical decision tree, management should consider whether a proposed action is both legal and ______.

ethical

Someone who is trained about matters of ethics in the workplace, particularly about resolving ethical dilemmas, is called a(n) ______.

ethics officer

What is the third stage of the rational model of decision making?

evaluate alternatives and select a solution

Bob was unsure how his boss was going to react to his proposal, so he was careful to put an upbeat "spin" on the situation to emphasize the positive aspects rather than the negative aspects. Bob's method of presenting the situation demonstrates the ______ bias.

framing

The tendency of decision makers to be influenced by the way a situation or problem is presented to them is referred to as the___________ bias.

framing

During which of the following is positive team spirit and striving for unanimity most likely to lead to poor decision making? Multiple choice question. - Satisficing - Groupthink - Goal displacement - Brainstorming

groupthink

Lower-level managers often focus on analyzing and safeguarding data, which require the ______ career readiness competencies of computational thinking and information technology application.

hard

______ are strategies such as "rules of thumb" that simplify decision making.

heuristics

In general, managers are most likely to tolerate unethical behavior among which of the following groups of employees?

high-performing salespeople

The tendency of people to view events as being more predictable than they really are is referred to as__________ bias.

hindsight

What is the name for an intuitive decision based on a person's years of experience with similar situations?

holistic hunch

A person's decision-making style is a combination of how a person perceives something as well as ______.

how they respond to it

What is defined as an extreme and inflated sense of pride, certainty, and confidence?

hubris

The first stage in the rational decision-making process involves ______.

identifying the problem

In the fourth stage of rational decision making, managers will ______.

implement and evaluate the chosen solution

The most cited challenge to artificial intelligence (AI) is:

implementation

Which of the following is an advantage of group decision making?

intellectual stimulation

"Going with your gut," or ______, is making a choice without the use of conscious thought or logical inference.

intuition

One method of reducing the escalation of commitment is to measure performance against which metric? Multiple choice question. - Ideal performance targets - Industry leader performance - Minimum performance targets - Next-closest-competitor performance

minimum performance targets

Which models are characteristic nonrational models of decision making?

models that describe how managers ACTUALLY make decisions

Evidence-based decision relies on ______.

observations about what actually works

Situations that present possibilities for exceeding existing goals are known as ______.

opportunities

The ______ bias occurs when people's positive feelings about their own decision-making ability is greater than their objective accuracy.

overconfidence

One obstacle to making evidence-based decisions is that stories are often more ______ than evidence.

persuasive

A data-mining technique used to predict future behavior and anticipate the consequences of change is known as _______ analytics.

predictive

The rational model of decision making is considered ______ in that it describes how managers should make decisions rather than how they actually make them.

prescritptive

Evidence-based management attempts to introduce which factor into the decision-making process?

rationality

The ______ bias reflects our tendency to generalize from a small sample or single event.

representativeness

A manager who hires all applicants who have graduated from a certain college because a particularly good employee came from that same college is an example of ______.

representativeness bias

Which model of decision making emphasizes choosing the first solution that meets the criteria rather than the optimal choice?

satisficing

Heuristics are strategies that ______ the process of making decisions.

simplify

The ______ bias is demonstrated when managers add up all the money already spent on a project and conclude it is too costly to simply abandon it.

sunk-cost

You go to the movie theater to see the latest release by your favorite actor. You quickly realize the movie is not very good, but instead of walking out, you stay to watch the rest of the movie, figuring that you've already spent $9.50 for a movie ticket and $6 for popcorn. This is an example of the ______ bias.

sunk-cost

Which model of decision making acknowledges that uncertainty and risk make it difficult for managers to make optimal decisions?

the non rational model

When Kendra's manager asked the team to come up with new ideas for attracting people to their trade show booth, Kendra suggested installing a video game in the booth. Which part of the rational decision-making process does Kendra's idea exemplify?

think up alternative solutions

Which of the following is a primary use of AI among U.S. companies?

to gain competitive advantage

Which personality dimension indicates the extent to which a person has a high need for structure or control in his or her life?

tolerance for ambiguity

The results of rational decision making should be evaluated because things may occur that were not foreseen, a "law" in economics known as the Law of ______ Consequences.

unintended

Kendall is frustrated with her co-worker Jill. She feels that Jill doesn't care that their manager seems to be showing favoritism toward the two other members of their team. Jill just focuses on the work she is supposed to do, which demonstrates her ______.

value orientation

Which of the following are ways in which artificial intelligence is expected to improve the interactions between businesses and employees or consumers? (Choose every correct answer.) Multiple select question. - Tailoring products to the personal needs and preferences of individual consumers - Eliminating the hierarchy of authority in favor of a "flat" organizational structure - Making all critical decisions for consumers - Reducing work demands and freeing up more time for family or leisure

- Tailoring products to the personal needs and preferences of individual consumers - Reducing work demands and freeing up more time for family or leisure

Which of these are examples of business analytics? Multiple select question. - Time-series forecast - Groupthink - Portfolio analysis - Marketing plans - Advertising campaigns

- Time-series forecast - Portfolio analysis

In which of the following ways are companies using AI to help with customer and employee engagement? (Choose every correct answer.) Multiple select question. - To answer technical support questions - To take specialty product orders - To assist with password reset requests - To address product and service issues

- To answer technical support questions - To assist with password reset requests - To address product and service issues

Which of these are part of the seven implementation principles of evidence-based decision making? (Choose every correct answer.) Multiple select question. - Don't worry about what outsiders think. - Treat your organization as an unfinished prototype. - If all else fails, slow the spread of bad practice. - Like everything else, you still have to sell it.

- Treat your organization as an unfinished prototype. - If all else fails, slow the spread of bad practice. - Like everything else, you still have to sell it.

Which of these are part of the seven implementation principles of evidence-based decision making? (Choose every correct answer.) Multiple select question. - Treat your organization as an unfinished prototype. - If all else fails, slow the spread of bad practice. - Like everything else, you still have to sell it. - Don't worry about what outsiders think.

- Treat your organization as an unfinished prototype. - If all else fails, slow the spread of bad practice. - Like everything else, you still have to sell it.

Which of the following career readiness competencies are typically exhibited by middle managers? (Choose every correct answer.) Multiple select question. - Information technology application - Understanding the business - Leadership - Oral/written communication - Decision making

- Understanding the business - Oral/written communication - Decision making

Decision-making styles vary along which two dimensions? (Choose every correct answer.) Multiple select question. - Defensive avoidance - Value orientation - Risk multiplication - Tolerance for ambiguity

- Value orientation - Tolerance for ambiguity

Which of the following are examples of big data? (Choose every correct answer.) Multiple select question. - Web-browsing data trails - Surveillance data - Data in corporate databases - Unrecorded customer interactions - Social network communications

- Web-browsing data trails - Surveillance data - Data in corporate databases - Social network communications

Hubris is an extreme sense of which of the following? Multiple select question. - Confidence - Pride - Justice - Uncertainty

- pride - confidence

What is the most common type of AI used today?

Automated business processes

Select the reasons it can be difficult to make evidence based decisions. (Choose every correct answer.) Multiple select question. - There is not enough good evidence. - Objective data is often misleading. - Clear statistics are readily available. - People are trying to mislead you. - There is too much evidence.

There is not enough good evidence. People are trying to mislead you. There is too much evidence.