Mgmt Ch. 7
T/F: In deciding to decide, a manager agrees that he or she must decide what to do about a problem or opportunity and take effective decision-making steps.
True
Having a greater pool of knowledge, gaining different perspectives, gaining intellectual stimulation, having a better understanding of decision rationale, and having a deeper commitment to the decision are advantages of ____.
group decision making
When a manager is so frantic to get rid of the problem that he or she can't deal with the situation realistically, this is known as ____.
panic
To help with hiring decisions during peak seasons and holidays, Touching Cards uses time-series forecasts, like sales from last Valentine's Day and Christmas, to predict future sales based on patterns of historical data. This defines ___.
Analytics
Stores of data that are so vast that conventional database management systems cannot handle them, and very sophisticated analysis software and supercomputing-level hardware are required, are known as ____.
Big Data
T/F: Decision making is the process of identifying and choosing individuals who can assist with looking at alternative choices.
False
T/F: Evidence-based management is the use of facts regarding an employee, for example when theft is suspected, and using a database to assist in decision making regarding future action.
False
T/F: The local university is now facing some tough decisions, so they are using the decision tree, which contains individuals, web sites, and organizations that specialize in handling sensitive and difficult decisions.
False
In the third step of rational decision making (evaluating alternatives and select a solution), you need to evaluate each alternative not only according to cost and quality but also according to the following questions: _____
Is it ethical, feasible, and effective?
Anthony, the plant manager, was talking with another manager about Tim, the lead engineer in the corporate R & D department. Anthony remarked that "Tim is so bright, and is an expert in designing products. But like so many experts, he can't imagine what it's like to be as ignorant as the rest of us. I think at times, he cannot see things from an outsider's perspective." This is known as _____.
The curse of knowledge
T/F: Research shows that most managers have characteristics that fall into two or three decision-making styles, and that decision-making styles vary across occupations, job level, and countries.
True
Doug, a new manager, commented to a friend, "I am excited about different aspects of my new job. The company computers have entered the field of decision making. The network not only collects information more quickly, but the system also reduces the roadblocks when I need a group consensus." Doug is referring to _____.
a computer-aided decision-making system
A decision tree is ____.
a graph of decisions and their possible consequences
A technique used to help groups generate multiple ideas and alternatives for solving problems is known as _____.
brainstorming
Marie is a small-business owner who loves to take risks. She also enjoys going out and meeting customers and potential clients—the social aspect of her job. Marie relies on intuition and discussions with others to acquire information. As an interior decorator, Marie utilizes her imaginative strengths, taking a broad perspective to problem solving, and she likes to consider many options and future possibilities. Marie represents a person with a(n) _____ style.
conceptual
The prospect theory suggests that ____.
decision makers find the notion of an actual loss more painful than giving up the possibility of a gain
A computer-based information system that provides a flexible tool for analysis and helps managers focus on the future is known as a(n) _____.
decision support system
A graph of decisions and their possible consequences is a ______.
decision tree
The combination of how an individual perceives and responds to information is a reflection of their ____.
decision-making style
Analyzing the underlying causes is the process of ____.
diagnosis
Sam is the production manager of a busy shoe factory. He was chosen because prior to his promotion he had proven himself to be very efficient, and as a department manager he had a logical and practical approach to solving problems. Sam has a reputation for being decisive and getting things done. Most of the employees like Sam, but they feel his style is autocratic, as he likes to do things by the book. Sam represents a person with a(n) ______ style.
directive
Pat, the human resources manager, has significant experience handling ethical issues in the workplace. Over the years he has received extensive training in matters of workplace ethics, and with a legal background, the management of his company rely on Pat to assist them with legal issues, especially with ethical dilemmas. Pat is a good example of a(n) _____.
ethics officer
Scott has a bachelor's degree in ethics and human resources, and has extensive experience working with employees and managers regarding ethics, especially in the area of ethical dilemmas. With his background of dealing with legal issues, he has assisted extensively in determining if decisions are both ethical and lawful. With Scott's background, he is a top candidate for the company's new _____.
ethics officer
Regarding decision making, research has found that ____.
groups make better decisions than most individuals acting alone
Salvador, who works as a waiter in a top restaurant in Manhattan, likes the fast pace of his work and the fact that things are always changing there. Salvador can be said to _____.
have a high tolerance for ambiguity
Orlando, the manager of a camera store, believes that his store may be closed by corporate in the near future, so he cannot sleep well at night and he is dealing with severe anxiety, irritability, and has been ill several times this month. Several times Orlando has missed important details in his job, and he almost got in an automobile accident this morning. Orlando is experiencing ____.
panic
When confronted with a choice, people with strong prior beliefs tend to make their decisions based on their beliefs even if their beliefs are false. This is known as ____.
prior-hypothesis bias
In defensive avoidance, when a manager can't find a good solution, the manager follows with ____.
procrastination, passing the buck, or denying the risk of any negative consequences
Chad and his partner, John, have decided to update their computer network, although they have no expertise in this area. During a meeting with John, Chad commented that "Our decision is limited by numerous constraints, such as our understanding of the complexity of technology, time and money, imperfect information, and our conflicting goals." These limitations are hindrances to _____.
rational decision making
George, a longtime hotel manager, was meeting with Sally, a new manager, and telling her about a recent decision related to whether or not to fire a front desk employee who has had customer service issues. George discussed the four stages of the decision process. He said, "I first identified the problem, and then, I gathered alternative solutions. I then evaluated each choice and selected a solution. I then implemented my decision to add training. Finally, I followed up with an evaluation of what I set in place." With this decision, George is using the ______.
rational decision-making model
The model of decision making that explains how managers should make decisions, assuming managers will make logical decisions that will be the optimum in furthering the organization's best interests, is known as the ____.
rational decision-making model
Patricia is the owner of a floral shop. A successful global candle company approached her about selling its products in her shop. Patricia knows this product and company can help her exceed her existing goals. This defines a(n) ____.
opportunity
T/F: Donald, the owner of a popular restaurant, is a religious man, and he needs to make a decision on whether he will add beer and wine to his menu, based on the recommendations of his chefs and others. When confronted with a choice when making a decision, he tends to make his decisions based on his beliefs, even if evidence shows those beliefs are wrong. If his beliefs favor not serving alcohol in his café, according to the prior-hypothesis bias he would choose not to add beer and wine to his menu.
True
T/F: A logic manager is someone trained about matters of ethics in the workplace.
False
T/F: Being aware of your decision-making style does not really help a person determine his or her strengths and weaknesses as a decision maker, but it can help them understand when a decision needs to be made.
False
How high priority is this situation? How believable is the information about the situation? How quickly must I act on the information about the situation? These are three questions concerning ways to evaluate _____.
importance, credibility, and urgency
Sal has been in the landscaping business for over 40 years, and when Donovan, his business partner, suggested adding snow removal as an extra service, Sal responded with "My gut feeling is to say yes because of my experience in the past and what I have seen other companies do over the years, both successfully and not." Sal's response to Donovan is known as _____.
intuition
Roberta, the computer department manager at IT Mart, is considering if she should use a group to develop a plan to help employees sell extended warranties on technology sales. Roberta should consider having the group make this decision if ______.
it will increase acceptance of the plan
Patty, the CEO of an oil drilling company, and her top management team recently discovered that their facilities are damaging an Asian beach and the local wildlife. They understand that they need to decide if temporarily closing or not closing the facility is unethical. They then consider the four questions: Is not temporarily closing the facility legal? If yes, does this proposed action maximize shareholder value? If yes, is not temporarily closing the facility ethical? If no, would it be ethical not to take the proposed action? These are suggested questions according to _____.
Bagley's ethical decision tree
ABC Medical Technology, a fast-growing global research firm, has accumulated so much client information that conventional database management systems cannot handle its customer needs. Therefore, it purchased very sophisticated analysis software and supercomputing-level hardware. For the company's work with hospitals and university medical schools, ABC has been noted in publications as "real pioneers for innovation and productivity." This vast amount of data is known as ____.
Big Data
The process of studying large amounts of data of a variety of types to uncover hidden patterns, unknown correlations, and other useful information is known as ____.
Big Data analytics
T/F: During a management workshop, Tony, the HR manager, spoke about making decisions related to firing an employee. He said "I have several rules of thumb in which I use to make a decision. First, I ask if it's legal and then if it's ethical." He then laid out several other steps he uses in the decision-making process related to firing. Tony's rules of thumb are a strategy that he uses in this decision-making process, also known as heuristics.
True
T/F: Technology Specialists is an organization specializing in highly specialized technology software, but they found that their original business idea is not working. Rather than failing as a company, they chose a new direction and rewrote their business plan. Technology Specialists is an example of how managers need to think and act as if their organization is an unfinished prototype that won't be ruined by dangerous new ideas or it is impossible to change.
True
Greg, Donna, and Paul are on the five-member Benefits Task Force that is researching options for the new benefits package. Over lunch, Greg, Donna, and Paul decided that adding Choice Health Club is a good idea, and that they plan on voting to agree to add it without ever researching and accurately assessing the decision. This is an example of ____.
groupthink
The decision was made by BP and Halliburton executives regarding not taking action with the oil well blowout preventer that experts believe would have prevented the Deepwater Horizon oil rig explosion and fire off the coast of Louisiana, since company management believed that there would be no great negative consequences as a result of their decision. This is an example of ___.
relaxed avoidance
