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Flashcards in Chapter 4 Deck (10):
1

What are the Assumptions of the Rational Model?

  • Complete Information: Obtain complete, error-free information about all alternative courses of action and the accompanying consequences
  • Objective Analysis: Logical evaluations and ranking alternatives from best to worst according without subjectivity
  • In Interest of the Organisation: Best future course of action that benefits the company the most

2

What is the 1st stage of the 4 Stages of Rational Decision Making?

Stage 1: Identify the Problem or Opportunity

  • Determining the Actual vs the Desirable

 

3

What is the 2nd stage of the 4 Stages of Rational Decision Making?

Stage 2: Think up Alternative Solutions

  • Lists all possible Obvious and Creative Solutions
  • Requires brainstorming

4

What is the 3rd stage of the 4 Stages of Rational Decision Making?

Evaluate Alternatives & Select a Solution

  • Ethical, feasible, effective
  • Most time-consuming stage

5

What is the 4th stage of the 4 Stages of Rational Decision Making?

Stage 4: Implement & Evaluate Chosen Solution

  • Plan carefully, being sensitive to those affected
  • Give time and if necessary, change, try other solutions or start over

6

What are the Advantages to Group Decision Making?

  1. Greater Pool of Knowledge
  2. Different Perspectives
  3. Intellectual Stimulation
  4. Better Understanding of Decision Rationale
  5. Deeper Commitment to Decision

7

What are the Disadvantages to Group Decision Making?

  1. Dominating/Intimidating Members
  2. Groupthink
  3. Satisficing
  4. Goal Displacement

8

In relation to the Disadvantages of Group Decision Making,

 

Define Groupthink

  • When group members strive to agree for the sake of unanimity instead of accurately assessing the situaiton
  • Group harmony occurs at the expense of sound judgement
  • Can happen when the team is cohesive, leading to self-censorship or mindguards

9

In relation to the Disadvantages of Group Decision Making,

 

Define Satisficing

  • Making a 'good enough' (satisfactory but not optimal) decision quickly
  • Avoidance of an in-depth discussion, in order to cut the meeting short

10

In relation to the Disadvantages of Group Decision Making,

Give an example of Groupthink

  • Challenger explosion was caused by:
    • Hardware failure of a SRB O-ring
    • Flawed decision by NASA
  • The day prior, NASA received a warning from Thiokol - the subcontractor responsible for the development of the O-rings
  • The abnormally cold temperatures on the launch date could threaten their performance
  • NASA had already delayed the launch for weather once and thus, were reluctant
  • NASA chose to rely on test results on the O-rings despite Thiokol's warning that the system was also unreliable
  • Pressures were put on Thiokol engineers to conform to NASA's desire to launch, so they asked to hold a private meeting
  • Within five minutes, Thiokol agreed, without any further objections, to proceed with the launch

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