Chapter 7

Question 1

Two Types of Problems and Solutions

Answer 1

1) Structured Problems = Programmed Decisions

2) Unstructured Problems = Non-programmed Decisions

Question 2

Structured Problems

Answer 2

Ones that are familiar, straightforward, and clear with respect to information needs

Question 3

Programmed Decisions

Answer 3

Apply solutions that are readily available from past experiences to solve structured problems

Question 4

Unstructured Problems

Answer 4

Ones that are full of ambiguities and information deficiencies

Question 5

Non-programmed Decisions

Answer 5

Apply a specific solution to meet the demands of a unique problem

Question 6

Crisis Decisions

Answer 6

A crisis involves an unexpected problem that can lead to disaster if not resolved quickly and appropriately

Question 7

Types of Decision-Making Environments

Answer 7

1) Certain Environment
2) Uncertain Environment
3) Risk Environment

Question 8

Certain Environment

Answer 8

Offers complete information on possible action alternatives and their consequences

Question 9

Risk Environment

Answer 9

Lacks complete information, but offers probabilities of the likely outcomes for possible action alternatives

Question 10

Uncertain Environment

Answer 10

Lacks so much information that it is difficult to assign probabilities to the likely outcomes of alternatives

Question 11

Criteria for Evaluating Information

Answer 11

• Time
• High Quality
• Complete
• Relevant
• Understandable