Flashcards in Chapter 7 Quiz Deck (20)
Dwight, a hotel general manager, is having serious problems—a substance abuse issue—with one of his housekeeping employees. He knows that because of the seriousness of the issue he needs to talk with the employee. However, his assistant manager asks Dwight if he would like him to deal with it. Dwight knows this is not the best option, but agrees, knowing it is the easy way out. This is an example of _____.
In relaxed change, a manager realizes that complete inaction will have negative consequences but opts for the first available alternative that involves low risk.
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 _____.
Gregory was talking with Tom, his assistant manager, saying, "When I make a decision on which employee to pick to do a project, I use three simple factors, which I call my decision making "rules of thumb." I consider their attitude and knowledge, and how hard they work." Gregory's rules of thumb, which he uses in decision making, are known as _____.
Heuristics are rules of thumb, or strategies, that simplify the process of making decisions.
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.
With the community interested in eating healthy, Sue Ellen, a restaurant owner, is considering adding more vegetarian dishes to her menu. This decision is uncertain and risky, and she finally decides to go with her gut feelings. This is an example of _______.
nonrational decision making
Dave is a salesperson who takes a long time to make decisions. He loves sales because he responds well to the pressure he faces in the many new or uncertain situations as a salesperson. Like most successful salespeople, he is high in his tolerance for ambiguity. Dave represents a person with a(n) _____ style.
Olivia, the owner of a small city newspaper, started her business two years ago, believing that there was still enough demand for her product. However, because people are busy and with the availability of news online, she has seen the demand for her paper drop steadily. Olivia made a decision to change the original direction of the company and focus more on an Internet news service. By demonstrating that managers need to think and act as if their company is an unfinished prototype, won't be ruined by new ideas and focusing on facts, Olivia is relying on _____.
evidence-based decision making
The Safety Committee at Office Supply Mart was formed to help make the stores a safer place, and some of the suggestions were going to be costly. However, when the vice president of accounting announced the recent report on company profits were much lower than expected, a new secondary goal was established to meet new profit expectations. Having to consider this new goal as a committee is an example of ____.
Although the primary task of the meeting may be to solve a particular problem, other considerations may rise. Goal displacement occurs when the primary goal is subsumed by a secondary goal.
Paul, the store manager, recently had to fire Sue, an employee who graduated from North College. He felt that Sue was not well trained at her school. So when Steven, also a graduate from North College, applied for Sue's old position, he did not want to consider hiring him, feeling Steven also probably did not receive the proper training. Paul was affected by _____ bias.
Representativeness bias is the tendency to generalize from a small sample or a single event. The bias here is that just because something happens once, that doesn't mean it is representative, or that it will happen again or will happen to you.
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 ____.
Is the proposed action legal? If yes, does the proposed action maximize shareholder value? If yes, is the proposed action ethical? If no, would it be ethical not to take the proposed action? These are four questions that managers of all organizations should ask when confronted with a decision on an action according to _____.
Bagley's ethical decision tree
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.
A person with a directive style has low tolerance for ambiguity and tends to focus on tasks and technical concerns in the workplace. He or she tends to be autocratic, to exercise power and control, and to focus on the short run.
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
Susanne, the CEO of national IT manufacturer, was approached by Simple Phones, a new company that is marketing a new type of phone, to partner with the company on a project. The partnership is uncertain since the company and technology are new. Susanne is uncertain what to do because she is limited by numerous constraints, such as the uncertainty and complexity of the technology, the management success of Simple Phones, and time, since other companies are interested in the partnership. This is an example of _____.
The bounded rationality concept suggests that the ability of decision makers to be rational is limited by numerous constraints, such as complexity. The problems that need solving are often exceedingly complex, beyond understanding.
Goal displacement, satisficing, and groupthink are ____.
disadvantages of group decision making
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 ____.
A technique used to help groups generate multiple ideas and alternatives for solving problems is known as _____.
In the political ads for Representative Joe Smith, the Democratic candidate, he is portrayed by the Republican-sponsored ads as being dishonest and poor at his job. Yet, the ads for Joe Smith, which are paid for by the Democratic supporters, describe him as being caring, honest, and a hard worker. The sponsors of these advertisements know that ads can affect whom voters choose on Election Day. This tendency of decision makers, the voters in this case, to be influenced by how a situation or problem is presented to them is known as ____.
Readily available information may not present a complete picture of a situation due to ____.