QMb3602

Question 1

What is exploration in research?

Answer 1

A highly unstructured type of research that is less costly than new research. Managers define plausible actions and categorize them as feasible or not.

Question 2

What is the anchoring trap in decision-making?

Answer 2

Giving disproportionate weight to the first information received.

Question 3

How can you avoid the anchoring trap?

Answer 3

Take a different perspective, think before asking, seek input, and avoid anchoring others.

Question 4

What is the status quo trap in decision-making?

Answer 4

The tendency to prefer staying the same even when better alternatives exist.

Question 5

How can you avoid the status quo trap?

Answer 5

Consider your objectives, know your options, don’t exaggerate switching costs, and don’t settle.

Question 6

What is the sunk cost trap?

Answer 6

Making decisions to justify past actions, even when they are no longer valid.

Question 7

How can you avoid the sunk cost trap?

Answer 7

Involve outsiders, accept mistakes, and allow room for failure.

Question 8

What is the confirming evidence trap?

Answer 8

Seeking information that supports one’s point of view while rejecting opposing information.

Question 9

How can you avoid the confirming evidence trap?

Answer 9

Consider all evidence, find a devil’s advocate, and avoid people who always agree with you.

Question 10

What is the framing trap?

Answer 10

The way a problem is stated influences decision outcomes.

Question 11

How can you avoid the framing trap?

Answer 11

Always reframe, think in neutral terms, and challenge each other’s frames.

Question 12

What is the overconfidence trap?

Answer 12

Trusting one’s own estimates too much.

Question 13

How can you avoid the overconfidence trap?

Answer 13

Look at extremes, challenge those extremes, and question estimates.

Question 14

What is the information overdose trap?

Answer 14

Failing to set limits on information, making it difficult to process relevant data.

Question 15

How can you avoid the information overdose trap?

Answer 15

Set a time limit for information gathering and aim for 70% confidence.

Question 16

What is the prudence trap?

Answer 16

Adjusting estimates excessively to be ‘on the safe side.’

Question 17

How can you avoid the prudence trap?

Answer 17

Aim for accuracy and ask others to do the same.

Question 18

What is the recallability trap?

Answer 18

Giving undue weight to recent dramatic events.

Question 19

How can you avoid the recallability trap?

Answer 19

Examine assumptions and check the facts.

Question 20

What are the three stakeholder perspectives?

Answer 20

1. Ethical Perspective – Businesses should treat all stakeholders fairly.
2. Separation Perspective – Managers should act in the best interest of shareholders.
3. Integrated Perspective – Businesses operate in a stakeholder environment and must consider all stakeholders.

Question 21

What is the DMAIC Model?

Answer 21

A structured problem-solving approach: Define, Measure, Analyze, Improve, Control.

Question 22

What happens in the Define phase of the DMAIC model?

Answer 22

Identify the customer, issue, problem, opportunity, goals, resources, and timeline.

Question 23

What happens in the Measure phase of the DMAIC model?

Answer 23

Establish metrics and measure baseline performance.

Question 24

What happens in the Analyze phase of the DMAIC model?

Answer 24

Compare current performance to the goal, identify variations, and investigate root causes.

Question 25

What happens in the Improve phase of the DMAIC model?

Answer 25

Develop gap-closure actions, test, and implement changes based on root cause analyses.

Question 26

What happens in the Control phase of the DMAIC model?

Answer 26

Standardize improvements to sustain gains.

Question 27

What is the 80/20 rule?

Answer 27

80% of outcomes come from 20% of causes.

Question 28

What is the 5 Why’s method?

Answer 28

Asking 'why?' multiple times to dig deeper into the root cause of a problem.

Question 29

What is the Fishbone Analysis?

Answer 29

A cause-and-effect diagram used to identify root causes of problems.

Question 30

What is descriptive analytics?

Answer 30

Gathering, organizing, and visualizing data to summarize past events ('what has happened?').

Question 31

What is predictive analytics?

Answer 31

Using historical data to predict future outcomes ('what could happen?').

Question 32

What is prescriptive analytics?

Answer 32

Using optimization and simulation algorithms to determine the best course of action ('what should we do?').

Question 33

What are the 5 V’s of big data?

Answer 33

Volume, Velocity, Variety, Veracity, and Value.

Question 34

What is a population in statistics?

Answer 34

All items of interest in a statistical problem.

Question 35

What is a sample in statistics?

Answer 35

A subset of the population used for analysis.

Question 36

What is cross-sectional data?

Answer 36

Data collected at a single point in time.

Question 37

What is the difference between primary, secondary, and tertiary data?

Answer 37

- Primary Data: Collected directly and unprocessed. - Secondary Data: Contains at least one level of interpretation of primary data. - Tertiary Data: Indexes, bibliographies, and finding aids.

Question 38

How do you determine the credibility of a secondary source?

Answer 38

Evaluate using a five-factor process: Purpose, Scope, Authority, Audience, and Format.

Question 39

What are decision variables?

Answer 39

Quantifiable characteristics used for decision-making, such as sales projections or reducing turnover costs.

Question 40

Ad Hoc

Answer 40

Means “for this specific purpose” Identifies patterns or trends in data

Question 41

Expo Facto

Answer 41

Means “after the fact” Research method that examines the causal relationship between independent and dependent variables when the researcher cannot control the independent variables.

Question 42

Tobias Smith is working with his company’s data to examine inventory information. His intent is to use the variable to express ratios on inventory turnover. Based on this description, what is the strongest level of measurement being used?

Answer 42

Ratio scale

Question 43

The time in hours spent sleeping per day is what kind of variable?

Answer 43

Continuous numerical

Question 44

Molly Nelson has been collecting temperatures in degrees Fahrenheit, daily over the past five spring season, to determine the optimal point to plant her heirloom tomatoes. Because the difference between each degree is the same, irrelevant of the temperature, this is what type of measurement?

Answer 44

Interval

Question 45

In big data, the most important aspect of any analytic initiative is ___.

Answer 45

Value

Question 46

What term refers to the credibility and quality of data?

Answer 46

Veracity

Question 47

When compiling data, it is important to know data comes in all types, forms, and granularity. This is known as:

Answer 47

Variety

Question 48

In a New York Times article, calls are being mounted to ease tech’s grip on personal data. The concern is that a handful of companies hold most of the data. The immense amount of data is called:

Answer 48

Volume

Question 49

Types of Management Questions:

Answer 49

Evaluation of Solution: How can we achieve the objectives we set? Choice of Purpose: What do we want to achieve? Troubleshooting: Why is our program not meeting its goals? Control: How well is our program meeting its goals?

Question 50

How can you address out-of-range data entry errors?

Answer 50

By clarifying the research question and ensuring ethical research design.