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BUSI 5301 Chapter 11
Decision Making Processes
25
Business
Undergraduate 4
04/14/2017

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Term
bounded rationality perspective
Definition
how decisions are made when time is limited, a large number of internal and external factors affect a decision, and the problem is ill-defined
Term
Carnegie model
Definition
organizational decision making involving many managers and a final choice based on a coalition among those managers
Term
coalition
Definition
an alliance among several managers who agree through bargaining about organizational goals and problem priorities
Term
contingency decision-making framework
Definition
a perspective that brings taught the two organizational dimensions of problem consensus and technical knowledge about solutions
Term
decision learning
Definition
a process of recognizing and admitting mistakes and allows managers and organizations to acquire the experience and knowledge to perform more effectively in the future
Term
escalating commitment
Definition
persisting in a course of action when it is failing; occurs because managers block or distort negative information and because consistency and persistence are value in contemporary society
Term
garbage can model
Definition
model that describes the pattern or flow of multiple decisions within an organization
Term
high-velocity environments
Definition
industries in which competitive and technological change is so extreme that market data are either unavailable or obsolete, strategic windows open and shut quickly, and the cost of a decision error is company failure
Term
imitation
Definition
the adoption of a decision tried elsewhere in the hope that it will work in the present situation
Term
incremental decision process model
Definition
a model that describes the structure sequence of activities undertaken from the discovery of a problem to its solution
Term
inspiration
Definition
an innovative, creative, solution that is not reached by logical means
Term
intuitive decision making
Definition
the use of experience and judgement, rather than sequential logic or explicit reasoning, to solve a problem
Term
management science approach
Definition
organizational decision making that is the analogue to the rational approach by individual managers
Term
non-programmed decisions
Definition
novel and poorly defined, these are made when no procedure exists for solving the problem
Term
organizational decision making
Definition
the organizational process of identifying and solving problems
Term
organized anarchy
Definition
extremely organic organizations characterized by highly uncertain conditions
Term
point-counterpoint
Definition
a decision-making technique that divides decision makers into two groups and assigns them different, often competing, responsibilities
Term
problem consensus
Definition
the agreement among managers about the nature of problems or opportunities and about which goals and outcomes to pursue
Term
problem identification
Definition
the decision-making stage in which information about environmental and organizational conditions is monitored to determine if performance is satisfactory and to diagnose the cause of shortcomings
Term
problem solution
Definition
the decision-making stage in which alternative courses of action are considered and one alternative is selected and implemented
Term
problemistic search
Definition
when managers look around in the immediate environment for a solution to resolve a problem quickly
Term
programmed decisions
Definition
repetitive and well-defined procedures that exist for resolving problems
Term
rational approach
Definition
a process of decision making that stresses the need for systematic analysis of a problem followed by choice and implementation in a logical sequence
Term
satisficing
Definition
the acceptance by organizations of a satisfactory rather than a maximum level of performance
Term
technical knowledge
Definition
understanding and agreement about how to solve problems and reach organizational goals
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