Q&A Hero

Q: Which of the following group techniques allows group members to meet together, but at the same time facilitates independent decision making? A) brainstorming B) nominal group technique C) large meetings of over 50 individuals D) small meetings of less than 10 individuals

Q: Which of the following is NOT allowed in a brainstorming session? A) clear definition of the problem B) criticism or dismissal of poor ideas C) large number of alternatives D) recording of all alternatives

Q: Which of the following group techniques is relatively simple and is used exclusively to generate creative ideas in a group setting? A) brainstorming B) nominal group technique C) groupthink D) electronic meetings

Q: Which of the following is NOT a way to minimize groupthink? A) give the leader more power in making decisions B) encourage cohesion C) have an impartial leader D) foster open discussion

Q: Which of the following is NOT a factor that can increase the probability of groupthink? A) Influential group members dominate the discussion and the decision-making process. B) Group leaders stress the importance of consensus above all other concerns. C) The group has more than 40 group members. D) Group leaders solicit ideas from all group members without passing judgment on their ideas.

Q: Which of the following is a primary characteristic of groupthink? A) conflict among group members B) failure to reach consensus within a group C) complete conformity among group members D) candidness and openness within a group

Q: ________ can cause people in a group to fail to express their true opinions. A) Ambiguous responsibility B) Group imbalance C) Pressure to conform D) Years of experience

Q: Since all members of a group are rarely equal in status, most groups suffer from ________. A) minority domination B) majority domination C) too much diversity D) gridlock

Q: Groups decisions are usually ________ individual decisions. A) more efficient than B) less efficient than C) equal in efficiency to D) more efficient but less effective than

Q: What tends to be the most successful group size? A) ten to twenty-five B) five to seven C) twelve to twenty-five D) three to twelve

Q: Which of the following is a drawback to seeking diverse views in decision making? A) less reliable decision B) easier decision-making process C) more time consuming D) less time consuming

Q: Seeking the views of a diverse group of people can provide a decision maker with ________ on issues. A) fresh perspectives B) conventional wisdom C) universal agreement D) a foolproof way to get the perfect answer

Q: Decisions made by individuals typically suffer from suspicions that the decision maker ________. A) is dishonest B) is not rational C) did not try to analyze the situation D) did not consult all interested parties

Q: Group decision making typically increases the legitimacy of a decision because the decision was made ________. A) over a long period of time B) democratically C) by experts D) primarily by the group leader

Q: Group decisions generally feature ________ acceptance than decisions made by an individual. A) greater B) less C) neither greater nor less D) more enthusiastic

Q: One advantage of group decision making is that it usually provides ________ than individual decision making. A) faster decisions B) more ethical decisions C) less confusion D) more information

Q: The eight steps of decision making ________. A) can only be employed by individuals B) can only be employed in very small groups C) can be employed by individuals and groups D) can only be employed by groups

Q: Managers in organizations make group decisions ________. A) frequently B) never C) almost never D) rarely

Q: In a short essay, discuss the differences among a procedure, a rule, and a policy. Include specific examples of each to support your answer.

Q: A manager is more confident of his or her assessment of a situation if it involves risk rather than uncertainty.

Q: Uncertainty involves a situation in which the probability of a certain outcome is known to be small.

Q: Most managerial decisions include an element of risk.

Q: Managerial decisions are likely to become more programmed as managers rise in an organizational hierarchy.

Q: A highway speed limit is an example of a policy.

Q: Implementing a procedure requires more judgment and interpretation than implementing a policy.

Q: A rule is simpler than a policy or a procedure to implement.

Q: Programmed decisions tend to be routine.

Q: A key to what is commonly used to assess risk is for a decision maker to examine the ________ an investment. A) promises made by a company for B) ads posted by a company for C) historical data for D) minor details of

Q: A manager wants to invest in one of three start-up companies. All three of the companies seem to have a good business plan. None of the companies has a track record. The manager is operating under which condition? A) uncertainty B) certainty C) low certainty D) risk

Q: A manager has a choice of three bank CDs that pay different amounts of fixed interest over different time periods. The manager is operating under which condition? A) jeopardy B) certainty C) uncertainty D) risk

Q: A manager has a choice of three investment funds. To assess them, he looks at their past investment records over the previous five years. The manager is operating under which condition? A) certainty B) probability C) uncertainty D) risk

Q: A top-level manager is most likely to solve problems under which condition? A) certainty B) risk C) uncertainty D) high certainty

Q: A low-level manager is most likely to solve problems under which condition? A) certainty B) low risk C) uncertainty D) low certainty

Q: ________ is a situation in which a decision maker has incomplete information about outcomes and does not have the ability to reasonably estimate outcomes that are not known. A) Certainty B) Risk C) Uncertainty D) High certainty

Q: A retail clothing store manager who estimates how much to order for the current spring season based on last spring's outcomes is operating under what kind of decision-making condition? A) seasonal B) risk C) uncertainty D) certainty

Q: If a car buyer knows the inventory dealer price of the same car at different dealerships, he or she is operating under what type of decision-making condition? A) risk B) uncertainty C) certainty D) factual

Q: In a condition of certainty, ________. A) most outcomes are known B) the decision is already made C) all outcomes of all alternatives are known D) some alternatives are not known

Q: Which three conditions do decision makers face? A) certainty, risk, uncertainty B) certainty, uncertainty, confidence C) risk, high risk, low risk D) certainty, risk, high risk

Q: Top managers in an organization tend to ________. A) make programmed decisions B) solve structured problems C) make nonprogrammed decisions D) solve well-defined problems

Q: A judge consults guidelines before handing down an award for damages in a legal case. What kind of decision making is she doing? A) following a policy B) following a rule C) programmed D) following a procedure

Q: Which pair of terms is correctly matched up? A) structured problem, programmed decision B) structured problem, structured decision C) unstructured problem, programmed decision D) structured problem, nonprogrammed decision

Q: A football coach makes the decision to punt or not to punt on fourth down based on whether he is past his own 50-yard line. Which decision-making method does the coach use? A) a policy B) a hunch C) a procedure D) a rule

Q: Following the directions to put together an elliptical exercise machine is an example of which way to solve a problem? A) procedure B) rule C) general practice D) policy

Q: Which of the following is NOT a type of programmed decision? A) systematic procedure B) policy C) brainstorm D) rule

Q: Programmed decisions draw heavily on which of the following? A) mistakes made in the past B) past solutions that were successful C) past solutions that were unsuccessful D) innovative, new solutions

Q: Programmed decisions work well for solving ________. A) structured problems B) unstructured problems C) both structured and unstructured problems D) poorly defined problems

Q: Structured problems typically have ________ while unstructured problems typically have ________. A) only one solution; many solutions B) many solutions; one solution C) many solutions; fewer solutions D) two solutions; three solutions

Q: Which of the following is an example of an unstructured problem? A) finding the list price of different copy machines B) choosing the best wardrobe for an executive C) comparing gas mileage for different car models D) measuring pollution levels in a power plant

Q: Which of the following is an example of a structured problem? A) designing a new MP3 player B) hiring a lawyer C) deciding shipping options for a vacuum cleaner D) drafting a quarterback for a pro football team

Q: Unstructured problems are ________. A) perfectly rational B) clear and straightforward C) situations in which all options are known D) situations in which all options are not known

Q: Structured problems are ________. A) ambiguous B) undefined and vague C) clear and straightforward D) incomplete

Q: In a short essay, discuss the assumptions of rationality and the validity of those assumptions.

Q: In a short essay, discuss bounded rationality and satisficing.

Q: Personal judgments and emotions should always be strictly ignored in a decision-making process.

Q: The expression "throwing good money after bad" is an example of an escalation of commitment.

Q: Intuitive decision making should not be a part of a manager's decision-making process.

Q: Intuitive decision making is systematic, logical, and orderly.

Q: One assumption of bounded rationality is that managers usually attempt to make rational decisions.

Q: A synonym for the word satisfice is maximize.

Q: One assumption of bounded rationality is that managers can analyze all relevant information about all alternatives for a situation.

Q: Being completely rational is a realistic goal for today's managers.

Q: A rational decision will never fail to provide the best and most successful solution to a problem.

Q: Emotions and feelings ________ decision making. A) often have no effect on B) can improve C) always decrease performance in D) are more important than facts and logic in

Q: Which of the following is NOT a way in which intuition guides people who are making decisions? A) Intuition provides ethics and values guidelines. B) Intuition provides a formal analysis method. C) Intuition provides experiences to draw from. D) Intuition draws on knowledge, skills, and training.

Q: Intuitive decision making ________. A) should be avoided by managers in making day to day decisions B) is often described as conscious decision making C) can complement other decision making approaches D) takes more time than other approaches as it requires managers to shift through feelings and emotions and place them in context with actual facts.

Q: What percentage of managers typically use intuitive decision making rather than formal analysis to make decisions? A) 95% B) 75% C) 50% D) less than 10%

Q: Compared to fully rational decision making, what is a major advantage of intuitive decision making? A) total reliability B) fully quantified C) thoroughness D) speed

Q: Which model of decision making takes advantage of unconscious reasoning? A) rational B) nonrational C) intuitive D) factual

Q: Escalation of commitment can occur when people don't ________. A) want to make a decision B) want to admit that an earlier decision was flawed C) accept current conditions D) understand that conditions have changed

Q: Sticking to a decision despite evidence that it is a mistake is called ________. A) escalation of commitment B) escalation of rationality C) satisficing commitment D) error enhancement

Q: A person who satisfices fails to ________. A) maximize his or her decision B) understand his or her position C) accept the truth of a situation D) make any kind of decision

Q: Herbert Simon found that in making decisions, most people satisficed because they had limited ability to ________. A) be truthful and honest in situations that deal with other people B) think independently C) deal with difficult situations D) grasp present conditions and anticipate future conditions

Q: Which of the following is the best definition for the word satisfice? A) very satisfying B) not sufficient C) accepts a less than perfect solution D) requires a perfect solution

Q: Herbert Simon won the Nobel Prize in economics for his work in describing ________. A) how people spend money B) how most people are perfectly rational C) how people make decisions D) how people avoid decisions

Q: Neural networks outperform expert systems in uncovering ________. A) credit card fraud B) false positives for pregnancy C) potential credit card customers D) credit problems in bank mortgages

Q: Neural networks differ from expert systems in that they can ________. A) draw conclusions from data B) ask questions to the decision maker C) perform sophisticated calculations D) learn from experience

Q: Neural networks are able to outdo the performance of humans by ________. A) analyzing symbols B) handling up to three variables at once C) handling hundreds of variables at once D) reading facial expressions

Q: Expert systems are primarily used to help what kinds of decision makers? A) lower-level managers B) top managers C) senior managers D) experts

Q: Software programs that use a series of questions to aid humans in decision making are called ________. A) text reading software B) expert systems C) group systems D) support software

Q: Which term best characterizes a decision that has bounded rationality? A) virtually perfect B) rigorous and comprehensive C) not good enough D) just good enough