identifying trends that are different from the past can indicate a potential problem
historical cues
to forecast and anticipate problems, people consider different scenarios and then plan how they would handle those.
scenario technique
customers may complain about certain aspects of a product or service. if nothing is done in response to these complaints a company could miss out on an opportunity to prevent a brewing problem
perceptions of others
identifying and choosing solutions that lead to a desired result
decision making
rational model: logical 4 step approach to decision making
1. identifying the problem
2. generating alternative solutions
3. selecting solution
4. implementing and evaluating the solution
based on premise that decision making is not rational simons normative model and garbage can model
non rational models
based on premise that decision making is not rational - decision makers are guided by bounded rationality and is characterized by limited information processing and satisficing
simon's normative model of decision making
based on prmise that decision making is sloppy and haphazard
garbage can model
use information readily available in memory
availability heuristic
using similar situations to predict the occurence of an event
representativeness heuristic
decide before investigating then seek confirming evidence
confirmation bias
decisions are influenced by initial information, data, stereotypes
anchoring bias
tendency to be overconfident about estimates or forecasts
overconfidence bias
kowledge of an outcome influences our belief about the probability that we could have predicted the outcome earlier
hindsight bias
tendency to consider risks about gains differently than risks about losses
framing bias
tendency to stick to an ineffective course of action when it is unlikely that the bad situation can be reversed
escalation of commitment bias
implementing systems and practices that increase the sharing of knowledge and information throughout an organization
decision making
information gained through experience that is difficult to express and formalize
tacit knowledge
information that can be easily put into words and shared with others
explicit knowledge
A Decision Making Style: have a low tolerance for ambiguity and are task oriented. They are efficient and action oriented but tend to be autocratic
directive style
A Decision Making Style: have a higher tolerance for ambiguity and a tendency to overanalyze a situation. They tend to consider more information and take longer to make decisions but can be autocratic
analytic style
A Decision Making Style: have a high tolerance for ambiguity and tend to focus on the people or social aspects of work. They take a broad persepctive and like to consider numerous options, but can be indecisive when making decisions
conceptual style
A Decision Making Style: are the most people oriented of the four possibilities. They are supportive and receptive, but have a tendency to avoid conflict and to be too concerned about others
behavioral style
T/F groups are more efficient than individuals
false
T/F groups are more confident in their choices than individuals
Yes? but doesn't mean they had the best decision
T/F the larger the group the poorer the decision quality
true
When to use groups for decision making
if add'l info would increase quality
if acceptance is important
if people can be developed through their participation
process to generate a quantity of ideas where quantity is more important than quality, no criticism, build on others ideas, create status free environment
brainstorming
group meets to discuss a problem
individual generate ideas independently
everyone shares an idea from his/her list and they are recorded
group discusses all ideas
group members vote
nominal group technique
manager identifies an issue
questionnaire is sent to others and returned to manager
manager summarizes responds and sends feedback to participants
participants send their feedback and comments
cycle repeats until issue is resolved or all relevant info is gathered
delphi technique
thinking up new things
doing new things
creativity
innocation
creating something entirely new
creation
combining or synthesizing two existing things
synthesis
improving or changing things
modification
one party perceives its interests are being opposed or set back by another party
conflict
serves organization's interest - typicall issue focused and stimulates creativity
functional conflict
threatens organization's interests - typically person focused - breeds hostility - stifles communication
dysfunctional conflict
4 causes of conflicts
incompatible personalities or value systems
role ambiguity/overload
interdependent tasks
competition for limited resources
Desired conflict outcomes
agreement
stronger relationships
learning
outcome of conflict: desired because unresolved conflicts typically come back as problems in the future.
agreement
outcome of conflict: are desired because conflict that is resolved positively is more likely to lead to future interaction and information sharing between parties
stronger relationships
outcome of conflict: results from positively resolved conflict that helps shape our behaior and helps us grow as individuals
learning
three types of conflict
personality conflict
intergroup conflict
cross cultural conflict
someone challenges the group or decision makers on an existing or new proposed course of action
devils advocate
focuses on challenging assumptions and developing complee alternative solutions and debating them based on their merits
dialect approach
Five conflict handling styles
integrating
dominating
obliging
avoiding
compromising
the i win you lose perspective
dominating style
the I lose you win perspective
oblicing/accomodating style
I lose and you lose persective
avoiding style
you win I win perspective
integrating/collaborating style
Alfonso tends to be an agreeable person with a high need for affiliation. When he encounters conflict situations at work he is most likely to use which conflict management style:
E.
avoiding costly lawsuits by resolving conflicts informally or through medidation or arbitration
alternative dispute resolution
neutral third party guides parties to make a mutually acceptable solution
mediation
parties agree to accept the decision of the neutral arbitrator
arbitration
give and take process between conflicting interdependenet parties
negotiation
when the parties are take a win lose perspective based on the premise that whater you gain i lose and vice versa
distributive negotiation
people not taking stands or positions but instead focusing on their and the other party's underlying interests
integrative negotiation
Before entering a negotiation with a client over the price of his company’s service, Ben thinks about the client’s interests and his company’s interests. He then brainstorms several options that would satisfy both needs. The approach Ben is taking represents:
a.Integrative negotiation
b.Distributive negotiation
c.“I win, you lose” negotiation
d.Compromise negotiation
integrative negotiation
reflects the prominence of its brand in the minds of the public and the perceived quality of its goods and services
reputation
defined as the willingness to be vulnerable to a trustee based on positive expectations abou tthe authority's actions and intentions
trust
reflects the perceived fairness of an authority's decision making
justive
reflects the degree to which the behaviors of na authority are in accordance with generally accepted moral norms
ethics
means your personality traits include a general propensity to trust others
disposition based trust
means that trust is rooted in a rational assessment of the authority's trustworthiness
cognition based trust
means that it depends on feelings toward the authority that go beyond any rational assessment
affect based trust
a general expectation that the words, promises, and statements of individuals and groups can be relied upon
trust propensity
the characteristics or attributes of a trustee that inspire trust
trustworthiness
defined as the skills, competenciess, and areas of experties that enable an authority to be successful in some area
abiity
the believe that the authority wants to do good for the trustor apart from any selfish or profit centered motives
benevolence
the perception that the authority adheres to a set of values and principles that the trustor finds acceptable
integrity
the perceived fairness of decision amking outcomes
distributive justice
reflects the perceived fairness of decision making processes
procedural justice
procedural just rule: concerns giving employees a chance to express their opinions and views during the course of decision making
voice
procedural just rule: provides employees with a chance to request an appeal when a procedure seems to have worked ineffectively
correctability
procedural just rule: help ensure that procedures are neutral and objective
consistency, bias suppression, representativeness, and accuracy
reflects the perceived fairness of the treatemnt received by employees from authroities
interpersonal justice
pertains to whether authorities treat employees in a dignified and sincere manner
respect rule
reflcets whether authorities refrain from making improper or offensive remarks
propriety rule
sustained dislplay of hostile verbal and nonverbal behaviors excluding physical contact
abusive supervision
reflects the perceived fairness of the communications provided to employees from authories
informal justice
mandates that authorities explain decision making procedures and outcomes in a comprehensive and reasonable manner
justification rule
requires that those communications be honest and candid
truthfulness rule
occurs when an authority recognizes that a moral issue exists in a situation or that an ethical code or pronciple is relevant to the circumstance
moral awareness
captures the degree to which the moral issue has ethical urgency
moral intensity
captures the degree to which people chronically perceive and consider issues of morality during their experience
moral attentiveness
reflects the process people use to determine whether a particular course of action is ethical or unethical
moral judgement
argues that as people age and mature they move through several stages of moral development
cognitive moral development theory
reflects an authority's degree of commitment to the moral course of action
moral intent
relationships that are based on narrowly defined, quid pro quo obligations that are specified in advance and have an explicit repayment schedule.
economic exchange
relationships are based on vaguely defined obligations that are open-ended and long-term in their repayment schedule.