Reference no: EM132287616
1. Mikaela attends a Zumba class every Tuesday and Thursday afternoon because that’s what she has done for as long as she can remember. The ............. involved in this decision-making process ensures Mikaela exercises on a regular schedule even when she is tired or distracted.
a. state of certainly
b. risk of propensity
c. rounded rationality
2. Identify the behavioral consideration that is described in each of the following examples.
Amish has just created a new soft drink, which he calls “Punjab.” Flavored with ginger and cumin, the drink cost $20,000 to develop because of the need to get and verify patents and develop a unique bottle. Punjab has been on the market now for three years, and Amish has sold only 300 cases. This year, however, he is considering spending another $20,000 to develop a new marketing plan for his product. If he sells it in convenience stores only, it will have to sell more, right?
a. Escalation
b. Intuition
c. Satisficing
3. Athena has been working at Taco Town for fifteen years. She can’t begin to tell you how many customers she’s served, only that she sees more than 100 people a day at her store. Last week, Athena saw someone walking into the restaurant and instantly knew that he was going to cause trouble. She didn’t think; she just automatically set off her silent alarm, and the police cars pulled up just as the customer pulled out a gun.
a. Escalation
b. Intuition
c. Satisficing
4. Every year, your family poses for a photograph to be used in its holiday cards. To add interest to the photo, everyone wears an identical accessory: sometimes you all wear the same scarf, other times you all wear the same sweater. To avoid getting stuck with another item of questionable fashion taste, you proposed wearing a Sean John Tweed Diamond Top Fedora this year. Everyone agreed the hat was a good choice, so you bought one for every family member, and no more shopping needed to be done.
a. Satisficing
b. Escalation
c. Intuition
5. As a member of a team of subject matter experts in the management of engineering projects, you need to organize discussions in a way that facilitates the ability of all the experts to contribute. Which team decision-making approach will be best in ensuring input from the team experts?
a. Nominal group technique
b. Interacting group approach
c. Delphi group technique
6. Businesses commonly rely upon groups to make decisions because of the many advantages to group decision making. Which of the following are advantages of group decision making? Check all that apply.
- Participants may be indecisive and seek a compromise solution.
- More knowledge and information are considered.
- Better communication of the decision may occur.
- The process may be costlier because it takes more time.
7. Astute managers can use simple tactics to minimize the potential for groupthink to influence team decision outcomes. Which of the following tactics is best for minimizing the chance for groupthink to occur?
- Assign at least one member to play the role of devil’s advocate.
- Refrain from setting a deadline.
- Encourage talkative team members to lead the discussion.
- Ask for the team to unify behind one decision.
8. After you reviewed the six steps with Paula, she asked for an example of how to identify alternatives as she decides whether Gingerforge should start manufacturing patio furniture. Which of the following is the correct example to give to Paula?
a. Paula would make a list of actions Gingerforge might take, such as leaving its product line as it is, adding patio furniture, or deciding to enter some other niche market (such as manufacturing wrought-iron bird cages).
b. Paula would assess each option in terms of feasibility, satisfactoriness, and consequences; she will want to consider how difficult or costly each option would be to implement and whether each option would provide a satisfactory financial return.
c. Paula would decide that Gingerforge should keep its product line as it is to avoid the financial risk of making new products that may not sell, if its priority is to strictly adhere to its current budget and the company is risk averse.
d. Paula would articulate the specific environmental stimulus the company needs to respond to: the entry of a competitor into the patio furniture market.
9. Although Paula likes the structure provided by the rational decision-making process, you caution her that it has some shortcomings. Given the assumptions of the rational decision-making model, why is this process difficult to apply completely in many situations? Check all that apply.
- Managers cannot always obtain complete and accurate information.
- Managers are limited by their values and unconscious beliefs.
- Managers usually have the resources to consider numerous alternatives.
- Managers do not always evaluate situations rationally.
10. A company has hired you as a consultant, and you have recommended using evidence-based management (EBM). The CEO is skeptical, however, and asks you for some examples of EBM results. What examples do you give? Check all that apply.
- CEOs have expressed the generally held belief that employee stock ownership improves morale and productivity and, thus, financial performance.
- Managers have learned that the widely accepted pay-for-performance model works poorly for collaborative teams.
- Health care providers have stopped prescribing the treatments they were taught in school or are most skilled in applying in favor of those shown by studies to most benefit patients.
- Terminating employees who are satisfactory but perform less well than their peers has been shown to reduce productivity and lead to errors.