Decision Making Flashcards Chapter 5

Questions and Answers

What is programmed decision making?

Routine decision making following established rules. (correct)

Conducting a retrospective analysis.

Decision making in response to unusual opportunities.

A set of feasible alternatives.

What characterizes nonprogrammed decision making?

Routine decisions.

Decisions made with established rules.

Made in response to unusual or novel opportunities. (correct)

Conducting retrospective analysis.

Give an example of nonprogrammed decision making.

Entering a new market or launching a new promotional campaign.

What is step 1 of the decision making process?

Recognize the need for a decision. Signup and view all the answers

What is step 2 of the decision making process?

Generate alternatives. Signup and view all the answers

What does step 3 of the decision making process involve?

Assess alternatives. Signup and view all the answers

What is step 4 of the decision making process?

Choose among alternatives. Signup and view all the answers

What is step 5 of the decision making process?

Implement the chosen alternative. Signup and view all the answers

What is step 6 of the decision making process?

Learn from feedback. Signup and view all the answers

Study Notes

Decision Making Concepts

Programmed Decision Making: Routine decisions made through established rules or guidelines; apply when situations frequently recur.
Nonprogrammed Decision Making: Decisions made in response to unique events with no predefined rules; involve unpredictable circumstances.

Examples of Nonprogrammed Decisions

Entering new markets
Launching new promotional campaigns

Decision Making Process Steps

Step 1: Recognize the need for a decision; identifying issues or opportunities is crucial.
Step 2: Generate alternatives; managers develop a range of feasible actions in response to identified problems or opportunities.
Step 3: Assess alternatives; evaluating the pros and cons of each option to determine potential effectiveness.
Step 4: Choose among alternatives; rank options based on assessment to select the most suitable choice.
Step 5: Implement the chosen alternative; execution involves making numerous related decisions to realize the chosen course of action.
Step 6: Learn from feedback; retrospective analysis helps managers understand outcomes and improve future decision-making processes.

Description

Enhance your understanding of decision-making processes with these flashcards from Chapter 5. Explore key concepts like programmed and nonprogrammed decision-making, and learn the distinctions between routine and novel choices. Perfect for students looking to deepen their knowledge in decision theory.