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25 Cards in this Set
- Front
- Back
Rational Choice Paradigm
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Perspective that people make decisions based on pure logic and rationality
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Rational Choice Model
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1) Problem ID
2) Choose decision process 3) Develop alternative solutions 4) Choose 5) Implement 6) Evaluate |
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Issues with Problem ID
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SSDPM
1) Stakeholder framing 2) Solution focused problem 3) Decisive leadership 4) Perceptual defense 5) Mental Models |
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Solution Focused Problem
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Finding the solution at the time the problem is identified
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Mental Model
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Our mental model produce assumptions that prevent us from seeing unique problems
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Decisive Leadership
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To appear decisive, leaders may not fully evaluate problems
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Perceputual Defense
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Blocking out bad news
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Stakeholder framing
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Employees may try to frame issues to convince leaders there is no problem
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Problems with Evaluating and Choosing Alternatives
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BIS
1) Bounded rationality 2) Implicit favorite 3) Satisficing |
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Bounded Rationality
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People rarely make the best choice because the have limited and imperfect information
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Implicit Favorite
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Picking a preferred alternative over and over. Distorting the info so this alternative comes out top
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Satisficing
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Picking the good enough solution
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Intuition
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Knowing when a problem or opportunity exists and to selecting the best action without actively thinking about it.
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4 Ways to Make Effective Choices
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1) Leaders should be contemplative
2) Systematically evaluate alternatives 3) Be aware of emotions 4) Revisit issues in different moods 5) Scenario planning |
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Escalation of Commitment
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Tendency to repeat an apparently bad decision or continue the course
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4 Reasons for Escalation
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1) Self justification
2) Prospect theory 3) Perceptual blinders 4) Closing costs |
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3 Ways to Improving Evaluation
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1) Separate decision makers and evaluators
2) Publicly establish a kill level 3) Involve multiple people |
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Employee Involvement
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The degree to which employees influence how their work is organized and carried out
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3 Benefits of Employee Involvement
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- Improves problem identification
- Generates better solutions - Pick better solutions in groups |
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4 Contingencies of Employee Involvement
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- Complexity of problem/solution
- Who has the knowledge - Commitment level needed - Conflict generated |
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Creative Process Model
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1) Preparation
2) Incubation 3) Insight 4) Verification |
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Creativity
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Developing original ideas that make a social contribution
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Divergent Thinking
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Reframing the problem in a unique way and generating new approaches
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Creative Organization Conditions
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- Learning orientation
- Task significance - Open communication - Job security and resources |
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Activities to Encourage Creativity
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- Redefine the problem
- Cross-pollination - Free thinking |