ADMS 2511 Lecture Notes - Lecture 18: Satisficing
1 May 2018
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ADMS 2511 Lecture 18 Notes – Intuition
Introduction
• We identify alternatives that are highly visible and that usually represent familiar criteria
and tried-and-true solutions.
• Next, we begin reviewing the alternatives, focusing on choices that differ little from the
current state until we identify one that is good enough—that meets an acceptable
level of performance.
• That ends our search.
• So the solution represents a satisficing choice—the first acceptable one we encounter—
rather than an optimal one.
• Satisficing is not always bad—a simple process may frequently be more sensible than
the traditional rational decision-making model.
• To use the rational model, you need to gather a great deal of information about all the
options, compute applicable weights, and then calculate values across a huge number of
criteria.
• All these processes can cost time, energy, and money.
• If there are many unknown weights and preferences, the fully rational model may not
be any more accurate than a best guess.
• Sometimes a fast-and-frugal process of solving problems might be your best option.
• Returning to your college or university choice, would it be best to fly around the country
to visit dozens of potential campuses and pay application fees for all?
• It might be smarter to satisfice by finding a few colleges or universities that match most
of your preferences and then focus your attention on differentiating among those.
• Perhaps the least rational way of making decisions is intuitive decision making, an
unconscious process created from distilled experience.
• Intuitive decision making occurs outside conscious thought
• Relies on holistic associations, or links between disparate pieces of information; is fast
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