Study Guides (238,078)
Canada (114,909)
Administration (1,171)
ADM1300 (130)
All (73)

Post-Midterm 2 Notes.docx

21 Pages
Unlock Document

University of Ottawa

PostMidterm 1 NotesManager as a Decision MakerWhat is Decision MakingThe process by which managers make a choice between two or more alternatives to solve a problemo4 elements or stages to decision makingAn objective What are we trying to dofixThe Alternatives What are my options to get thereThe Choice Which option is the bestThe ConsequencesTypes of Decision MakingProgrammedroutine almost automatic process restocking grocery shelvesNonprogrammedunusual situations that have not often been addressedoResponds to unusual opportunities and threatsConditions Affecting Managerial DecisionsCertaintyvery rarely will a manager know exactly what will happenRiskUse of probabilities outcome can be estimatedUncertaintyNothing is known alternatives are not knowncant assign probabilitiesClassical Model for Decision Making1Recognise need for a decision sparked by an event either internally or externally2Develop objectives and criteria what will be important when evaluating alternatives3Generate alternatives managers must develop feasible alternative courses of action4Evaluate alternatives What are the advantages and disadvantages of each alternative5Choose among alternatives identify relevant information for decision6Implement chosen alternative managers must not carry out the alternative7Learn from Feedback managers should consider what went right and wrong with the decision and learn for the futureDecision Making ChallengesEase of Recall Make judgement based on RECENT EVENT beef recallInsensitivity to Base Rates Disregard information that suggests likelihood of a particular outcome in the presence of other informationAnchoring Use an initial value from a prior experience and give it strong weight in the final decisionEscalation of Commitment As time passes the commitment to a decision increases dramatically Buying a stock you thought would do well that continues to decrease in valueyou buy more as it gets cheaper but it continues to depreciateAssessing AlternativesIs it practicalIs it economically feasibleIs it in line with the goals and criteriaIs it EthicalIs it LegalImproved Group Decision MakingDevils Advocacy Assign one member of the group to act as a devils advocateoGives an alternative perspective but can also consolidate the groups decisionDialectical Inquiry Member questions the underlying assumptions associated with forming the problemoChange the assumptions change the problemPromoting Diversity By increasing the diversity in a group a wider set of alternatives may be consideredBuilding Group CreativityBrainstorming Managers meet facetoface with group members to generate and debate many alternatives
More Less

Related notes for ADM1300

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.