MGT 3200 Study Guide - Midterm Guide: Bounded Rationality, Satisficing, Situation Two
Document Summary
Decision-making is not a function of management it is part of every function and is most closely related to planning. -in general, we can break decisions into 2 major categories: programmed and non- programmed decisions. -programmed decisions are specific procedures that have been developed for routine, repetitive problems. *windows it is a program, all you have to do is turn it on it does all of the work for you. *every program at one point in time was a non-program. -non-programmed decisions are specific solutions that to problems that are novel (new), unique (somewhat different than the past), complex (hard to understand), and unstructured (no set way of dealing with the problem because you"ve never seen it before). *top managers need to spend the most time on these. *as you go up the pyramid, this one will be more prevalent. *gresham"s law of planning the tendency for the program (day-to-day) to overshadow the non-program.
