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Chapter 11

COMM 151 Chapter Notes - Chapter 11: Satisficing, Selective Perception, Decision-Making


Department
Commerce
Course Code
COMM 151
Professor
Christopher Miners
Chapter
11

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COMM 151 Chapter 11 (pg 359-374) Notes Decision Making
1
Decision Making
Decision Making: The process of developing a commitment to some courses of action
a) The decision involves making a choice among alternatives
b) Decision making is a process that involves more than the final choice among alternatives
We want to know how this decision was reached
c) The “commitment” usually involves some commitment of resources
A Problem exists when a gap is perceived between some existing state and some desired state
Well Structured Problems
Well Structured Problem: Occurs when the problems existing state is clear, the desired state,
and how to get one from state to the other is fairly obvious
Problems are simple and their solutions cause little controversy
Because decision making is time consuming and error prone, orgs attempt to program
the decision making for well-structured problems
A Program is a standardized way for solving a problem
Go under labels such as rules, routines, standard operating procedures, or rules of thumb
Ill-structured problem: A problem for which the existing and desired states are unclear and
the method of getting to the desired state is unknown
Unique and complex problems that involve a high degree of uncertainty
These problems frequently arouse controversy and conflict among the people who are
interested in the decision
These problems cannot be solved with programmed decisions must gather more
information and take a more analytical approach
A Rational Decision Making Model
Perfect vs. Bounded Rationality
Perfect Rationality: A decision strategy that is completely informed, perfectly logical, and
oriented toward economic goal less realistic
Perfect Rationality Decisions are Made
1. Complete Information gathered all important info about problems and solutions
2. Perfectly Logical solution A is better than B, B is better than C, A is better than C
3. One Criterion: Economic Gain
NOTE: See Diagram on page 361 The Rational Decision Making Process
When a problem is identified and the search for information begins, the chart clarifies the
nature of the problem and suggests alternative solutions
Bounded Rationality: A decision strategy that relies on limited information and that reflects
time constraints and political considerations try to act as rational as possible
Bounded Rationality Decisions Are Made
1. Incomplete Information
2. Not Perfectly Logical
3. More Than One Criteria
Ex. Job offer (location, pay, status)
NOTE: Know the flaws of decision making system and correct for the flaws when the stakes are high
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