ADM 2336 Chapter Notes - Chapter 11: Groupthink, Group Cohesiveness, Decision-Making

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Decision making is the process of developing a commitment to some course of action. It involves making a choice among several action alternatives. Decision making can also be described as a process of problem solving. A problem exists when a gap is perceived between some existing state and some desired state. Problems that occur often with well structured problems we rely on programmed decisions. It is the policies we have we know how to deal with it we refer to our manual. They do not happen very often we reply on non-programmed decisions e. g. decline in students by 40% To be rational means taking into account facts you should be informed well structured. You consider everything its a 7 step process: To see if it is really solving the problem we tend to be rational however we are bounded (restricted) Perfectly rational decision making contrasted with bounded rationality.

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