Management and Organizational Studies 2181A/B Chapter Notes - Chapter 11: Organizational Culture, Bounded Rationality, Rationality

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the process of developing a commitment to some course of action. a problem exists when a gap is perceived between some existing state and some desired state. existing state is clear, desired state is clear, and how to get from one state to the other is fairly obvious. programs are useful when dealing with well-structured problems. programs are standardized ways of solving problems (also called rules, routines, standard operating procedures, or rules of thumb) and allow the decision maker to go directly from problem identification to finding a solution. existing and desired states are unclear, and the method of getting to the desired state is unknown. cannot be solved with programmed decisions must resort to non-programmed decision making. A rational decision-making model: identify problem, search for relevant information, develop alternative solutions to problem, evaluate alternative solutions, choose best solution, implement chosen solution, monitor and evaluate chosen solution.