Fundamentals of Management 10th Edition Chapter 4 Vocab

Decision-Making Process
A set of eight steps that includes identifying a problem, selecting a solution, and evaluating the effectiveness of the solution.
Problem
A discrepancy between an existing and desired state of affairs.
Decision Criteria
Factors tat are relevant in a decision
Decision Implementation
Putting a decision into action
Heuristics
Judgmental shortcuts or “rules of thumb” used to simplify decision making.
Rational Decision Making
Describes choices that are consistent and value-maximizing within specified constraints.
Bounded Rationality
Making decisions that are rational within the limits of a manager’s ability to process information.
Satisfice
Accepting solutions that are “good enough”
Structured Problem
A straightforward, familiar, and easily defines problem
Unstructured Problem
A problem that is new or unusual for which information is ambiguous or incomplete.
Programmed Decision
A repetitive decision that can be handled using a routine approach.
Procedure
A series of interrelated, sequential steps used to respond to a structured problem.
Rule
An explicit statement that tells employees what can or cannot be done.
Policy
A guideline for making decisions.
Nonprogrammed Decisions
A unique and nonrecurring decision that requires a custom-made solution.
Certainty
A situation in which a decision maker can make accurate decisions because all outcomes are known.
Risk
A situation in which a decision maker is able to estimate the likelihood of certain outcomes.
Uncertanity
A situation in which a decision maker has neither certainty nor reasonable probability estimates available.
Groupthink
When a group exerts extensive pressure on an individual to withhold his or her different views in order to appear to be in agreement.
Brainstorming
An idea-generating process that encourages alternatives while withholding criticism.
Nominal Group Technique
A decision-making technique in which group members are physically present but operate independently.
Electronic Meeting
A type of nominal group technique in which participants are inked by computer.
Ringisei
Japanese consensus-forming group decisions.
Creativity
The ability to produce novel and useful ideas.
Design Thinking
Approaching management problems are designers approach design problems.
Big Data
The vast amount of quantifiable information that can be analyzed by highly spohisicated data processing.