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144 Cards in this Set

  • Front
  • Back
is decision-making a function of management?
no, but it is closely associated with the planning function
what's the difference between programmed and non-programed decisions?
prog.- repetitive and routine non- prog. -novel, unique, complex, and unstructured
do managers make more programmed or non-programed decisions, in general?
programed decisions
what is decision-making under conditions of certainty?
the mgr. knows alll available alternatives and the out comes associated with each.
what is decision-making under conditions of risk?
alternatives are known but outcomes are in doubt.
what is decision-making under conditions of uncertainty?
a mgr. has no knowledge on which to estimate the probability of various out comes.
which decision-makingcondition is most commmon? least common? most difficult?
common- risk;least common- certainty; most difficult-uncertainty
what is key to making good decisions under risk?
accurately determining the probabilities associated with each alternative
what does the traditional economic model asume about decision-makers? (2 assumptions)
1)mgrs seek to max benefits
2)mgrs are completely rational
under what decision-making condition do decisions get made in the traditional economic model?
what does the behavior model assume about decision-makers?
bounded rationality and satisfice
what is bounded rationality? what three things boud ones rationality?
assumes that managers try to be rational in making decisions but their rationality is bounded; limited mental capacity, emotions and unforseeability of future event.
what is satisficing? how does it differ from maximizing? is it irrationl?
limits human information processing, the costs of searching for, and identifying alternative

what is heuristic? what are the advantages oa and disadvantages of heuristics?
heuristic- a labor saving device
advantage- they implicitly guide our judgement.
disadvantage- if we relyon them, they can lead to errors, sometimes severe ones.
what is the availability heuristic? what factors cause you to overestimate the frequency of an event? underestimate the frequency of an event?
used whaen mgrs asses the frequency of an event by the dagree to which those instances of that event are easily recalled in memory
what is representativeness heuristic? Whats the problem with this heuristic?
representative heuristic- reflects the tendency of managers to asses the likelihood of an occurance by matching it with a presisting category (ex: stereotypes)

stereotyping dosen't allow us to see the uniqueness of the individual.
Under what decision-making conditions do decisions get made in the behavioral model?
risk and uncertainty
What does the irrational/implicit favorite model of decision-making say about decision-making?
What types fo decisions are made irrationally?
What is the basic purpose fo a brainstorming session?
generate ideas, not evaluate them
What are the 4 rules in brainstorming?
criticism is prohibited; free-wheeling is welcomed, quality is wanted, combination and improve apon ideas.
Can inhibitions be totally eliminated in brainstorming sessions?
no, non verbalcriticisms come out
What 2 creativity techniques does synectics use in helping the group to generate better ideas?
fantasy and analogy
What is "superhero" technique?
using fantasy to stimulate creativity
IN synectics, what is the jov of the facilitator? Technical expert?
generates: evaluates
What's the problem with synectics?
generate then evaluate
What resesarch is NGT based on?
individual research done by people working alone
How is NGT different from brainstorming and synectics?
1)everyone generates ideas alone
2)it purposely restricts verbal interaction
What in NGT does one try to eliminate to improve the decision-making process?
What are the steps in NGT?
1)familiarized with the problem
2)work silently andalone
3)share solutions in a round- robin
4)evaluate solutions in a round robin manner
5)vote privately
What are the defining characteristics of the Delphi technique?
members never meet and members remain annonymous
What is the reasoning behind the Delphi technique?
to use a structured approach to creative problem solving using a group of experts
What are some problems that can be encountered when using the Delphi technique?
thedesign of the questionair can limit the results obtained, it can be extreamly time consuming even more so than the other technique, and members interests and motivation may decline if too much time passes between steps.
What are operations research techniques? What are they designed to do? What kind of data do they usually require? Are they an aid or substitute for managerial decision-making? What do managers need to think criticalllly about when they use these techniques? Are they applicable to all decisions that managers make?
What is meant by the term "confirmatory bias" in decision-making?
most people demonstrate the tendency to look for only confirming evidence rather than disconfirming evidence after they have made a decision.
What is the gambler's fallacy?
the mistaken belief that an event thathas not occured for some time.
In making decisions, do people pay more attention to descriptive, qualitative information or statistical, quantitative information?
descriptive, qualitative
In making decisions, people often violate the law of large numbers, what does that mean? Why does it occur?
people tend to reply on their own brief and superficial experience with an object as the sole basis for choice even though others have greater experience with the object.
How does the framing of a decision affect decision-making? Positive framing? Negative framing?
What is group decison-making a function of?
individual efforts and assembly effects-process loss
What is an assembly effect? process loss?
more creative, better- ex. synergy

negative consequences- ex: free- riding
What is the optimal size for a decision-making group?
5-7 people
What are the advantages fo group decision making?
1)more info available
2)evaluation is superior because you have a wide range of viewpints
3)individuals who participate are more satisfied with the decision
4)better understanding
5)fulfills need for personal growth
What are the disadvantages of group decision making?
1)takes longer than individuals decission making
3)domination by few powerful members or by a leader can negate the many virtues of group process (decrease the level of individual contributions)
4)leveling effect may occur (compromise)
5)free-rides are a problem
6)disfragreements over important matters occur in groupes can lead to bad feelings.
What is the leveling effect?
group decisions
WHen does a manager (under what conditions) use individual decision making rather than group decision making?
condition 3: when subordinate acceptance of the decision is not an issue. that is, you are relatively sure of the fact that your employee will accept the decision if you make the decision alone.
Rank the following in terms of decision making accuracy: group, average individual in the group, and the best member in the group?
Which is more efficient: group or individual decision making? (consider both short-term and long-term efficiency?

long-term:group decision-making
Where do you have greater creativity: 5 individuals generating ideas alone or those same 5 individual generating ideas as a group?
individuals generating ideas
Which leads greater acceptance of the decision and better inplementation of the decision: individual or group decision making?
What function of management is concerned with job design and organizational design?
What are the 3 aspects of job design?
2)methods or procedures
3)how it relates to others jobs.
What is skill variety?
the degree to which a job requires the employee to perform a wide range of tasks in their work and or the degree to which employees skills increase
What is task identity?
the extent to which employees do an entire piece of work, from beginning to end, and can clearly identify the results of their efforts.
What is task significance?
refers to the extent to which the job and its performance exert a considerable impact on the lives of others.
What is autonomy?
the extent to which employees have a major say in scheduling their work, selecting the equiptment and methods they will use, checking their work and deciding the procedures to be followed.
What is feedback?
degree to which employees receive informaton that reveals how well they are performing their job.
What is job breadth and job depth?
jobbreath-refers to the number of taskes that a jobholder performs.
job depth-refers to the amount of discretion that an individual has over his/her job activities and job outcomes.
skill variety
least prevalent- specialized jobs
most prevalent- enriched jobs
results from the division of an activity into smaller and smaller task elements
1)less training time
2)constant reputation leads to an area of limited expertise
3)work is performed quicker
1)low employee motivation
2)low job satisfaction
3)low quality job performance
4)high absenteeism
to keep one from getting bored quickly
job scope, job breath
shifting workers through a set of job in a planned sequence
1)high employee motivation
2)high job satisfaction
3)high quality job performance
job core dimension, critical psychological state, personal and workoutcomes
1)form natural work unit- individuals are group together; increase task identity and task significance
combining tasks
vertical loading
1)workers may not want enriched jobs
2)workers even when they desire enriched jobs may not have the skills necessary to perform enriched jobs
3)wanting greater rewards such as pay due to greater respon.
4)unions are less than enthuisatic about design
specialized jobs= hypersensitive

enriched jobs= hypo-sensitive
instrumental motivation- see jobs as a means to an end

expressing one's self
specialized job because the job provides very little stimulation.
enriched jobs because it provides them with a lot of stimlation and challenge.
the more the design of the considering one's sensitivity to the external environment

in an inverted U fashion
the more the design of the job is influenced by tech. factors or technology, the less job design flexibility that exists.
they see job design programs as schemes to get more work out of fewer employees.
may not have the money to buy a new piece of equiptment or hire a job design specialists
the more you specialize, the more difficult it is to coordinate the diffrent work units
between depts. b/c they all have diffrent goals/values.
-one boss and few employees
-disadvantages:breaks down under conditions of complexity b/c of the limited information-processing capacity of the boss
1)lots of specialization
2)results in efficient use of resources
3)provides a simple communication network
4)simplifies training of functional specialists
5)gives status to major functional areas
6)preserves strategic control at the top-mgt levels
1)coordination is achieved at higher levels of the org.
2)no common concern for the overall mission of the org.
3)interdepartment cooperation is a prob. due to diff. values, goals, etc.
4)prep. of broadly trained mgrs. is limited.
5)client satisfaction can be lower than with other designs
6)slow to respond to environmental change
7)slow to innovate
1)when you have a stable environment
2)when you have one or a few productlines
3)when efficiency and quality are your goals
4)when the organization is small to med in size
each major product is administered through a separate and semi-autonomous division

specialists are grouped together to perform all duties necessary
1)profit centers give quick feedback on a product
2)it develops broadly trained mgrs.
3)it focuses client needs and provides greaten customer services and satisfaction due to its focus on product.
4)it facilities coordination between functions for rapid responses because individuals now identify with their product more than with their specialty
5)shaved concern for more than their specialty
1)coordination between product areas is difficult
2)its duplicates specialists
3)less expertise is developed than in the functional design
4)a change in product line can be disastrous
1)when youhave a highly uncertain environment that requires rapid adaptation
2)when the org is large
3)when the org has multiple product lines
4)when the goals of the org. are external effectivenss and adaptation, multiple products, and clients satisfaction
1)profit centers-allows one to pinpoint problems quicker because you get measures of performance in a shorter time
2)allows one to establish responsibility for task completion-responsibility is easily defined.
1)matrix design- basically a product design overlaid onto a functional design.
2)the functional group is permanent, whereas the project group is temporary.
1)extremely flexible and responsive
2)achieved specialization without suffering great losses in coordination
3)minimized duplication specialists
4)sets up career path for both experts (functional managers)
1)top management losses control overactivities
2)multiple authority roles.
3)personal stress and strain
4)power struggles with in the org. between the funct and project mgrs.
5)employees have mixed identities
1)multiple products
responsibility for the project- its competition on time, with in budget and according to specifications
to keep the employees in the dept. technology up to date with regard to the area of expertise or functions
project manager
functional design: because each person is in charge of a department.
product design
-scalan chain or chain of command- exists whenever one individual reports to or is made.
-defines level of authority and it routes directives and information up and down the org. provides an information/ decision networks.
-refers to the fact that subordinates should report to one and only one boss.
-the principle clarifies responsibility and whom reports to whom. it supplements the scalan chain

greatest violation comes in the matrix design
-process in which authority posses down from one level to another
-empowers your employees, giving them freedom to think and experiment(more enriched)
1)lacks trained subordinates
2)mgr. is the only one capable of doing work.
3)fear that subordinates will make costly mistakes
4)mgr. might be "shown up" by the subordinate
5)delegating makes them look lazy
6)easier to do it themselves
7)fear of losing control
-centralized- the extent to which authority isn't delegated, but concentrated at higher levels of management.
-decentralization- the extent to which authority is delegated.
1) more decisions are made
2) more important decisions are made
3) more flexibilty is allowed
4) more autonomy is allowed
1)greater uniformity of decisions is possible
2)more motivation may be boosted due to job enrichment
3)skill level is enhanced
4)managers deal with problems on the spot
5)the organizations workload is spreadout
as the organization grows in size and as the environment becomes more dynamic because coordination problems force you to make others responsible/ accountable for coordination
refers to the number of subordinates/ people who report directly to a supervisor.
-the narrawer the span of control, the taller the organization
-the wider the span of control, the flatter the organization
narrow spans of control allow managers tighter control over their subordinates but loosens overall control from top to bottom in the org. because there are now more managerial levels.
1)it can lead to substantial payroll savings by eliminating managerial jobs (downsizing)
2)it can improve overall communication from top to bottom of the organization
1)it can decrease managerial control and supervisor-subbordinate communication on each managerial level.
2)it can increase career gridlock [theflat org. design levels little chance for moving up because you have eliminated mgmt levels and there less opportunity for advancement in a flat structure thus, promotions/ pay increases are slower]
there are a number of factors that influence how many people a manager can effectively supervise in any given situation.
-narrow span- supervises few emp.
-wider span- supervises many emp.
an increase commitment to a previous decision despite knowledge of contrary information.
increses job range by introducing workers to more jobs and therefore more tasks.
the goal is not only to reduce worker dissatisfaction caused by job specification but also to increase their interest and motivation.
that it does little to change the nature of the work itself
a schedule that allows workers to select starting and quitting times withen limite set by management.
-that flextime increases performance and job satisfaction and decreases absenteeism.
-satisfaction with the work schedueles and with interactions improved significantly for both managers and non- managers
-difficult to implement for production units with assembly lines and multiple shifts
-difficult to arrange for jobs that must be continuously covered, like those of bus drivers or retail clerks.
a small group of people, usually fewer than ten, who do similar work and meet about once a week to discuss their work, identify problems, and present possibile solutions
the people who work with the process are best able to identify, analyze, and correct the problems in any given situation.
involves giving employees who are responsible for hands- on production or service activities the authority to make decisions or take action with out prior approval
group jobs in a manner that will serve customer's needs.
they can be a costly method of grouping jobs if a large staff is required to integrate the activities of several diff. departments
grouping jobs based on defined terretories
when an organization is widely dispersed and its customers needs and characteristics very greatly; organizations respond to unique customer needs in various regions more quickly
that it usually necessitates a large head quarters staff to manage the dispersed locations.
refers to the extent to which an organizations communications and procedures are written down and filled.
by rules and procedures to prescribe members' behavior
a ridged org. that attempts to achieve production and efficiency through rules,specialized jobs, and centralized authority.
seeks to maximize flexibility and adaptability.