CD: Comprehension
57. Which of the following is not part of the nominal grouping process?
a.
Listing
b.
Mapping
c.
Recording
d.
Ranking
58. The fourth step in the decision-making model is __________.
a.
controlling the decision
b.
analyzing alternatives and selecting the most feasible
c.
planning and implementing the decision
d.
generating creative and innovative ideas
59. Which of the following is not one of the four approaches that are commonly used to analyze
alternative solutions?
a.
Quantitative techniques
b.
Cost-benefit analysis
c.
Consensus mapping
d.
Intuition
60. _____________ is selecting an alternative based on your experience and rational judgment.
a.
Cost-benefit analysis
b.
Pros and cons
c.
Queuing theory
d.
Intuition
61. Samantha’s boss has asked her to find the quantity of pens they will have to produce in order to
balance out the costs that get put into production. Which method should she use to determine
this number?
a.
Break-even analysis
b.
Capital budgeting
c.
Queuing theory
d.
Probability theory
62. A(n) _______________ is used when comparing alternatives using a combination of subjective
judgment along with some quantitative math.
a.
pros and cons
b.
big data
c.
intuition
d.
cost-benefit analysis
63. Lauren manages a plant that makes gourmet soft drinks. She needs to determine the best time to
shut down the bottling line to be sanitized. As the rest of the facility will continue to operate
during this process, she needs to make sure the impact on the other parts of the plant is minimal,
or her other workers will end up with little to do until the bottling line is up and running again.
Lauren should use __________.
a.
linear programming
b.
probability theory
c.
queuing theory
d.
break-even analysis
64. Isak is preparing to open his new store, which will sell fashionable clothing for men. He needs
to determine the best way to allocate the limited shelf space in his small store between his
inventory of pants, shirts, and accessories. Isak should use __________.
a.
linear programming
b.
probability theory
c.
queuing theory
d.
break-even analysis
65. In probability theory, the __________ is the payoff or profit from each combination of
alternatives and outcomes.
a.
expected value
b.
anticipated return
c.
projected benefit
d.
calculated premium
66. Big data has been most visible, to date, in __________.
a.
manufacturing
b.
retailing
c.
service
d.
hospitality
67. Soledad and her team have been working through the decision-making model in order to
address a recent significant drop in repeat business from the customers of her advertising firm.
After analyzing all of the alternatives they generated, it became clear that none of them would
satisfy the criteria they set for the decision. At this point, Soledad knows that they have two
options, one of which is to __________.
a.
Return to Step 1 and classify the problem again
b.
Return to Step 4 and repeat the analysis of the alternatives they’ve generated
c.
Return to Step 3 and generate more alternatives
d.
Return to Step 2 and change the objective for the decision
68. What should you do if you are controlling the decision and the implementation is not going as
planned?
a.
Let somebody else take over.
b.
Ignore the problem and continue.
c.
Let the issue work itself out.
d.
Backtrack to prior steps to take corrective action.
69. According to the decision-making model, what happens after planning and implementing the
decision?
a.
Classify and define the problem or opportunity.
b.
Analyze alternatives and select the most feasible.
c.
Set objectives.
d.
Control the decision.
70. __________ should be established to determine whether the chosen alternative is solving the
problem.
a.
Benchmarks
b.
Boundaries
c.
Checkpoints
d.
Mileposts
71. When we will not admit that we made a bad decision, we are in the process known as
__________.
a.
decisional denial
b.
escalation of commitment
c.
determination by default
d.
analysis paralysis
72. __________ describes the feeling where the pain of losing outweighs the joy of winning.
a.
Loss aversion
b.
Reluctance to succeed
c.
Willful ignorance
d.
Adverse reasoning
73. Felicia has been involved with a team that is deciding on the way to move forward with a project
regarding budget allotment for her building location. They have brainstormed on different
solutions and have also met with the leadership to determine a final solution. At this point in the
process, they are training the department managers to comply with the new allotment
procedures. At what point in the decision-making process is Felicia’s team?
a.
Set objectives and criteria.
b.
Plan and implement decision.
c.
Control the decision.
d.
Defining the problem.
74. Which of the following is not one of the ways in which culture influences problem solving and
decision making?
a.
The depth of analysis
b.
The frequency of decision making
c.
The importance placed on logic and rationality
d.
The level of participation in decision making
75. While technology facilitates using big data to solve problems, it carries with it the issues of
__________.
a.
security and privacy
b.
training and time
c.
applicability and utility
d.
sensitivity and rigor
TRUE/FALSE
76. Problem solving and decision making are interrelated with each other.
77. Managers need to attempt to solve all problems.
78. Consistent decision makers consistently either rush or take too much time.
79. Programmed decisions are those that occur in unique situations.
80. Programmed decisions are those that arise in recurring or routine situations.
81. When there is greater uncertainty in a situation, it generally means there is a greater ability to
predict the outcome of that situation.
82. When making a bounded rational decision, the person uses satisficing.
83. Even when a problem already has set objectives and criteria, you still need to complete Steps 2–
4 of the decision-making model.
84. The second step of the decision-making model is to set objectives and criteria.
85. After setting objectives and criteria, the next step is to analyze alternatives and select the most
feasible one.
86. When weighing criteria, all want criteria get an equal rating, while must criteria can be weighted
by importance.
87. Creativity is a way of thinking that generates new ideas.
88. Innovation is the implementation of a new idea.
89. There are four stages in the creative process.
90. The Delphi Technique involves using a series of confidential questionnaires to refine a solution.
91. Big data is the analysis of large amounts of quantified facts to aid in maximizing decision
making.
92. Cost-benefit analysis requires that all costs and benefits be expressed numerically, so that the
total costs can be compared mathematically to the total benefits.
93. Instinct is the cognitive process of drawing conclusions using a rational reasoning process in
reaching a decision.
94. Ben Franklin is said to have used break-even analysis in order to make decisions.
95. A major reason that decisions, once reached, are not successfully implemented is the lack of a
detailed plan to achieve the objectives of the decision.
96. After making a decision, you should develop a plan of action with a schedule for
implementation.
97. Data-driven businesses have lower quality and speed of execution of plans because of the
time-consuming nature of the data analysis process.
98. In countries that are less time conscious, decision styles are more reflexive.
99. In lower-power-distance cultures, there is a greater use of autocratic decision making.
100. Decisions often take longer to make in countries with cultures that value high levels of
participation in the process.
ESSAY
101. Explain the relationship among objectives, problem solving, and decision making.
102. Explain the relationship among the management functions, decision making, and problem
solving.
103. List and describe the six steps in the decision-making model.
104. Describe the differences between programmed and nonprogrammed decisions and among the
conditions of certainty, uncertainty, and risk.
105. Discuss some advantages and disadvantages of using group decision making.
106. Describe when to use rational versus bounded rational decision making.
107. State the difference between an objective and a must or want criteria.
108. State the difference between creativity and innovation.
109. List and explain the three stages in the creative process.
110. What is the difference between quantitative techniques and cost-benefit analysis?