Managers often ignore proble

True / False Questions

1. (p. 88) Managers often ignore proble


2. (p. 89) Managers tyically fe ill-structured problems, leaving the decision maker uncertain about how to proceed.

3. (p. 89) Bill Simmons is the manager of a small restaurant and must decide how much money he owes his suppliers. This is an example of a non-programmed decision.

4. (p. 89, Table 3.1) Programmed decisions are useful when there is no predetermined structure on which to rely.

5. (p. 90) Risk is not a fact of life in management decisions.


6. (p. 90) According to research, managers prefer uncertainty to certainty because it makes the job more challenging and interesting.

7. (p. 91) Conflict exists when the manager must consider opposing pressures from different sources.


8. (p. 92) In the fourth state of decision making, problem diagnosis is linked to the development of alternatives.


9. (p. 92-93) Choosing a ready-made alternative is takes less time than designing a custom-made solution.


10. (p. 93) Contingency plans are best developed following the final stage of decision making–evaluating the decision.



11. (p. 95) Satisficing is achieving the best possible outcome.

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12. (p. 96) Those who implement a decision must understand the choice and must be committed to it.

13. (p. 98) Following all six stages of the decision making process guarantees successful decisions.

14. (p. 100) The illusion of control is a belief that one can influence events even when one has no control over what will happen.

15. (p. 101) Discounting the future is said to partly explain governmental budget deficits and environmental destruction.


16. (p. 102) In decision making, it is always better to use a group than an individual.

17. (p. 102) Some experts advise that in today’s complex business environment, significant problems should always be tackled by groups.


18. (p. 102) One advantage of using a group for decision making is that one person dominates.


19. (p. 105) The job of a “devil’s advocate” is to create destructive conflict.

20. (p. 105) Affective conflict is differences in perspectives or judgments about issues, whereas cognitive conflict is emotional and directed at other people.

21. (p. 106) In brainstorming, group members generate as many ideas about a problem as they can.


22. (p. 108) Incremental decision making occurs when managers make small decisions and move cautiously toward a bigger solution.


23. (p. 108) The garbage can model of decision making arises when people disagree on goals or compete with one another for resources.

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24. (p. 1113) Decision making under crisis conditions will inevitably result in poor decisions and negative publicity