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After reading this chapter, you should be able to answer the following questions: What is involved in the decision-making process? What are the alternative decision-making models? What are key decision-making traps and issues? What can be done to stimulate creativity in decision making?
Chapter Decision Making and Creativity You have to make good choices Chapter Study Questions What is involved in the decision-making process? What are the alternative decision-making models? What are key decision-making traps and issues? What can be done to stimulate creativity in decision making? Copyright © 2014 John Wiley & Sons, 9-2 What is involved in the decisionmaking process? Decisionmaking • The process of choosing a course of action for dealing with a problem or opportunity Copyright © 2014 John Wiley & Sons, 9-3 What is involved in the decisionmaking process? Steps in Decision Making • Recognize and define the problem • Identify and analyze alternative courses of action • Choose a preferred course of action • Implement the preferred course of action Lack-of-participation error – occurs when important people are excluded from the decision-making process • Evaluate the results and follow-up as necessary Copyright © 2014 John Wiley & Sons, 13-4 What is involved in the decision-making process? Copyright © 2014 John Wiley & Sons, Inc 9-5 What is involved in the decisionmaking process? Ethics • The philosophical study of morality or standards regarding good character and conduct Moral problem • One that poses major ethical consequences for the decision maker or for others Copyright © 2014 John Wiley & Sons, 9-6 What is involved in the decisionmaking process? Moral dilemma • Decision maker faces two or more ethically uncomfortable alternatives • Either alternative is potentially beneficial and harmful Copyright © 2014 John Wiley & Sons, 9-7 Figure 9.1 The decision-making process and ethical reasoning model Copyright © 2014 John Wiley & Sons, Inc 9-8 What is involved in the decisionmaking process? Ethical double checks • Criteria Utility – all stakeholders satisfied? Rights – are all rights and duties respected? Justice – is it consistent with cannons of justice? Caring – is it consistent with responsibility to care? Copyright © 2014 John Wiley & Sons, 9-9 What is involved in the decisionmaking process? Ethical Double Checks • Spotlight Questions How would I feel if my family found out about this decision? How would I feel if the decision was published? What would the person you know or know of who has the strongest character in this situation? Copyright © 2014 John Wiley & Sons, 9-10 What are key decision-making traps and issues? Judgmental heuristics • Simplifying strategies or shortcuts used to make decisions • Make it easier to deal with uncertainty and limited information common to problem situations Copyright © 2014 John Wiley & Sons, 9-22 What are key decision making traps and issues? Availability heuristic • Involves assessing a current event based on past occurrences that are easily available in one’s memory Representativeness heuristic • Involves assessing the likelihood that an event will occur based on its similarity to one’s stereotypes of similar occurrences Copyright © 2014 John Wiley & Sons, 9-23 What are key decision making traps and issues? Anchoring and adjustment heuristic • Involves assessing an event by taking an initial value from historical precedent or an outside source and then incrementally adjusting this value to make a current assessment Copyright © 2014 John Wiley & Sons, 9-24 What are key decision making traps and issues? Decision Bias • Confirmation error – only seeking cues in a situation that support a preexisting opinion • Hindsight error– overestimate the degree to which an event that has already taken place could have been predicted • Framing error - tendency to evaluate and resolve a problem in the context in which it is perceived – either positive or negative Copyright © 2014 John Wiley & Sons, 9-25 What are the key decisionmaking traps and issues? In choosing problems to address, try the following checklist: • What really matters? • Might the problem resolve itself? • Is this my or our problem? • Will time spent make a difference? Copyright © 2014 John Wiley & Sons, 9-26 What are the key decision Authority decisions making traps and issues? • Manager or team leader uses information that he or she possesses and decides what to without involving others Copyright © 2014 John Wiley & Sons, 9-27 What are the key decisionConsultative decisions making traps and issues? • Manager or team leader solicits input from other people and then, based on this information, the decision maker arrives at a final choice Copyright © 2014 John Wiley & Sons, 9-28 What are the key decisionTeam decisions makingwork traps and issues? • Group members together to make the final choice Copyright © 2014 John Wiley & Sons, 9-29 Fig ur e Vro om Jag o Dec isio n M aki Copyright © 2014 John Wiley & Sons, 9-30 What are the key decision-making traps Escalating commitment issues? • Continuation and renewed effort onand a previously chosen course of action, even though it is not working • Avoid by: Setting limits on your involvement and commitment Making your own decisions Determining reasons for continuing a course of action Considering costs of a course of action Copyright © 2014 John Wiley & Sons, 9-31 What can be done to stimulate creativity in decision-making? Creativity • Involves the generation of a novel idea or unique approach to solving performance problems or exploiting performance opportunities Copyright © 2014 John Wiley & Sons, 9-32 Figure 9.5 Individual and Team Creativity Drivers Copyright © 2014 John Wiley & Sons, Inc 9-33 What can be done to stimulate creativity in decision-making? Personal creativity drivers • Task expertise • Task motivation • Creativity skill set Copyright © 2014 John Wiley & Sons, 9-34 What can be done to stimulate creativity in decision-making? Team creativity drivers • Decision techniques Creative membership External support Copyright â 2014 John Wiley & Sons, 9-35 In your experience An interesting site with simulations and training on creative techniques and ways to enhance your own individual creativity Brainstorming.co.uk Copyright © 2014 John Wiley & Sons, 9-36 ... Lack-of-participation error – occurs when important people are excluded from the decision-making process • Evaluate the results and follow-up as necessary Copyright © 2014 John Wiley & Sons, 1 3-4 ...Chapter Study Questions What is involved in the decision-making process? What are the alternative decision-making models? What are key decision-making traps and issues?... Wiley & Sons, 9-1 7 Figure 9.3 Decision making viewed from the classical and behavioral perspectives Copyright © 2014 John Wiley & Sons, Inc 9-1 8 What are the alternative decision-making models?