Question 1

Divergent thinking increases the level of

Accepted Answer

A)  escalation of commitment.
B)  programmed decision making.
C)  conflict.
D)  creativity.
E)  bounded rationality.F) B) and D)
G) B) and C)

Question 2

The creative process includes, in order, the following stages

Accepted Answer

A)  preparation-incubation-insight-verification
B)  insight-verification-escalation-incubation
C)  preparation-verification-escalation-satisficing
D)  incubation-verification-escalation-satisficing
E)  verification-satisficing-preparation-insightF) A) and D)
G) All of the above

Question 3

Which of the following is NOT explicitly identified as a contingency of employee involvement?

Accepted Answer

A)  Risk of conflict
B)  Divergent thinking
C)  Source of decision knowledge
D)  Decision structure
E)  Decision commitmentF) A) and D)
G) D) and E)

Question 4

If a decision maker encounters the same problem several times, he or she can increasingly rely on nonprogrammed decision routines to solve the problem.

Accepted Answer

A) True 
 B)False

Question 5

A potentially useful creative practice is to list different dimensions of a system and the elements of each dimension, then think through the potential commercial usefulness of each combination.

Accepted Answer

A) True 
 B)False

Question 6

The first stage of the creative process is

Accepted Answer

A)  divergent thinking.
B)  preparation.
C)  experimentation.
D)  intuition.
E)  insight.F) C) and D)
G) B) and D)

Question 7

Describe the rational choice paradigm of decision making.

Accepted Answer

Problem identification marks the first s...

Question 8

When employees are individually asked for specific information but the problem is not described to them, this is an example of a(n) level of employee involvement.

Accepted Answer

A)  low
B)  high
C)  sufficient
D)  empowered
E)  mediumF) B) and E)
G) A) and C)

Question 9

Prospect theory and sunk costs effect are two reasons why people

Accepted Answer

A)  engage in escalation of commitment.
B)  make nonprogrammed decisions rather than programmed decisions.
C)  encourage employee involvement.
D)  engage in satisficing.
E)  define problems in terms of preferred solutions.F) None of the above
G) A) and B)

Question 10

People tend to be more creative when

Accepted Answer

A)  they lack personal freedom to try things out.
B)  they have a reasonable level of job security.
C)  they risk losing their job if their ideas fail.
D)  they are secluded from colleagues in other areas of the organization.
E)  they have all of these conditions.F) A) and B)
G) A) and C)

Question 11

Escalation of commitment can be minimized by ensuring that

Accepted Answer

A)  those who choose the decision are different from those who implement and evaluate it.
B)  there are ready-made alternatives to resolve the problem.
C)  the team leader has strong opinions about the preferred options.
D)  organizational goals are relatively ambiguous.
E)  the person who makes the decision is also responsible for terminating the project.F) D) and E)
G) C) and D)

Question 12

After Crispy Foods Ltd. had poured millions of dollars into the development of a new

Accepted Answer

There are several ways to minimize the risk of escalation of commitment. Four common strate found in the textbook are described below. Students can describe any two of these or may sugg solutions that logically minimize the escalation problem.
Separate decision evaluator from decision maker. The CEO decided to start the project and wa main person to decide when the project should be abandoned. Due to the problem of saving face, these roles should be assigned to different people. In this respect, it is risky to have the CEO directly involved with a corporate project. Instead, the CEO should support product ideas, but remain sufficiently neutral to be able to terminate these projects.
Stop-loss order. To reduce the risk of high expenditures, the company might try to introduce a system in which the CEO and others are prevented from spending money on a project beyond a amount or a certain percentage of expected revenue from the product. In effect, the project wou abandoned if it reaches maximum development expenditures.
Use a source of systemic and clear feedback. This strategy helps in estimating the true cost of p and reduces ambiguous information that contributes to escalation of commitment.
Involve others. Escalation of commitment is less likely to occur when other people are involve decision process because they monitor the key decision maker and see the issue from different perspectives.

Question 13

Employees tend to be less creative in organizations that punish failure.

Accepted Answer

A) True 
 B)False

Question 14

Employees probably should not make the decision alone (without the manager's involvement)  when:

Accepted Answer

A)  they possess more knowledge than the manager.
B)  employees are likely to disagree with each other regarding the preferred solution.
C)  they lack commitment to decisions made by the boss alone.
D)  their goals and norms conflict with the organization's objectives.
E)  the problem calls for a nonprogrammed decision.F) All of the above
G) C) and D)

Question 15

When making important decisions, emotional markers guide our preference among the decision alternatives.

Accepted Answer

A) True 
 B)False  True

Question 16

Utility is the probability (expectancy)  of satisfaction (utility)  for each alternative.

Accepted Answer

A)  Implicit
B)  Rational expected
C)  Anticipated
D)  Evaluative alternative
E)  Subjective expectedF) All of the above
G) A) and D) E

Question 17

Decision making is an unconscious process of moving toward a desirable state of affairs.

Accepted Answer

A) True 
 B)False

Question 18

A decision maker's need to justify their decision tends to cause

Accepted Answer

A)  creative decisions.
B)  the decision maker to look for more alternatives.
C)  more ethical decisions.
D)  confirmation bias.
E)  escalation of commitment.F) B) and D)
G) A) and B)

Question 19

In the late 1970s, the Premier of British Columbia announced that the province would host a transportation exhibition in 1986 with a modest budget of only $78 million. On at least two occasions, administrators recommended cancelling the exposition due to cost overruns and labour troubles, but the government decided to continue with the project. But by the end of Expo 86, the budget exceeded $1

Accepted Answer

(Note: This incident is described in J. ...

Question 20

Which of the following would be considered employee involvement?

Accepted Answer

A)  A legally mandated union-management health and safety committee.
B)  A supervisor casually asking an employee whether the company should adopt a new type of work schedule.
C)  An arrangement whereby employees elect two colleagues to the company's Board of Directors.
D)  A computer program that allows employees to submit information and ideas.
E)  All of these statements are considered employee involvement.F) A) and B)
G) All of the above

Exam 7: Decision Making and Creativity

Divergent thinking increases the level of

Correct Answer
verified

The creative process includes, in order, the following stages

Correct Answer
verified

Which of the following is NOT explicitly identified as a contingency of employee involvement?

Correct Answer
verified

If a decision maker encounters the same problem several times, he or she can increasingly rely on nonprogrammed decision routines to solve the problem.

Correct Answer
verified

A potentially useful creative practice is to list different dimensions of a system and the elements of each dimension, then think through the potential commercial usefulness of each combination.

Correct Answer
verified

The first stage of the creative process is

Correct Answer
verified

Describe the rational choice paradigm of decision making.

Correct Answer
verified
Problem identification marks the first s...
View Answer

When employees are individually asked for specific information but the problem is not described to them, this is an example of a(n) level of employee involvement.

Correct Answer
verified

Prospect theory and sunk costs effect are two reasons why people

Correct Answer
verified

People tend to be more creative when

Correct Answer
verified

Escalation of commitment can be minimized by ensuring that

Correct Answer
verified

After Crispy Foods Ltd. had poured millions of dollars into the development of a new

Employees tend to be less creative in organizations that punish failure.

Correct Answer
verified

Employees probably should not make the decision alone (without the manager's involvement) when:

Correct Answer
verified

When making important decisions, emotional markers guide our preference among the decision alternatives.

Correct Answer
verified
True

Utility is the probability (expectancy) of satisfaction (utility) for each alternative.

Correct Answer
verified
E

Decision making is an unconscious process of moving toward a desirable state of affairs.

Correct Answer
verified

A decision maker's need to justify their decision tends to cause

Correct Answer
verified

Correct Answer
verified
(Note: This incident is described in J. ...
View Answer

Which of the following would be considered employee involvement?

Correct Answer
verified

Exam 7: Decision Making and Creativity

Divergent thinking increases the level of

Correct AnswerverifiedShow Answer

The creative process includes, in order, the following stages

Correct AnswerverifiedShow Answer

Which of the following is NOT explicitly identified as a contingency of employee involvement?

Correct AnswerverifiedShow Answer

If a decision maker encounters the same problem several times, he or she can increasingly rely on nonprogrammed decision routines to solve the problem.

Correct AnswerverifiedShow Answer

A potentially useful creative practice is to list different dimensions of a system and the elements of each dimension, then think through the potential commercial usefulness of each combination.

Correct AnswerverifiedShow Answer

The first stage of the creative process is

Correct AnswerverifiedShow Answer

Describe the rational choice paradigm of decision making.

Correct AnswerverifiedProblem identification marks the first s...View AnswerShow Answer

When employees are individually asked for specific information but the problem is not described to them, this is an example of a(n) level of employee involvement.

Correct AnswerverifiedShow Answer

Prospect theory and sunk costs effect are two reasons why people

Correct AnswerverifiedShow Answer

People tend to be more creative when

Correct AnswerverifiedShow Answer

Escalation of commitment can be minimized by ensuring that

Correct AnswerverifiedShow Answer

After Crispy Foods Ltd. had poured millions of dollars into the development of a new

Employees tend to be less creative in organizations that punish failure.

Correct AnswerverifiedShow Answer

Employees probably should not make the decision alone (without the manager's involvement) when:

Correct AnswerverifiedShow Answer

When making important decisions, emotional markers guide our preference among the decision alternatives.

Correct AnswerverifiedTrue

Utility is the probability (expectancy) of satisfaction (utility) for each alternative.

Correct AnswerverifiedE

Decision making is an unconscious process of moving toward a desirable state of affairs.

Correct AnswerverifiedShow Answer

A decision maker's need to justify their decision tends to cause

Correct AnswerverifiedShow Answer

Correct Answerverified(Note: This incident is described in J. ...View AnswerShow Answer

Which of the following would be considered employee involvement?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
verified
Problem identification marks the first s...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified
E

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
(Note: This incident is described in J. ...
View Answer

Correct Answer
verified