Problem solving and decision making multiple choice



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CHAPTER 5—PROBLEM SOLVING AND DECISION MAKING
MULTIPLE CHOICE
1. A problem is technically defined as a discrepancy between the

a.

past and present.

b.

future and present.

c.

person's wishes and desires.

d.

ideal and actual conditions.

ANS: D PTS: 1 DIF: E REF: p. 152

NAT: AACSB: Analytic, Strategy
2. The purpose of decision making is to

a.

analyze a problem.

b.

solve a problem.

c.

collaborate..

d.

involve people in the decisions.

ANS: B PTS: 1 DIF: M REF: p. 155

NAT: AACSB: Reflective Thinking, Creation of Value
3. In making a decision, the alternative should be chosen that most clearly

a.

is favored by top management.

b.

achieves the goal of the decision.

c.

saves the organization money.

d.

leads to innovation.

ANS: B PTS: 1 DIF: M REF: p. 157

NAT: AACSB: Analytic, Creation of Value
4. A major reason that decision making is often not such a rational process is that there are

a.

too many stages in decision making for most people to cope with.

b.

natural biases against diagnosing problems.

c.

few bounds to human decision-making capability.

d.

limits to how much information people can process and recall.

ANS: D PTS: 1 DIF: D REF: p. 158

NAT: AACSB: Analytic, Individual Dynamics
5. The purpose of a heuristic in decision making is to

a.

simplify the decision-making process.

b.

find a rapid way to explore more alternatives.

c.

obtain input from a large number of people.

d.

evaluate whether a decision was effective.

ANS: A PTS: 1 DIF: M REF: p. 159

NAT: AACSB: Reflective Thinking, Individual Dynamics
6. To say that a decision is based on political considerations means that it is not based on

a.

alliances with others.

b.

thoughts of acquiring power.

c.

both sides of an issue.

d.

the objective merits of the situation.

ANS: D PTS: 1 DIF: D REF: p. 164

NAT: AACSB: Reflective Thinking, Strategy
7. Emotional intelligence generally deals with the ability to

a.

connect with people and understand their emotions.

b.

stay in control while taking tests.

c.

knowing how to throw a tantrum for effect.

d.

using common sense to earn a living.

ANS: A PTS: 1 DIF: E REF: p. 162

NAT: AACSB: Analytic, Individual Dynamics
8. Billy is usually heavily influenced by the first information he receives on a topic. He is under the influence of a process called

a.

anchoring.

b.

rationalizing.

c.

trial and error.

d.

emotional intelligence.

ANS: A PTS: 1 DIF: E REF: p. 164

NAT: AACSB: Analytic, Individual Dynamics
9. A recommendation for becoming more adept at making decisions under crisis conditions is

a.

to establish a special committee.

b.

to avoid taking risks.

c.

to anticipate crises

d.

to avoid speaking to the media.

ANS: C PTS: 1 DIF: M REF: p. 165

NAT: AACSB: Reflective Thinking, Strategy
10. Julio was going to recommend a new billing system for the hospital where he works. However, he does not want to upset the executive who installed the system, so he does not make the recommendation. Julio has fallen into the

a.

overconfidence trap.

b.

status quo trap.

c.

anchoring trap.

d.

creativity rut.

ANS: B PTS: 1 DIF: M REF: p. 164

NAT: AACSB: Reflective Thinking, Individual Dynamics
11. A frequent decision-making error during a crisis is to

a.

methodically search for alternatives

b.

become less rational and more emotional.

c.

become more rational and less emotional.

d.

welcome differences of opinion.

ANS: B PTS: 1 DIF: E REF: p. 185

NAT: AACSB: Communication, Leadership Principles
12. The purpose of visualization for making better decisions under crisis is to

a.

rehearse in your mind how you will react to the crisis.

b.

think of all the times you have failed in the past.

c.

engage in a pleasant fantasy to reduce your stress.

d.

imagine how angry your boss will be if your fail.

ANS: A PTS: 1 DIF: M REF: p. 165

NAT: AACSB: Reflective Thinking, Strategy
13. Marketing executive Jasmine likes to make a decision quickly as soon as enough information is available, and she also likes to generate lots of options. Her decision-making style is therefore characterized as,

a.

decisive.

b.

flexible.

c.

hierarchic.

d.

integrative.

ANS: B PTS: 1 DIF: M REF: p. 167

NAT: AACSB: Reflective Thinking, Strategy
14. Information technology executive Darryl likes to pore over a lot of information before making a decision, and he also likes to commit to one course of action. His decision-making style is therefore characterized as

a.

decisive.

b.

flexible.

c.

hierarchic.

d.

integrative.

ANS: C PTS: 1 DIF: M REF: p. 167

NAT: AACSB: Reflective Thinking, Individual Dynamics
15. A major advantage of group decision making is that

a.

it makes efficient use of time.

b.

it results in low risk taking.

c.

members are likely to be committed to a decision.

d.

it eliminates passing the blame onto others.

ANS: C PTS: 1 DIF: M REF: p. 168

NAT: AACSB: Reflective Thinking, Group Dynamics
16. A distinguishing feature of the nominal group technique is that

a.

criticism and discussion are disallowed.

b.

a small group of people is assembled.

c.

alternatives are rated and the best-rated one is chosen.

d.

the group is placed on a tight time limit.

ANS: C PTS: 1 DIF: D REF: p. 172

NAT: AACSB: Reflective Thinking, Group Dynamics
17. The condition of groupthink is likely to occur when group members

a.

strive too hard for consensus.

b.

think of themselves as inferior.

c.

use the step-by-step approach to decision making.

d.

have different perspectives.

ANS: A PTS: 1 DIF: D REF: p. 169

NAT: AACSB: Reflective Thinking, Group Dynamics
18. Creativity can be defined simply as the process of

a.

doing two things at once.

b.

developing novel ideas that can be put into action.

c.

providing feedback.

d.

implementing a plan

ANS: B PTS: 1 DIF: E REF: p. 173

NAT: AACSB: Analytic, Individual Dynamics
19. A key aspect of lateral thinking is that it

a.

focuses on few answers to a problem.

b.

is needed more in manufacturing than in marketing.

c.

decreases the number of wasted alternative solutions.

d.

leads to many different solutions to a problem.

ANS: D PTS: 1 DIF: E REF: p. 174

NAT: AACSB: Analytic, Individual Dynamics
20. The type of motivation necessary for creativity is a

a.

desire to earn large financial bonuses.

b.

passion for the task.

c.

drive to win over others in competition.

d.

state of inner peace and harmony.

ANS: B PTS: 1 DIF: D REF: p. 175

NAT: AACSB: Reflective Thinking, Motivation Concepts
21. A research study showed that with respect to work creativity, encouragement from family and friends

a.

had zero impact.

b.

resulted in interference.

c.

made a contribution.

d.

made a contribution providing that the supervisor gave little encouragement.

ANS: C PTS: 1 DIF: M REF: p. 175

NAT: AACSB: Reflective Thinking, Motivation Concepts
22. Which one of the following is the most recommended approach for a manager to enhance creativity within the group?

a.

Staff the group with people of quite similar intellectual backgrounds.

b.

Keep risk taking to a minimum.

c.

Give support in terms of financial rewards and recognition.

d.

Prevent lethargy by making many discouraging comments.

ANS: C PTS: 1 DIF: M REF: p. 177

NAT: AACSB: Analytic, Strategy
23. The flow experience refers to




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