MGMT Chapter 8 - Learning and Decision Making

Learning

A relatively permanent change in an employee’s knowledge or skill that results from experience.

Decision Making

The process of generating and choosing from a set of alternatives to solve a problem.

Expertise

The knowledge and skills that distinguish experts from novices.

Explicit Knowledge

Knowledge that is easily communicated and available to everyone.

Tactic Knowledge

Knowledge that employees can learn only through experience.

Contingencies of Reinforcement

Four specific consequences used by organizations to modify employee behavior.

Positive Reinforcement

When a positive outcome follows a desired behavior.

Negative Reinforcement

An unwanted outcome is removed following a desired behavior.

Punishment

When an unwanted outcome follows an unwanted behavior.

Extinction

The removal of a positive outcome following an unwanted behavior.

Schedules of reinforcement

The timing of when contingencies are applied or removed

Continous Reinforcement

A specific consequence follows each and every occurrence of a certain behavior.

Fixed Interval Schedule

Reinforcement occurs at fixed time periods.

Variable Interval Schedule

Reinforcement occurs at random periods of time.

Fixed Ratio Schedule

Reinforcement occurs following a fixed number of desired behaviors.

Variable Ratio Schedule

Behaviors are reinforced after a varying number of them have been exhibited.

Social Learning Theory

Theory that argues that people in organizations learn by observing others.

Behavioral modeling

When employees observe the actions of others, learn from what they observe, and then repeat the observed behavior.

Learning Orientation

A predisposition or attitude according to which building competence is deemed more important by an employee than demonstrating competence.

Performance-prove orientation

A predisposition or attitude by which employees focus on demonstrating their competence so that others think favorably of them.

Performance-avoid orientation

A predisposition or attitude by which employees focus on demonstrating their competence so that others will not think poorly of them.

Programmed decisions

Decisions that are somewhat automatic because people's knowledge allows them to recognize the situation and the course of action to be taken.

Intuition

An emotional judgment based on quick, unconscious, gut feelings.

Crisis Situation

A change, sudden or evolving, that results in an urgent problem that must be addressed immediately.

Nonprogrammed decision

Decisions made by employees when a problem is new, complex, or not recognized.

Rational decision making model

A step-by-step approach to making decisions that is designed to maximize outcomes by examining all available alternatives.

Bounded rationality

The notion that people do not have the ability or resources to process all available information and alternatives when making a decision.

Satisficing

When a decision maker chooses the first acceptable alternative considered.

Selective perception

The tendency for people to see their environment only as it affects them and as it is consistent with their expectations.

Projection bias

The faulty perception by decision makers that others think, feel, and act the same way as they do.

Social identity theory

A theory that people identify themselves based on the various groups to which they belong and judge others based on the groups they associate with.

Stereotypes

Assumptions made about others based on their social group membership.

Heuristics

Simple and efficient rules of thumb that allow us to make decisions more easily.

Availability bias

The tendency for people to base their judgments on information that is easier to recall.

Fundamental attribution error

The tendency for people to judge others’ behaviors as being due to internal factors such as ability, motivation, or attitudes.

Self serving bias

When we attribute our own failures to external factors and success to internal factors.

Consesus

Used by decision makers to attribute cause; whether other individuals behave the same way under similar circumstances.

Distinctiveness

Used by decision makers to attribute cause; whether the person being judged acts in a similar fashion under different circumstances.

Consistency

Used by decision makers to attribute cause; whether this individual has behaved this way before under similar circumstances.

Escalation of commitment

A common decision-making error in which the decision maker continues to follow a failing course of action.

Training

A systematic effort by organizations to facilitate the learning of job-related knowledge and behavior.

Knowledge Transfer

The exchange of knowledge between employees.

Behavior modeling training

A formalized method of training in which employees observe and learn from employees with significant amounts of tacit knowledge.

Communities of practice

Groups of employees who learn from one another through collaboration over an extended period of time.

Transfer of training

Occurs when employees retain and demonstrate the knowledge, skills, and behaviors required for their job after training ends.

Climate for transfer

An organizational environment that supports the use of new skills.

Reinforcement theory

operant conditioning, we learn by observing the link between our voluntary behavior and consequences that follow

Thorndikes law of effect

behaviors followed by satisfying or positive consequences are more likely to be repeated in the future, while behaviors followed by unpleasant or negative consequences are less likely to be repeated.

What are the five types of reinforcement schedules?

1. Continuous

2. Fixed interval

3. Variable interval

4. Fixed ratio

5. Variable ratio

How do people learn from others in their environment?

They learn from social observation, and start behavioral modeling.

What four things are necessary for  proper learning to occur?

1. Attention processes

2. Retention processes

3. Production processes

4. Reinforcement

What are the three types of goal orientations?

1. Learning orientation

2. Performance prove orientaztion

3. Performance avoid orientation

What are the steps in the decision-making process?

1. Generate list of alternatives that are potential solutions to the problem

2. Evaluate those criteria and alternatives

3. Select the alternative that results in the best outcome

4. Implement the alternative

What are some assumptions related to  the decision making process?

1. There is a clear amd definite problem to solve

2. We have the ability to identify exactly what the problem is

3. Decision makers have perfect information

4. Time and money are not issues

5. Decision makers always choose the alternative that maximizes value

6. They will act in the best interests of the organization

What are some problems with decision making?

1. Bounded rationality

2. Satisficing

3. Escalation

What are the causes of faulty perception?

1. Selective perception

2. Projection bias

3. Social Identity theory

4. Heuristics

5. Availability bias

What is attribution?

when people witness a behavior or outcome, they make assumptions about whether it was internally or externally caused

What are the three keys that help us to make an attribution?

1. Consensus: did others act the same way under similar circumstances?

2. Distinctiveness: Does this person tend to act differently in other circumstances?

3. Consistency: Does this person always do this when performing this task?

What are  the two common errors that people make when making attributions?

Fundamental attribution theory - people have a tendency to judge others behaviors as due to internal factors

Self serving bias - failures = external attributions & successes = internal attributions

How does learning relate to job performance?

Moderate positive effect, employees who gain more knowledge and skill tend to have higher levels of task performance

How does learning relate to organizational commitment?

Weak positive effect, employees who gain more knowledge and skill tend to have slightly higher levels of affective commitment