Individual Decision Making 2025

Should we minimize the role of emotions in decision making? Why so? [ hint- recall the tip of the day]

Yes we should minimize the role of emotions in decision making so we don’t make a hasty decision or an impulsive decision.

What are structured/ unstructured problems?

Structured problems are the straight forward problems which can be determined and solved by repeating examination and testing on the problems.

Unstructured problems are the difficulties introduced to an organization when facing unusual situation and their solution are different and sometimes unique.

What are programmed decisions? What are unprogrammed decisions

Programmed decisions are those that are repeated over time and for which an existing set of rules can be developed to guide the process.

non-programmed decisions are ill-structured and one-time decisions.

What are the key assumptions of the rational (classical) model of decision making?

-          Objectives are clear

-          Everyone agrees on criteria and weights of criteria

-          All alternatives are known

-          All consequences can be anticipated

-          Decision makers are unbiased and able to choose the optimal solution.

How does the rational model of decision making differ from the bounded rationality model?

Rational decision making differs from bounded rationality model because the rationality model is more focused on independent decision making where as rational decision making mainly is implemented into group decision making.