$1.$ Rational Perspectives on Decision Making

Read the Management at Work scenario below. Then use your understanding of rational decision$-$making process to answer the questions about it$.$

$$ Shutterstock Images

Management at Work

You recently became an intern at your school$$s student advising office. You enjoy helping other students make important decisions, because you get to consider the different decision$-$making perspectives that you learned about in your management class. Today, you have an appointment with Jim, a sophomore who is struggling with his decision about a college major. Can you help Jim make the best decision possible?

First, you explain the rational decision$-$making process to Jim by outlining the steps typically followed by effective decision makers.

In the following table, identify the order in which these steps are usually taken.

Decision$-$Making Steps

Order

Select the best alternative.

Define the decision.

Identify the alternatives.

Implement the chosen alternative.

Evaluate the alternatives.

Evaluate the results.

After you review the six steps with Jim, he asks for an example of how to identify alternatives as he decides on a college major. Which of the following is the correct example to give to Jim?

Jim would make a list of majors he might want to study.

Jim would decide to get advice from upper$-$division students about the classes required for certain majors; this includes asking how difficult the classes are and whether it appears he would likely enjoy the classes.

Jim would articulate the specific issue to be decided: choosing a major so that his course schedule will include the necessary upper$-$division classes.

Jim would assess each option in terms of feasibility, satisfactoriness, and consequences. Jim will want to consider how difficult it will be for him to pursue each potential major. If some majors have a lot of required classes that are known to be difficult, that major might be weighed differently than a major with a more general or easier course of study.

While Jim likes the structure provided by the rational decision$-$making process, you caution him that it has some shortcomings. Why is the rational decision$-$making process difficult to apply completely in many situations? Check all that apply.

Managers cannot always assess all relevant information before making a decision.

Managers always approach decision making logically$.$

Managers do not always make decisions based on the company$$s best interest.

Managers may lack time to consider new and previously untested alternatives.