Fundamentals of organizational behavior 2e by dubrin ch04

Individual Decision Making and Creativity Fundamentals of Organizational Behavior 2e Andrew J.. DuBrin, Fundamentals of Organizational Behavior, Second Edition.. DuBrin, Fundamentals of

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Individual Decision Making and Creativity

Fundamentals of

Organizational Behavior 2e

Andrew J DuBrin PowerPoint Presentation by Charlie Cook

Chapter 4

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Learning Objectives

decision-making model when faced with a major decision.

effectiveness of decision making.

in organizations.

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A J DuBrin, Fundamentals of Organizational

South-Western

4–3

Types of Decisions

Decision

more alternative responses or courses of action.

Programmed Decisions

use standardized response

alternatives to recurring problems.

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Types of Decisions (cont’d)

Nonprogrammed Decisions

creative thinking to develop

unique responses to

nonrecurring problems for

which alternatives are not

known in advance.

are involved in nonprogrammed

decision making; lower level

managers face more

programmed decisions.

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South-Western

4–5

Degree of Risk and Uncertainty

Associated with Decisions

Certainty

Facts are well known.

Alternatives are known

and outcomes can be

predicted accurately.

Usually involves

lower-level issues

Certainty

Facts are well known.

Alternatives are known

and outcomes can be

predicted accurately.

Usually involves

lower-level issues

Risk

Facts are known.

Alternatives are less clearly defined.

The probability of outcomes is predicted from experience.

Risk

Facts are known.

Alternatives are less clearly defined.

The probability of outcomes is predicted from experience.

Uncertainty

Facts are unknown.

Few alternatives are known.

The probability of outcomes cannot be predicted accurately.

Uncertainty

Facts are unknown.

Few alternatives are known.

The probability of outcomes cannot be predicted accurately.

Low Degree of Risk and Uncertainty High

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Decision-Making Models

Classical decision model

Behavioral decision model

and instability.

situation

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South-Western

4–7

A Classical/Behavioral Decision-Making

Model

rational framework though they may rely on

personal intuition and judgment at various

points in the decision process.

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The Decision-Making Process

Identify and diagnose the problem

Establish decision criteria

Develop creative alternatives

Evaluate the alternatives

Choose one alternative

Implement the decision

Repeat process

“What really is our problem?”

“What are we trying

to accomplish?”

“Let’s dream up some great ideas.”

“Some of these ideas are good, some are wacko.”

“Now let’s take action.”

“This alternative is a winner!”

“Back to the drawing board.”

EXHIBIT

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South-Western

4–9

Bounded Rationality and Influences

on Decision Making

Bounded rationality (Herbert Simon)

little or no control.

adequate, acceptable, or passable is chosen.

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Bounded Rationality

of Decision Maker

Intuition

Political Considerations

Personality and

Cognitive Intelligence

Quality and Accessibility of Information

Values

Crisis and Conflict

“I like risks and I’m really bright.”

Emotional Intelligence

Procrastination

“I can read people great and control my emotions.”

“The IS group is feeding

me great stuff.”

“What does my boss want me to decide?”

“I’ve got integrity.”

“I’m great at hunches.”

“Let’s wait before deciding.”

“Our backs are to the

wall, and we disagree.”

EXHIBIT

Influences on Decision Making Contributing

to Bounded Rationality

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South-Western

4–11

The Nature of Creativity

Creativity:

that can be put into action.

non-programmed decisions.

Approaches to understanding

creativity:

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Step 1

Opportunity or Problem

Recognition

Step 2 Immersion

Step 3 Incubation

Step 5 Verification

Step 4 Insight

“I see something of

potential value here.” “Time for a warm bath and a long sleep. “Time to raise some money and get a few early customers.”

“Wow, I’ll sell moon rocks over the Net.”

“I’m going to gather all

l can find on this subject.”

Steps in the Creative Process

EXHIBIT

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South-Western

4–13

Characteristics of Creative People

Knowledge

 Have acquired a broad background of facts and

information needed to support creative problem

solving when combining ideas and things in new

and different ways

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(cont’d)

Intellectual Abilities

Are bright but not brilliant;

possessing creative intelligence.

Are good at generating and

choosing alternatives (thinking

divergently/convergently).

Are youthfully curious and

empathetic to others.

Creatively use both fluid and

crystallized intelligence.

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South-Western

4–15

(cont’d)

Personality

do not need strong approval from

the group.

on an idea

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Conditions Necessary for Creativity

Internal factors affecting creativity:

which individuals approach problems.

for maximizing creativity

make the task worth doing regardless of the consequences.

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South-Western

4–17

Conditions Necessary for Creativity

in the way in which individuals approach problems.

non-punitive environment that welcomes new ideas and original thinking.

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Enhancing and Improving Creativity

Creative problem solving requires:

ways of thinking by breaking

down the rigid thinking that

blocks new ideas

to “think outside the box.”

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South-Western

4–19

Techniques for Enhancing Creativity

Brainstorming:

increase the likelihood of a breakthrough.

writing them down.

session by following the

rules to rigidly.

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Techniques for Enhancing Creativity

(cont’d)

Idea quotas

come up with new ideas

on a regular basis.

Heterogeneous group

culturally diverse groups

to bring various

viewpoints to problems at

hand and to develop

creative ideas.

Financial incentives

suggestions and implemented ideas.

Architecture and physical layout

to communication and interaction to foster creative thinking.

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