Answer the following statements true (T) or false (F)
1. When faced with a decision, Myles asks himself "Why not just take the easiest way out?" This approach, known as relaxed change, is a form of evidence-based decision making.
2. Danielle, the IT department chair at a community college, has been having problems with her students not coming to class, so their grades are suffering. If Danielle were to use defensive avoidance to respond to this situation, she would likely respond by procrastinating, passing the buck, or denying the risk of any negative consequences.
3. With an escalation of commitment bias, decision makers increase their commitment to a project despite negative information about it.
4. The larger and more diverse the group, the higher the quality of the decision.
1. FALSE
There are four defective problem-recognition and problem-solving approaches that act as barriers when you must make an important decision in a situation of conflict, one of which is relaxed change: "Why not just take the easiest way out?" In relaxed change, a manager realizes that complete inaction will have negative consequences but opts for the first available alternative that involves low risk. This is, of course, a form of satisficing, as the manager avoids exploring a variety of alternatives to make the best decision.
2. TRUE
In defensive avoidance, a manager can't find a good solution and responds by (1) procrastinating, (2) passing the buck, or (3) denying the risk of any negative consequences. This is a posture of resignation and a denial of responsibility for taking action.
3. TRUE
If you really hate to admit you're wrong, you need to be aware of the escalation of commitment bias, whereby decision makers increase their commitment to a project despite negative information about it. To reduce the escalation of commitment bias, decisions makers should set minimum targets for performance and then compare their performance results with targets. Managers should also be rotated in key positions during a project, and decision makers should be encouraged to become less ego-involved with the work. Finally, decision makers should be made aware of the costs of persistence.
4. FALSE
The size of a group affects the decision quality. In general, the larger the group, the lower the quality of the decision. But for the benefits of a group to happen, the group must be made up of diverse participants, not just people who all think the same way.
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