DECISION MAKING

What are the organization's long-term objective

What strategies will best achieve those objective

What should the organization's short-term objective be?

How difficult should individual goals be?

How many employees should I have report directly to me ?

How much centralization should there be in the organization?

How should jobs be designed?

When should the organization implement a different structure?

How do I handle employees who appear to be low in motivation?

What is the most effective leadership style in a given situation?

How will a specific change affect worker productivity?

When is the right time to stimulate conflict?

What activities in organization need to be controlled?

How should those activities be controlled?

When is a performance deviation significant?

What type of management information system should the organization have?

Given factual questions and asked to judge the probability that the answers are correct.

Too optimistic.

Tendency to grip on initial information and fail to adequately adjust for subsequent information

Seek information that confirms past choices, and reduce information that contradicts them.

Have good information and strongly believe in own opinions

Tendency to base judgements on information that is readily available.

The easier something is to recall, the more important it seems.

Staying with a decision even when there is clear evidence it is wrong.

Tendency to believe the prediction on outcomes of an event.

Create meaning in random events

Tendency to prefer a sure thing over a risky outcome.

Tendency to believe falsely, after the outcome is
known that prediction is correct

Reduces ability to learn from the past.