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Chapter 11Decision MakingCopyright ? 2011 Pearson Canada Inc.第一页，共七十七页。 Learning ObjectivesDefine decision making and differentiate well-structured and ill-structured problems.Compare and contrast perfectly rational decision making with decision making under bounded rationality.Discuss the impact of framing and cognitive biases on the decision process.Copyright ? 2011 Pearson Canada Inc.第二页，共七十七页。 Learning Objectives4. Explain the process of escalation of commitment to an apparently failing course of action.5. Consider how emotions and mood affect decision making.Summarize the pros and cons of using groups to make decisions, with attention to the groupthink phenomenon and risk assessment.Discuss techniques for improving organizational decision making.Copyright ? 2011 Pearson Canada Inc.第三页，共七十七页。 What Is Decision Making?Decision making is the process of developing a commitment to some course of action.Three things are noteworthy about decision making:It involves making a choice among several action alternatives.It is a process.It involves a commitment of resources.Copyright ? 2011 Pearson Canada Inc.第四页，共七十七页。 What Is Decision Making? (continued)Decision making can also be described as a process of problem solving.A problem exists when a gap is perceived between some existing state and some desired state.Copyright ? 2011 Pearson Canada Inc.第五页，共七十七页。 Well-Structured ProblemsA problem for which the existing state is clear, the desired state is clear, and how to get from one state to another is fairly obvious.These problems are simple, and their solutions arouse little controversy.They are repetitive and familiar and they can be programmed.A program is a standardized way of solving a problem.Copyright ? 2011 Pearson Canada Inc.第六页，共七十七页。 Well-Structured Problems (continued)Programs short-circuit the decision-making process by enabling the decision maker to go directly from problem identification to solution.They are also known as rules, routines, standard operating pr