Prentice Hall, 2001 Chapter 5 1
Perception and Individual Decision
Making
Prentice Hall, 2001 Chapter 5 2
Factors ThatFactors ThatInfluence PerceptionInfluence Perception
SituationSituationTargetTarget PerceiverPerceiver
Prentice Hall, 2001 Chapter 5 3
Attribution of Cause
InterpretationObservation
Attribution Attribution
Theory andTheory and
IndividualIndividual
BehaviorBehavior
ExternalExternal
ExternalExternal
ExternalExternal
InternalInternal
InternalInternal
InternalInternal
DistinctivenessDistinctiveness
ConsensusConsensus
ConsistencyConsistency
HighHigh
LowLow
HighHigh
LowLow
HighHigh
LowLow
Prentice Hall, 2001 Chapter 5 4
ContrastContrastEffectEffect
ContrastContrastEffectEffect
SelectivePerceptionSelective
Perception
StereotypingStereotyping
Halo EffectHalo Effect
ProjectionProjection
Frequently Used Shortcuts When Judging Others
Prentice Hall, 2001 Chapter 5 5
Specific Applications in Specific Applications in OrganizationsOrganizations
• Employment interview
• Performance expectations
• Performance evaluation
• Employee effort
• Employee loyalty
Prentice Hall, 2001 Chapter 5 6
Rational Model of
Decision Making
Problem
Identify andDefine Problem
DevelopAlternatives
A1
A2
A3
A4
An
EvaluateAlternatives
+
A1 A1
A2 A2
An An
Criteria
Weightthe Criteria
T E C H
Set DecisionCriteria
Choice
Make OptimalDecision
Prentice Hall, 2001 Chapter 5 7
Assumptions of the ModelAssumptions of the ModelAssumptions of the ModelAssumptions of the Model
One:One:
Problem ClarityProblem ClarityOne:One:
Problem ClarityProblem ClarityFour:Four:
Constant PreferencesConstant PreferencesFour:Four:
Constant PreferencesConstant Preferences
Five:Five:
No ConstraintsNo Constraints Five:Five:
No ConstraintsNo Constraints Two:Two:
Known OptionsKnown OptionsTwo:Two:
Known OptionsKnown Options
Three:Three:
Clear PreferencesClear PreferencesThree:Three:
Clear PreferencesClear PreferencesSix:Six:
Maximum PayoffMaximum PayoffSix:Six:
Maximum PayoffMaximum Payoff
Prentice Hall, 2001 Chapter 5 8
The Three Components of The Three Components of Creativity Creativity
Expertise
TaskMotivation
CreativitySkills
Creativity
Prentice Hall, 2001 Chapter 5 9
A Model of Bounded A Model of Bounded RationalityRationality
AscertainAscertainthe Need the Need
for a Decisionfor a Decision
SimplifySimplifythe Problemthe Problem
SelectSelectCriteriaCriteria
Identify aIdentify aLimited Set Limited Set
of Alternativesof Alternatives
CompareCompareAlternativesAlternatives
Against CriteriaAgainst Criteria
ExpandExpandSearch forSearch for
AlternativesAlternatives
Select theSelect theFirst “GoodFirst “Good
Enough” ChoiceEnough” Choice
A “Satisficing”A “Satisficing”AlternativeAlternative
ExistsExists
YesNo
Prentice Hall, 2001 Chapter 5 10
Intuitive Decision Making
High uncertainty levels Little precedent Hard to predictable variables Limited facts Unclear sense of direction Analytical data is of little use Several plausible alternatives Time constraints
Prentice Hall, 2001 Chapter 5 11
AlternativeAlternativeDevelopmentDevelopmentAlternativeAlternative
DevelopmentDevelopmentProblemProblem
IdentificationIdentificationProblemProblem
IdentificationIdentification
Two Important Two Important Decision-Making Decision-Making
PhasesPhases
Two Important Two Important Decision-Making Decision-Making
PhasesPhases
Prentice Hall, 2001 Chapter 5 12
Analytic Conceptual
BehavioralDirective
Rational IntuitiveWay of Thinking
High
Low
To
lera
nce
fo
r A
mb
igu
ity
Decision-Making StylesDecision-Making Styles
Prentice Hall, 2001 Chapter 5 13
Organizational Organizational ConstraintsConstraints
RewardRewardSystemSystem
HistoricalHistoricalPrecedentsPrecedents
ProgrammedProgrammedRoutinesRoutines
PerformancePerformanceEvaluationEvaluation
Prentice Hall, 2001 Chapter 5 14
ProblemProblemIdentificationIdentification
The Value ofThe Value ofRationalityRationality
TimeTimeOrientationOrientation
Groups orGroups orIndividualsIndividuals
CulturalCulturalDifferencesDifferences
Prentice Hall, 2001 Chapter 5 15
Ethics in Decision-Making
Utilitarian Rights
Justice