Decision Making A Rational Approach

Most of us have to make decisions from the time we wake up until the time we go to bed at night. Answering questions like what should I eat for breakfast, can I make that yellow light and should I go to the gym or go out for pizza all require us to make a choice or a decision (Robbins, S.P., Judge, T.A., 2009). At work I am challenged with collaborating with managers and other leaders to make decisions based on scenarios and events that occur in the hospital.

The ability for one to make rational decisions is vital, and this is especially true for decisions that can have enormous consequences. The process for making rational decisions is tedious, it requires one to have the opportunity to deeply process, evaluate, and re-evaluate available options. This suggests that rational decisions must be made in the absence of external parties because external influences are capable of preventing individuals from processing information for themselves. Otherwise, this would likely result in the individual coming to rash conclusions that cater to the external parties. Unfortunately, under most circumstances, it is a challenge to make rational decisions, because as social animals, we constantly expose

However, three of the most prominent in this area are the anchoring heuristic, the representativeness heuristic, and the availability heuristic. Each of these biases provide a way for people to make judgments very quickly. Although they often work, they can also be a source for error because people, in making quick judgments, tend to make generalizations about others that are sometimes accurate, but not always. In considering decision making skills, research has demonstrated that people tend to think more highly of themselves, both morally and in their capabilities, than others. This inflated self view can cause people to greatly overestimate their own capabilities while grossly underestimating the capabilities of others. People's overconfidence can lead them to make inaccurate decisions and to choose the wrong course of action: they tend to give more attention and weight to their own insights rather than to objective information.

(a) Did Rohrtech’s Board use the rational decision-making paradigm at the end of the case when it decided to replace Devine with O’Grady as COO? Support your answer with facts from the case and a thorough knowledge of the rational decision-making paradigm.

Decision making is an important area of study in psychology, because it ultimately affects behavior, as is demonstrated in studies discussing gambling and risky decisions. The research on factors affecting decision making is crucial, not just for the overall advancement of psychology, but because it has strong application value. It can be used for helping certain individuals make better decisions in important or stressful situations, and to decrease risky behavior overall.

These availability heuristics can also lead to us creating stereotypes. For example, we may tend to shy away from a certain group of people, if there has recently been a news story about someone from that group committing a crime. This can cause us to falsely accuse innocent people purely based on their appearance. Again however, this could also be to our advantage if we realize that a situation we find ourselves in is similar to one we have heard negative things about, we can remove ourselves from potentially dangerous situations.

Many times, time and perseverance is the key to the best result possible. But like Gary Collins said “We can try to avoid making choices by doing nothing, but even that is a decision. Therefore, decision making is in us relentlessly whether we want it or not.

Decision-making is always critical in people’s day-to-day lives. Individuals have to make choices between the very many options they have at their disposal. In doing so, sound judgement is needed, accompanied by much sobriety (Fay, & Montague, 2014). However, in trying to make sound decisions people always base their opinions on certain reference points. In fact, psychologists have generated much data, which shows that people rely so much on the pieces of information that they get to the extent that their judgement is affected. This usually presents the challenge of not making the best decision (Kansal & Sing, 2015).

The best theory that is best to clarify criminal conduct is Rational choice theory. This theory was picked specifically in light of the fact that criminal conduct is the same as noncriminal conduct. This has been looked into on account of individuals perpetrated violations, nobody constrains them to do anything that he or she wouldn't like to do yet another reason is they surmise that the reward for the wrongdoing would be more fulfilling to their requirements as opposed to having nothing and remaining out of inconvenience like noncriminal individuals. Conceded there has been a lot of research done to make sense of what drives individuals to carry out wrongdoings, keep on doing the violations and what could really make them stop perpetrate

Are we living in the market or the polis model? Stone from policy paradox argues against the main view of policy choice as rational choice. The rational model stems from the market-based model of society. With this model, the decision-maker goes through logical steps to make their decision. Stone argues that this process is missing the point because politics is everything and I agree because whatever we do has an opportunity cost. Even in the rational model, decisions are ultimately political with the steps serving as rationalizations for the preferred choice. Market failure occurs when individuals cannot use the rational decision-making process or when using the rational decision-making process does not lead to optimal societal outcomes.

A new law was just recently passed, you are no longer able to make your own decisions. Starting on Monday an app will be added to every phone in the US, if you do not consult with this app before making a decisions it will result in immediate prosecution. How would you feel if you heard this on the news? If you weren't aloud to make your own decisions. Would America really be ¨The Land of The Free? Decisions are the key part of what makes us people, take away our right to think for ourselves and we basically become robots.

Chapter six introduces us to motivational and emotional influences on decision-making. Our emotions are powerful and play heavily into our judgments. As a result of this behavior, our decisions are often persuaded by the way we feel at different moments in time. Our judgments are clouded by our cognitive responses. Also, our tendency to have “multiple-selves” often leads us towards decisions resulting in immediate rewards rather than holding out for the wiser decision. All of these factors are influential in our ability to make greater choices.

The decision making process is not without mistakes. We are human and humans make mistakes. At times, these mistakes are bridged with biases and occur when judgemental heuristics are used. This is a process in which people use unconscious shortcuts to reduce information processing. These shortcuts come from our past experiences and have both pros and cons. There are eight biases the text discusses including availability heuristic, representativeness heuristic, confirmation bias, anchoring bias, overconfidence bias, hindsight bias, framing bias, and escalation of commitment bias (Kreitner & Kinicki, 2013).

Representative Heuristics is used in making judgments under uncertainty. In making judgments, people usually pay attention to the similarity between such event and a standard process. In one example, when I had severe pain and had ulcers in my stomach, everybody in the family asked me about whether I had experienced stress and worries over my life. Everybody was concerned that I was young and had started worrying about life to the point of developing ulcers. In so doing, they referred to a similar case in the neighborhood where severe mental stress had resulted in severe ulcers. Yet, the ulcers were caused by a certain bacterial infection in my stomach. It was successfully treated and I regained my health.

This report will discuss about the approach to rational decision making process. It discusses how an everyday problem faced by management can be tackled by using