Managerial Decision Making



Managerial Decision Making

Discuss how bias has blocked your ability to make a rational decision. In your answer, discuss the heuristic that you may have used and the bias associated with that heuristic. What could you have done to overcome the bias generated by the heuristic?

Decision making is the process by which a choice is made ??between options or ways to solve different situations of life in different contexts: at work, family, sentimental business. Thus, somehow, biasness occurs in any decision making process. However, rational decision has some assumptions prior to the decision making process, those are Constant preferences, not time or cost constraints, and maximum payoffs. However, still biasness does block the ability to make a perfect decision. It comes along in between where a person has experienced a certain product or has some association with the brand; this is the reason where biasness restricts a person on making a rational decision. Giving my own example, I was called by the administration department to suggest them some brands of cell phones, that is to given to eligible employees, I recommended the brand I use, because of the prior experiences, and my association with that since years, though many were against it, however, being in the top management my suggestion got approved. In my opinion, there are many ways to overcome the bias generated by the heuristics, those are the one should constantly focus on goals, and should search for information that disconfirms certain beliefs, and the main is to increase the options.

Consider the last decision that you have made (purchase of an automobile, purchase of a home, seeking a new job, choose a topic). Then, discuss that decision in terms of the rational decision making model. How could you have improved your decision?

The last decision that I ...