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Problem solving models
• Rational problem solving
• Creative problem solving
3. Develop3. Developalternativesalternatives
1. Identify1. Identifyproblemproblem
2. Choose2. Choosedecisiondecision
stylestyle
Rational Decision Making Model
4. Choose4. Choosebest solutionbest solution
5. Implement5. Implementsolutionsolution
6. Evaluate6. Evaluatedecisiondecision
Corel Corp. With permission
Problem Identification Concerns
• Perceptual Biases– Perceptual defense– Political influence by others– Mental models
• Poor Diagnostic Skills– Need to make sense– Lack of time– Complex situation– Defining solutions as
problems
Identifying Problems Effectively
• Be aware of perceptual limitations
• Discuss the situation with colleagues
• Create early warning signs
• Use information technology Corel Corp. wWth permission
Problems with Choosing Solutions
• Goals problems– Ambiguous, conflicting– Biased by personal goals
• Info processing problems– Selective attention– Limited info processing– Sequential evaluation with
implicit favourite
• Maximizing problems– Tend to satisfice
Corel Corp. With permission
Choosing Solutions Effectively
• Systematically evaluate alternatives
• Decision support systems• Scenario planning• Intuition (with caution)
Corel Corp. With permission
Intuitive Decision Making
• Ability to know when a problem or opportunity exists and select the best course of action without conscious reasoning
• Conduit for tacit knowledge
• Logical reasoning that became habit
PreparationPreparation
Creative Process Model
IncubationIncubation
Insight
VerificationVerification
R. Ernst, Vancouver Province
Creativity at Millenium Technology
Illich Cheng and his employees at
Millennium Technology Inc. have
the persistent motivation and
insight to design a better magnetic
resonance imaging system (MRI).
Some people are more creative
than others due to their
intelligence, experience, inventive
thinking style, and persistence.
Characteristics of Creative People
• Intellectual abilities– Synthetic, general, practical
• Relevant knowledge and experience
• Motivation and persistence
• Inventive thinking styleR. Ernst, Vancouver Province
Creative Work Environment• Organizational support
– Tolerates mistakes– Encourages communication– Offers job security
• Intrinsically motivating work– Task significance, autonomy, feedback– Self-leadership– Flow — align competencies with job
• Sufficient time and resources
Creative Practices
•• JammingJamming
•• Review past Review past projectsprojects
•• Tell me, Tell me, strangerstranger
RedefineRedefinethe Problemthe Problem
•• Chain storyChain story
•• Artistic Artistic activitiesactivities
•• MetaphorsMetaphors
•• Morphological Morphological analysisanalysis
AssociativeAssociativePlayPlay
•• Diverse teamsDiverse teams
•• In-house In-house presentationspresentations
Cross-Cross-PollinationPollination
De Bono’s Six HatsThe quality of our thinking will determine the quality
of our future.” Dr. Edward de Bono
Avoid impulsive behaviour and snap judgments.
See alternatives not difficulties or dilemmas. Improve decision making and idea
generating skills. Increase ability to consider the
consequences before taking action. Work more productively when working with
others in a group.
The Hats• White Hat - Information – Facts; what you have,
what you need and where to get it.• Red Hat - Feelings – Intuition and instincts.• Black Hat - Caution – Dangers and potential
problems.• Yellow Hat - Benefits - Positive aspects and values.• Green Hat - Creativity – Alternatives, options, new
concepts and perceptions.• Blue Hat - Managing the thinking – Ensuring rules
are observed, sequencing hats and decision taking.
© Photodisc. With permission.
Team Decision Making Constraints
• Time constraints– Process loss
– Production blocking
• Evaluation apprehension– Belief that other team
members are silently evaluating you
• Conformity to peer pressure– Suppressing opinions that
oppose team norms
© Photodisc. With permission.
Team Constraints: Groupthink
• Tendency in highly cohesive teams to value consensus at the price of decision quality
• More common when the team:– is highly cohesive
– is isolated from outsiders
– faces external threat
– has recent failures
– leader tries to influence decision
© Photodisc. With permission.
Team Constraints: Group Polarization
• Tendency for teams to make more extreme decisions than individuals alone
• Riskier options usually taken because of gambler’s fallacy — believe luck is on their side
Decision Process
High Risk
IndividualOpinions
Low Risk
Group Polarization Process
Team Decision
Team Decision
Social SupportPersuasion
Shifting Responsibility
Improving Team Decision Making
1.Ensure neither leader nor any member dominates
2.Maintain optimal team size
3.Team norms encourage critical thinking
4.Introduce effective team structures
Generating Constructive Controversy
• Form heterogeneous decision making team
• Ensure team meets often to face contentious issues
• Members should take on different discussion roles
• Team thinks about the decision under different scenarios
E. Luse. San Francisco Chronicle
Features of Brainstorming
1. No criticism
2. Encourage many ideas
3. Speak freely
4. Build on others’ ideas
Photo: Courtesy of IBM Canada
Evaluating Electronic Brainstorming
Benefits+ Less production blocking
+ Less evaluation apprehension
+ More creative synergy
+ More decision efficiency
Problems– Too structured
– May be costly
– Lacks interpersonal dynamics
– Candid feedback is threatening
DescribeDescribeproblemproblem
IndividualActivity
TeamActivity
IndividualActivity
Nominal Group Technique
Write downWrite downpossiblepossiblesolutionssolutions
PossiblePossiblesolutionssolutionsdescribeddescribedto othersto others
Vote onVote onsolutionssolutionspresentedpresented
Escalation of Commitment
Escalation occurred when the
British government continued
funding the Concorde supersonic
jet long after it’s lack of
commercial viability was
apparent. To this day, some
scholars refer to escalation of
commitment as the “Concorde
fallacy.”© Corel Corp. With permission
© Corel Corp. With permission
Escalation of Commitment Causes
• Self-justification
• Gambler’s fallacy
• Perceptual blinders
• Closing costs
Employee Involvement Defined
The degree that employees share information, knowledge, rewards, and power throughout the organization
– active in decisions previous outside their control
– power to influence decisions
– knowledge sharing
Forms of Employee Involvement
Informal
Casual information exchanges
Example: Boss asks for ideas
Formal
Codified practices
Example: SDWTs at TRW Canada
Statutory
Required by law
Example: European codetermination
Voluntary
No legal requirement
Example: Strategic task force
DirectEmployees personally involved
Example: Staff vote against smoking in the workplace
Representative
Reps decide for other employees
Example: Employee reps as directors
High
Medium
Low
Levels of Employee InvolvementHigh involvement — Employees have complete decision making power (e.g., SDWTs)
Full consultation — Employees offer recommendations (e.g., gain sharing)
Selective consultation — Employees give information, but don’t know the problem
How Involvement Improves Decisions
EmployeeInvolvement
Identify and define problems better
More likely to selectthe best option
Usually identify more and better solutions
Contingencies of Employee Involvement
• Decision quality
• Decision commitment
• Decision conflict
• Structured problem
Overcoming Involvement Challenges
• Cultural Differences– Better in collectivist and low power distance
cultures
• Management Resistance– Educate/train managers to become facilitators
• Employee and Union Resistance– Concerns about increased stress, giving up union
rights, and union power– Solution is trust and involvement