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29 November, 10:42

Which of the following is not an assumption of the classical model of decision making?

A - Managers determine all possible alternatives and the potential outcomes of each choice they could make.

B - Managers use logic to evaluate options and maximize the attainment of organizational goals.

C - Managers seek to achieve agreed-upon goals and solve precisely defined problems.

D - Managers will use intuition rather than rational analysis to make sound decisions when information is incomplete.

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Answers (2)
  1. 29 November, 10:58
    0
    The right choice is : "D - Managers will use intuition rather than rational analysis to make sound decisions when information is incomplete."

    Explanation:

    The concept of the classical model is that It prescribes the best ways to make decision where it is assumed that the environment/information for decision making is perfectly available.

    So, in the model, there are four main assumptions as below:

    + Problems and expectations are all clearly defined and agree-upon by stakeholders;

    + The environment is very clear, there should be no uncertainty;

    + There is full of information supporting decision making;

    + Decision maker are rational and always acting in the organization's interests.

    So, by re-visiting the concept, we can conclude "D" is the correct choice.
  2. 29 November, 13:16
    0
    D

    Explanation:

    A classical model of decision entails the decision maker being logical and rational in approach to uncertainty in order to ensure that decisions are made in the best interest of all parties.
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