Decision Maker and the Rational Man - Free Essay Example

Sample details Pages: 7 Words: 2199 Downloads: 8 Date added: 2017/09/18 Category Economics Essay Type Argumentative essay Topics: Organization Essay Did you like this example? Decision Maker and the Rational Man I. Decision Maker and the Rational Man 1. Introduction As individuals we face decision situations everyday. It might be a problem or an opportunity, but in both cases the individual has to come at a perfect decision. At a rational view individual will try to gather as much information as possible on the available alternatives and the consequences they might derive by implementing each alternative. Individuals think and reason before they act and they try to select the best alternative accessible to them. What is most important is to select a choice among the alternatives available. Any person who is faced a significant choice problem in real life, operating individually or organizationally, tends to complete the task according to the prescription by the rational choice. In words, he will think as a rational man as depicted in a textbooks of economics. Rational man will be reasonably directed toward the achievement of conscious goals and will aim to maximize his benefits. 2. Literature Review Decision making is a means to an end. It is typically described as â€Å"choosing among best alternatives†. According to Stoner et al. (2001: 239), decision making is the process of identifying and selecting a course of action to solve a specific problem. It is about identifying and choosing solutions that lead to a desired end result (Kreitner and Kinicki, 1995:299). The process begins with a problem and ends when a solution had been chosen. Decision maker is the individual or group that actually makes the choice among alternatives. Individual decision making is an important part of organizational behavior as well as in day to day life of any individual. Ideal decision makers try to use all their talents when making a decision and characterized by reason and sound judgment (Certo, 2003). Over the years, there has been much debate on how to accurately describe decision making processes in general. Beyond an implici t agreement that decisions are made through some sort of process, chaotic or otherwise, there is little else scholars agree upon. By simple definition rational means efficient, i. . , maximizing output for a given input, or minimizing input for a given output. Economic definition of the rational man refers solely to a man who moves toward his goals in a way which, to the best of his knowledge, uses the least possible input of scarce resources per unit of valued output (Downs, 1957). Human behavior is goal-oriented, chosen for a reason. Goals, objectives, purposes, and interests explain behavior. So under rational man concept human being is always behave in a way to maximize the value he gains through the end. Managerial decision making is assumed to be rational. That means managers make consistent, value–maximizing choices within specified constrains. So that is where the decision maker and rational man come together. The rational model of decision making which is also kno wn as classical model is best used to discuss about the behavior of a manager who weight his options and calculate optimal levels of risks before making the decision. Rational decision making describes choices that are consistent and value maximizing within specified constraints (Robbins and Coulter, 2002:178). It assumes that managers have access to all the information needed to reach a decision (Certo, 2003). The rational model proposes that managers use a rational, four-step sequence when making decisions: (1) identifying the problem, (2) generating alternative solutions, (3) selecting a solution, and (4) implementing and evaluating the solution (Kreitner and Kinicki, 1995:301). This model is based on the premise that managers optimize when they make decisions. A decision maker who is perfectly rational would be fully objective and logical (Robbins and Coulter, 2002:178). He or she will carefully define the problem and will have a defined goal which is clear and specific. M oreover making decisions using rationality would consistently lead toward selecting the alternative that maximizes the likelihood of achieving that goal. However in the rational decision making model there are some assumptions of rationality which apply to any decision. Figure 1: Assumptions of Rationality Source: Robbins and Coulter, 2002:178 The rational decision making model, amongst its many assumptions assumes that there is a single best solution that will maximize the desired outcomes. But in the real world individuals must make decisions within tight time constraints and with less information than he or she likes to have. Bounded rationality theory pointed out that decision makers must cope with inadequate information about the nature of the problem and its possible solutions, a lack of time or money to complie more complete information, an ability to remeeber large amount of information, and the limits of their own intelligence (Stoner et. al. ,1995:253). That means the d eciison maker is acturally deviates form being a rational man. Instead of exploring the perfect or ideal solution, decision makers frequently settle for one that will adequately serve their purpose. That means they sacrifice rather than maximize. Not only bounded rationality, intuition also play a vital role in a decision maker’s life. Decision makers usually use their intuition to improve their decision making. It’s a subconscious process of making decisions on the basis of experience and accumulated judgment (Robbins and Coulter, 2002:180). This can be simply known as â€Å"gut feeling† and will deviates decision maker from behaving rationally. It comes with experience and learning. For example a manager who had faced a similar situation of decision making might deviate from systematic approach of rational decision making and might use his or her experience and judgment to take a decision. Figure two talks about the role of intuition in decision making. Figure 2: What is intuition? Source: Robbins and Coulter, 2002:180. The quality of a manager’s decisions is important for many reasons. To illustrate some, the quality of a manager’s decisions directly affects his career opportunities, rewards, job satisfaction and achievements in life. Also the quality of managerial decisions contributes to the success or failure of an organization. As a decision maker, the way he behaves in a decision situation will directly affect to that individual’s future as well as to the future of the institution for which he makes the decision. The rational decision theory position that decision making should proceed systematically through the series of steps is sound. Better decisions likely result when decision makers carefully analyze problems, evaluate multiple alternatives, and make systematic choices on the basis of their analyses and act as a rational man. However the perspective of rational decision making model relies on the implicit assumption that â€Å"rational decision maker† could have ever existed in a natural state in organizations. Decision making process is not a strictly rational one where all relevant information is collected and objectively evaluated, rather the decision maker takes mental ‘short cuts’ in the process of decision making to arrive at a sound decision (Kahneman and Tversky 1974 in Brabazon, 2000). 3. Application in Real World In Business Organizations. Decision making is one of the primary and most important responsibilities of being a manager. In real world most of the time a manager acts as a rational decision maker. He has to think about all the alternatives available to him after analyzing the problem and list down the consequences of each alternative. And then he has to rank each alternative from low to high to based on pros and cons of each alternative and finally he has to select the best alternative to solve the problem. For example at the Cuban Missile Crisis former United State President John F. Kennedy did his best to guide his team towards the best alternative available to them. He with his team gathered as much information as possible and probe for all the alternatives available. A special part of this is analyzing the consequences of each alternative. They did their best to see what will be the ultimate result of executing alternatives to select the best choice in front of them. This is the reason why even today after many years back, President Kennedy’s actions at Cuban Missile Crisis is considered and learned as a best managerial decision taken by a true leader all over the world. This can be considered under rational decision making but even here it is restricted within the available information. Any manager or an individual who is confronting with a problem or decision situation will act as a rational man to some extend when he or she makes a decision. Let’s take a simple example of buying a co mputer. In managerial aspects this can be a manager related to Marketing who is finding that they have to buy few computers with newest features in order to give the best customer service. After identifying the problem he will have to go through the decision criteria which will relevant to the decision. Here he can consider price, warranties, memory capacity, advance features, etc. rom the numbers of criteria available to him when buying a computer. Then the decision maker has to carefully analyze and weight each criterion according to its relevancy for the task. Then there will be the consideration of alternatives which will bring forward various computer brands and models and the manager will has to analyze each option with careful examination using all the information available to him. Then the manager has to come into a final decision by thinking rationally about the gains he will derive through each alternative. However a manager does not make decisions in isolation. When he or she makes their own decisions, people within and outside the organization also make their own decisions. When managers take decisions they also have to think about these decisions made by people around him. Also no approach to decision making can guarantee that a manager will always make the right decision. However a manager who is rational, intelligent and who uses a systematic approach towards decision making is more likely to come up with high quality solution than other managers. . Conclusion An individual as a decision maker will most of the time will behave in a rational way. He will do his best to select a choice among the alternatives available after analyzing each of these alternatives. However the extend of rationality of his behavior will be a problem due to the assumptions followed on the model of rational decision making which can be applied to the true situation. It assumes that the decision makers have or should or can obtain adequate information, both in terms of quality, quantity and accuracy. This applies to the situation as well as the alternative technical situations. It further assumes that the decision makers have substantive knowledge of the cause and effect relationships relevant to the evaluation of the alternatives. In other words, it assumes that decision maker has a thorough knowledge of all the alternatives and the consequences of the alternatives chosen. It further assumes that the personnel involved in decision making can rank the alternatives and choose the best of it. With these we can not say that there is a single, best solution that will maximize the desired outcomes. So when taking a decision, the decision maker will move towards compromising on the decision making process though it is a structured decision making model. The decision maker takes the decision or is assumed to choose a solution though not a perfect solution but â€Å"good enough† solution based on the limited capacity to handle the complexity of the situation, ambiguity and information. However a decision maker will behave as a rational man constraint to this bounded rationality. Reference List Borges Marcos R. S. , Pino J. A. , Valle C. , Support for Decision Implementation and Follow-up, 1995, Viewed on 15 May 2008, Borges, Marcos R. S. , Pino, J. A. , Valle, C. : On the Implementation and Follow-up of Decisions, 2002, Viewed on 15 May 2008, Downs Anthony, The Meaning of Rationality in the Model, 1957, Viewed on 15th May 2008m https://polsci. colorado. edu/~mciverj/Downs3-14. PDF Gosling Jonathan and Mintzberg Henry, The Five Minds of a Manager Key ideas from the Harvard Business Review, Viewed on 15 May 2008, Jackson Susan E. , May Karen E. , Whitney Kristina, Understanding the Dynamics of Diversity in Decision-Making Teams, 1995, Viewed on 10 May 2008, Kreitner Robert and Kinicki Angelo, Organizational Behavior, 3rd ed. , Boston, Richard D. Irwin, 1989. Managementconsultingcourses. com, Managerial Decision Ma king, Viewed on 14th May 2008, Robbins Stephen P. , Organizational Behavior, 6th ed. , Englewood Cliffs, N. J, Prentice-Hall, 1993. Robbins Stephen P. , and Coulter Mary, Management, 7th ed. , Delhi, Pearson Education, 2002. Stoner James A. F. , Freeman Edward and Gilbert Daniel R. , Management, 6th ed. , Englewood Cliffs, N. J. , Prentice-Hall, 1995. Tarricone Pina and Luca Joe, Successful teamwork: A case study, 2002, Viewed on 14 May 2008, Tony Brabazon, Behavioral Finance: A new sunrise or a false dawn? , 2000, Viewed on 14 May 2008, The problem is clear and unambiguous. A single, well-defined goal is to be achieved. All alternatives and consequences are known. Preferences are clear. Preferences are constant and stable. No time or cost constraints exist. Final choice will maximize payoff. Lead to Rational Decision Making Intuition Experience based decisions Affect-initiated decisions Value or ethics based decisions Subconscious mental processing Cognitive-based decisions Managers make decisions based on their past experience Managers make decisions based on feelings or emotions Managers make decisions based on skills, knowledge and training Managers use data from subconscious mind to help them to make decisions Managers make decisions on ethical values or culture Don’t waste time! Our writers will create an original "Decision Maker and the Rational Man" essay for you Create order

Analysis Of Toni Morrison s Song Of Solomon - 977 Words

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Eli Whitney s Invention Of Interchangeable Parts And Mass...

â€Å"I shall not stay here†¦ Up before day, at the clang of a bell and out the mill by the bell - just as though we were so many living machines† (Hopkinson 37). Many girls, between the ages of fifteen and thirty-five, worked at textile mills during the Industrial Revolution for eleven to twelve hours a day, with little time to catch their breath and fresh air. The Industrial Revolution started in Europe in the eighteenth century and spread to America during the nineteenth century. Eli Whitney’s invention of interchangeable parts and mass production helped lead the American Industrial Revolution, which started after the War of 1812 and peaked during the 1870’s. During this time period, many factories, mills, and factory cities were constructed, one of which was Lowell, Massachusetts, and employed women because their salaries were lower and therefore cost less. 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Othello Othello A Tragic Hero Essay Example For Students

Othello: Othello A Tragic Hero Essay Othello: Othello A Tragic HeroIf one reads Shakespeares Othello, they can come to the conclusion thatit might be one of the his most tragic plays ever written by Shakespeare. Romeoand Juliet, is probably the most famous of his tragic plays, but Othello, hascharacteristics that, I think make it even more tragic then his other plays, andtherefore for that reason, you can say that Othello is the most tragic hero. Othello is a noble man, one who has grace with the ladies but alsopossesses all the virtues of a military leader that he is. He is a general thatis experienced in battle.He has shown that he is reliable and well known inthe military and is well respected.His valiant personality, is what drawspeople to him, as it does for Desdemona. The senators value him and hear whathe says when he speaks. This is shown here by one of the senators. Here comesBarbantio and the valiant Moor, (Act I scene 3, 47) . This is an example ofthe many comments which shows Othellos character and personality as a personand an officer.They say he is one of the great leaders. Not only does he posses great character and courage, but also dignity. He keeps his control even when he is being accused of witchcraft during thefirst encounter with the senators when Desdemonas father confronts him aboutsee his daughter. Most potent, grave, and reverend signors,My very noble and approved good masters;That I have taen away this old mans daughter,It is most true; true I have married her. The very head and front of my offendingHath the extent, no more. Rude I am in my speech,And little blessed with the soft phrase of peace;(I, iii, 91)This is an example of how Othello deals with style and grace under fire,when he is accused of witch craft, by marrying Desdemona. He neither, yells orscreams, but explains in a manner that captivates his audience, and draws themin to listen. A major sign that Othello shows his rage and jealousy occurs in Act III,scene 3, when Iago is talking with Othello and tells him that Desdemona is awhore. Othellos breakdown, almost to choke Iago, simply asks IagoVillain, be sure thou prove my love a whore, Be sure if it. Give me the ocular proof. Or by the worth of mine eternal soul, thou hadst been better have been born a dog. Than answer my waked wrath. (Act III, scene 3)This a point in the play where Iago starts unveil his malicious plan. It makes Othello react, in a manner that he usually does not. Othello has manyqualities that contribute to his overall worth. One being his trustfulness. At this point in time, Othello, says that Iago is a man of honor and trust, andtherefore has no reason not to distrust him. Many times Othello does not see the fake and malicious acts of Iago. This is done to extend the play and also add to Othellos tragic flaws. Othellotrusts too easily. Othello is used to dealing with military people and on thebattle field, a place where you put your life in the hands of others and trustis very important. Iago reputation on the battle field is well known and is nottarnished. With Othello being a military leader for most of his life, trustinganother military friend, is not uncommon, and therefore, Othello has no reasonnot to believe or trust Iago.So it can be said that Othello has a number oftragic flaws, one being trust worthy. It is not to say that being trust worthyis a bad characteristic, but to not trust your own wife?Othello, tragically, in Act III, scene 3, is thoroughly corrupted byIago, says that he believes that Desdemona is honest, but yet he thinks that sheis not. This is a part that Othellos innocence is torn to bits, because hedoes not know what to believe anymore. This is also where he comes to Iago foradvice, which is what Iago has been waiting for. Othello is seen as a confusedman without direction and does know what to do. .uc491f5d30b480fa917d77d6fd6c53dd8 , .uc491f5d30b480fa917d77d6fd6c53dd8 .postImageUrl , .uc491f5d30b480fa917d77d6fd6c53dd8 .centered-text-area { min-height: 80px; position: relative; } .uc491f5d30b480fa917d77d6fd6c53dd8 , .uc491f5d30b480fa917d77d6fd6c53dd8:hover , .uc491f5d30b480fa917d77d6fd6c53dd8:visited , .uc491f5d30b480fa917d77d6fd6c53dd8:active { border:0!important; } .uc491f5d30b480fa917d77d6fd6c53dd8 .clearfix:after { content: ""; display: table; clear: both; } .uc491f5d30b480fa917d77d6fd6c53dd8 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .uc491f5d30b480fa917d77d6fd6c53dd8:active , .uc491f5d30b480fa917d77d6fd6c53dd8:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .uc491f5d30b480fa917d77d6fd6c53dd8 .centered-text-area { width: 100%; position: relative ; } .uc491f5d30b480fa917d77d6fd6c53dd8 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .uc491f5d30b480fa917d77d6fd6c53dd8 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .uc491f5d30b480fa917d77d6fd6c53dd8 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .uc491f5d30b480fa917d77d6fd6c53dd8:hover .ctaButton { background-color: #34495E!important; } .uc491f5d30b480fa917d77d6fd6c53dd8 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .uc491f5d30b480fa917d77d6fd6c53dd8 .uc491f5d30b480fa917d77d6fd6c53dd8-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .uc491f5d30b480fa917d77d6fd6c53dd8:after { content: ""; display: block; clear: both; } READ: Blade Runner Analysis EssayBy the world, I think that my wife be honest and think that she is not. I think that thou art just and think she is not. Othello then says to Iago:Damn her, lewd minx, damn her, damn her!Come, go with me apart. I will withdrawTo furnish me with some swift means of deathFar that fair devil. Now art thou my lieutenant. (Act 3, scene 4, 540)Here it shows that Othello is now starting to believe Iago. Anothertime that Iago starts to make Othello believe even more that is wife isunfaithful is when he tells Othello that he has overheard Cassio talking in hissleep about Desdemona and that he has also noticed Cassio wiping his face withthe strawberry-embroidered handkerchief, that Othello had given to Desdemona forhis first present. This now where Othello is convinced that Desdemona has beenunfaithful, and vows revenge against Cassio and Desdemona. It is in thisscene that Iago implants the suspicions and jealousy in Othellos head, whichtragically bring about the events in the play.It is also here, whereDesdemona tries to reconcile the differences between Othello and Cassio, inwhich Othello sees them together an d reinforces the allegations that Iago hasmade to Othello. Iago helps by adding the gasoline to the fire when he tellsOthello about how Cassio and Desdemona have known each other for some time. Othello is upset and vows revenge. Not with vain thanks but with acceptance bounteous,And will upon the instant pit thee totWithin these three days let me hear thee sayThat Cassios not alive. (Act III, scene 4)Iago also reminds Othello that Desdemona has also deceived her father,her own flesh an blood, why not then lie to her husband.Othello then tellsIago that he is bound to him forever for all that he has done for him.It ismade clear in this scene that Iago is honest and true man. A man of his word,and for that Othello is forever indebted. After the events of the loss of the handkerchief, shown clearly is theanger of Othello when he asks Desdemona to produce the handkerchief. When shecan not, it is set in his mind that she has been deceitful. It does not helpthe situation in any way that Desdemona lies about having the handkerchief, itonly adds to the fire that burns within Othellos eyes. Othellos jealousy is the one flaw that brings him down the most. It isnot to say that with out Iago instigating all that he has that the situationwould have been better. But one can see that jealousy is the knife that stabshimself. Othello is jealous of Desdemona and Cassio, which can be somewhatunderstandable. It is known that Desdemona and Cassio have known each other forsometime. It is known that Cassio has had a crush on Desdemona for awhile. When Othello asks to see the handkerchief and she cant show it to him, it makeshim wonder. When Iago is talking to Cassio about Desdemona, while Othello islistening, he makes him wonder. When Cassio is caught with the handkerchief, itmakes Othello wonder. With all of these attributes and events, one can only bejealous of Cassio and Desdemona. Othello has been manipulated in such a way byIago though, that he wont even believe is own wife. Desdemona pleads withOthello that she has been faithful and has done nothing wrong. It is Othellosjealousy and Iagos malicious manipulating that leads to the death of all ofthem. Even though Iago is the villain of all villains, Othellos tragic flaw ofjealousy, leads to his downfall. Iago manipulates the characters and enragesOthellos fire of jealousy within himself. One can not only look at thevillainous plots of Iago, but also look at Othellos impractical train ofthought and jealousy. Othello does not reason with anyone except Iago. This iswhy Iago is the villain of all villains. This is why Othellos jealousy can besaid to be his greatest downfall.Over the entire play, not only does Iagobecome the antogonist that he is, but also Othellos tragic flaw of jealousyleads to his, Iagos and innocent Desdemona.One can see why Othello, might beShakespeares most tragic plays.