Essay on Desicion Making

It is based upon these interpretations that individuals act. Besides, biases may exist due to the subjectivity or objectivity of their perception. Due to these factors, there is need for rational decision making within an organization. Therefore, this paper supports the provision that perception, attribution theory and bias play a significant role in determining how individuals behave in an organization thereby affecting their decision making. Therefore, this paper will discuss the importance of rational decision making in organization, besides explaining the role of attribution theory and concepts in explaining how people behave. However, because decision making is about the future and the information about the future is never readily available and sometimes is subject to change, besides the fact tar soft emotions may cloud judgment, majority of managers usually settle for a bounded reality.

That is, they may choose to settle for decisions they consider safe based on their dislike for risks. Besides, cognitive biases can also affect decision making in the form of anchoring, sunk cost fallacy, halo effect, and confirmation bias. Halo effect occurs when preceding decisions are influenced by the first impression created (Mata, 2012). Confirmation bias occurs when individuals resist new information or knowledge that may alter their idea about something due to the human nature of not liking to change their opinions. Consensus in decision making refers to the degree to which individuals exhibit similar behavior when faced with the same situation. For example, Priscilla always stands in for her colleague Amanda when she is unwell. If Amanda also stands in for Priscilla when she is unwell then the behavior is in high consensus.

On the contrary, if only Amanda accepts to stand in for Priscilla then the behavior is in low consensus. Consensus affects decision making when an individual makes assumptions to inform their actions or choices instead of employing rational thought when faced with similar circumstances. Additional factors that affect decision making in the organizational set up include stereotyping, perception, selective perceptions, recency and primacy effects. Stereotyping can be defined as holding a fixed thought about a people or particular types of behavior and using these thoughts to refer to the whole group of people (Shaheen, 2018). Stereotyping leads to biased decision making because not every person can behave in the same manner even in organizations. This is closely related to the contrast effect which occurs when the process of evaluating the characteristics of an individual are influenced by comparisons with those of other persons recently encountered who rank lower or higher on the same characteristics (Shaheen, 2018).

Besides, individuals perceive circumstances and situations differently. However, most of my colleagues wrongly apply internal attribution to explain that I am kind and that is why I help them. This is not true since my motivating factor is different from their explanation. Creative Decision Making Creativity involves creating new ideas and methods of dealing with situations. This also applies in decision making where it involves creating new quality methods or ideas of reaching decisions. Creative decision making is based on the premise that there is a potential of better ways of handling situations and that challenges have diverse perspectives (Tunaj, 2018). Rational Decision-Making. In Solving Complex Decision Problems (pp. Springer, Berlin, Heidelberg. Harvey, P. , Madison, K. A social psychological analysis.  Social psychology of health and illness, 227.