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Problem Solving & Decision Making Flashcards

7 cards from real CSM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Problem Solving & Decision Making flashcards as text

  1. A strategic manager must communicate an unpopular decision to the organization. Which approach best maintains trust and reduces resistance?

    Answer: Explain the reasoning, acknowledge concerns, and outline a clear path forward

    Transparent communication that addresses the rationale and stakeholder concerns fosters trust and reduces resistance during difficult decisions.

  2. Which technique is most effective for generating a large number of creative solutions to a strategic problem without immediate judgment?

    Answer: Brainstorming

    Brainstorming encourages divergent thinking by deferring judgment, allowing teams to generate a wide range of ideas before evaluation.

  3. A manager identifies that a recurring operational problem stems from a misaligned incentive structure rather than employee performance. This diagnostic approach reflects:

    Answer: Systems-level thinking

    Recognizing that structural incentives drive behavior reflects systems thinking, which looks beyond individual actions to organizational design.

  4. The concept of 'bounded rationality' in decision making implies that managers:

    Answer: Make decisions within cognitive, time, and information limits

    Bounded rationality, introduced by Herbert Simon, recognizes that human decision makers are limited by cognitive capacity, available information, and time constraints.

  5. A sensitivity analysis in strategic decision making is used to:

    Answer: Determine how changes in key variables affect decision outcomes

    Sensitivity analysis tests how robust a decision outcome is by varying key input assumptions, revealing which variables most influence the result.

  6. Which of the following best describes a 'devil's advocate' role in organizational decision making?

    Answer: A designated critic who challenges prevailing assumptions to surface weaknesses

    The devil's advocate role institutionalizes critical challenge to prevent groupthink by ensuring assumptions and conclusions are rigorously tested.

  7. A strategic manager applies abductive reasoning when solving a novel problem. This means the manager is:

    Answer: Inferring the most plausible explanation from incomplete evidence

    Abductive reasoning infers the best available explanation from limited data, making it useful for novel or ambiguous strategic problems.