Decision making for managers

Contents
1.

Decision making .................................................................................................................................. 2
1.1.
1.2.

Information systems.................................................................................................................... 2

1.3.
2.

What is decision making? ........................................................................................................... 2

The process of decision making ................................................................................................. 3

The reason for bad decisions .............................................................................................................. 3
2.1.

Errors and biases ........................................................................................................................ 3

2.1.1.

Framing Bias ......................................................................................................................... 3

2.1.2.

Selective perception............................................................................................................. 4

2.1.3.

Sunk costs ............................................................................................................................ 4

2.1.4.

Overconfidence .................................................................................................................... 5

2.1.5.

Availability Bias .................................................................................................................. 5

2.2.
2.3.
3.

Escalation of commitment .......................................................................................................... 5
Power and political dimensions ................................................................................................ 6

The experience of decision making