Theorylecture

Two models of Decision making and how people actually implement them
Decisions by choice (Rational approach)
Logic of consequence Choice process: Alternative are selected by its consequences for preferences Ideally rational Has clarity Has the four must-haves Boundedly rational Ambiguous Satisficing Try to meet an acceptability threshold Examine a the list of options and make the decision with the first that looks next to the threshold. But it stops without looking at other possibilities Example My decision = max(Sum(utility*probability))

Decision by rules (Organizational approach)

Decisions arise to engage in a meaningful process (to find sense)

Other theories
Coalition Theory
Step 1: bargaining Step 2: execution

Garbage can theory

Organized anarchy Decision making in an organizing chaos

PreparedbyAriadna73

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