Question

In: Economics

1) Is rational decision-making better than intuitive decision making? If so, when? 2) Describe and explain...

1) Is rational decision-making better than intuitive decision making? If so, when?

2) Describe and explain the causes of creative behaviour ؟
give any example

write at least 700 words

Solutions

Expert Solution

1. Rational decision-making processes consist of a series of steps designed to create a desired solution in a rational manner. Intuitive decision-making is just the opposite.

One of the fundamental principles of the rational decision-making method is that good decisions are made by men. This is not always the case though! There are usually wide-ranging variables that influence our decisions, many of which are irrational. It is especially so if we note that managing is about dealing with people. Furthermore, certain circumstances involve making decisions with incomplete and/or inadequate knowledge.

It is in this context that often develops a more intuitive approach. All but the most rational mechanistic of decisions must include some element of subjective judgment. Our decisions are based on assumptions that are influenced by a variety of factors including our perceptions, beliefs, attitudes and emotions. The heuristic decision making of judgments uses basic rules and estimated short cuts to help us make decisions. Drawing on our perceptions and behaviors in particular, it does so by helping us cut through the needless details that can confuse and postpone decisions.

2. Creativity is the process of making fresh , creative ideas come true. The ability to view the world in different ways, discover hidden patterns, create associations between seemingly unrelated phenomena and produce solutions characterizes imagination. Creativity consists of two processes: thought, and then creating.

Creativity starts with knowledge base, studying a discipline, and mastering a way of thought. Using imagination and synthesizing information, you can learn to be creative by experimenting, exploring, questioning assumptions. To learn to be imaginative parallels learning a sport. It requires practice to develop the right muscles and a supportive environment in which to flourish.

Many companies have obstacles to innovation, concepts and imagination. Some are obvious while others are more subtle. Many obstacles arise from corporate leadership behaviors and expectations while others come from the organizational structure or even from the workers themselves. Since these obstacles continue to eradicate innovative opportunities from the organisation , it is important to recognise and remove barriers to creativity and innovation. Through noticing, understanding and accepting that there are obstacles, an company can overcome several common barriers and become more idea-oriented by using clear strategies.


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