Judgment in Managerial Decision Making

|Texas TECH UNIVERSITY (SUMMER I - 2013) |
|Assignment - 1 |
|ISQS-5230 - Decision Theory |
| |
|Jayaraman Ganeshmani |
|6/17/2013 |

| [Critique of the book Judgment in Managerial Decision Making. ] |

The book provides contrasting study of the rational decision making process and its influences on human judgment and how recognizing cognitive/judgmental error or biases can be applied to organizational behavior for continually adopting and improving better decision making strategies as a manager. The book focuses on descriptive approach to managerial decision making i.e. understanding decision heuristics in complex management environments and the resulting biases from them which gives a better insight into the decision making process, dependencies and strategies.

For managers it is crucial to make decisions, and also understand the Decision making process. A deeper insight into one's own meta-cognitive thought process and behavioral process helps us plan and strategize to overcome common errors and cognitive biases in real world situations. Some key concepts discussed are rational decision making process, contrast between system1 and