- Chapter 1: Introduction to Principles of Management
- Section 1: Who Are Managers?
- Section 2: Leadership, Entrepreneurship, and Strategy
- Section 3: Planning, Organizing, Leading, and Controlling
- Section 4: Economic, Social, and Environmental Performance
- Section 5: Performance of Individuals and Groups
- Section 6: Your Principles of Management Survivor’s Guide
- Chapter 2: Personality, Attitudes, and Work Behaviors
- Chapter 3: History, Globalization, and Values-Based Leadership
- Chapter 4: Developing Mission, Vision, and Values
- Chapter 5: Strategizing
- Section 1: Strategic Management in the P-O-L-C Framework
- Section 2: How Do Strategies Emerge?
- Section 3: Strategy as Trade-Offs, Discipline, and Focus
- Section 4: Developing Strategy Through Internal Analysis
- Section 5: Developing Strategy Through External Analysis
- Section 6: Formulating Organizational and Personal Strategy With the Strategy Diamond
- Chapter 6: Goals and Objectives
- Section 1: The Nature of Goals and Objectives
- Section 2: From Management by Objectives to the Balanced Scorecard
- Section 3: Characteristics of Effective Goals and Objectives
- Section 4: Using Goals and Objectives in Employee Performance Evaluation
- Section 5: Integrating Goals and Objectives with Corporate Social Responsibility
- Section 6: Your Personal Balanced Scorecard
- Chapter 7: Organizational Structure and Change
- Chapter 8: Organizational Culture
- Chapter 9: Social Networks
- Chapter 10: Leading People and Organizations
- Chapter 11: Decision Making
- Chapter 12: Communication in Organizations
- Chapter 13: Managing Groups and Teams
- Chapter 14: Motivating Employees
- Chapter 15: The Essentials of Control
- Chapter 16: Strategic Human Resource Management
- Section 1: The Changing Role of Strategic Human Resource Management in Principles of Management
- Section 2: The War for Talent
- Section 3: Effective Selection and Placement Strategies
- Section 4: The Roles of Pay Structure and Pay for Performance
- Section 5: Designing a High-Performance Work System
- Section 6: Tying It All Together—Using the HR Balanced Scorecard to Gauge and Manage Human Capital, Including Your Own
There are no key terms for this page.
Developing Your Personal Decision-Making Skills
Learning Objectives
Understand what you can do to avoid making poor decisions.
Learn what a project premortem is.
Doctors routinely perform postmortems to understand what went wrong with a patient who has died. The idea is for everyone to learn from the unfortunate outcome so that future patients will not meet a similar fate. But, what if you could avoid a horrible outcome before it happened by identifying project risks proactively—before your project derails? Research suggests that the simple exercise of imagining what could go wrong with a given decision can increase your ability to identify reasons for future successes or failures by 30%.[538] A “premortem” is a way to imagine and to avoid what might go wrong before spending a cent or having to change course along the way.[539]
Gary Klein, an expert on decision making in fast-paced, uncertain, complex, and critical environments, recommends that decision makers follow this six-step premortem process to increase their chances of success.
A planning team comes up with an outline of a plan, such as the launching of a new product.
Either the existing group or a unique group is then told to imagine looking into a crystal ball and seeing that the new product failed miserably. They then write down all the reasons they can imagine that might have led to this failure.
Each team member shares items from their list until all the potential problems have been identified.
The list is reviewed for additional ideas.
The issues are sorted into categories in the search for themes.
The plan should then be revised to correct the flaws and avoid these potential problems.
The premortem technique allows groups to truly delve into “what if” scenarios. For example, in a premortem session at a Fortune 50 company, an executive imagined that a potential billion-dollar environmental sustainability project might fail because the CEO had retired.
Key Takeaway
There are a number of ways to learn about decision making that can help make you more effective. If the decision is important, conduct a premortem to anticipate what might go wrong. When a decision is going to involve others, be proactive in getting them to buy in before the decision is made. Individuals and groups can suffer from decision-making traps and process losses. Understanding that you can spot and avoid these traps is important in helping to make you a more effective manager.
[538] Mitchell, D. J., Russo, J., & Pennington, N. (1989). Back to the future: Temporal perspective in the explanation of events. Journal of Behaviorial Decision Making, 2, 25–38.
[539] Breen, B. (2000, August). What’s your intuition? Fast Company, 290; Klein, G. (September 2007). Performing a project premortem. Harvard Business Review, 18–19; Klein, G. (2003). The power of intuition: How to use your gut feelings to make better decisions at work. New York: Random House; Pliske, R., McCloskey, M., & Klein, G. (2001). Decision skills training: Facilitating learning from experience. In E. Salas & G. Klein (Eds.), Linking expertise and naturalistic decision making 37–53. Mahwah, NJ: Lawrence Erlbaum.

Cite this Content
Citation Information
APA Format:Erdogan, Berrin., Bauer, Talya., and Carpenter, Mason., Principles of Management. Retrieved Mar 15, 2010 from http://www.flatworldknowledge.com/node/28982 .
MLA Format:Erdogan, Berrin, Bauer, Talya, , and Mason Carpenter. Principles of Management. 1969 . Flat World Knowledge. 15 Mar, 2010. <http://www.flatworldknowledge.com/node/28982> .
This book is not available for adoption
Adopt this book for your course
We are happy you want to adopt this Flat World Knowledge textbook for your course! You'll need to register as a user to get started.
Why? Registering allows you to post your course's information on our website so students can find their book, and gives you access to My(flat)World where you can keep track of all the books you adopt.
Are you a new user? Sign up here for free.
Adopt this book for your course
Thank you for your interest in adopting this book for your class. It is NOT YET PUBLISHED. When it is, you will click this button and:
Fill out a short adoption form. When you submit it, we will generate (and send to you) a URL that is unique to your class. That is where your students will go to get their free online book, or to purchase affordable alternatives.
You will also be able to print out this adoption form and bring it to the bookstore so that they can order and sell copies locally of the softcover print version.
This book is not available for customization
You must log in to customize textbooks.
New user? Sign up here for free, and give it a try.
Features:
Drag-and-drop chapters into a new table of contents that suits your syllabus. Resequence and delete down to the section level!
Even better: Annotate content at the paragraph level, giving you fine grained control over the content to suit your exact needs.
Another benefit: No more being forced to switch to new editions. Ever. You move to new editions when you have time and when you see merit. Not when we do.
We have more to do: More cool features in the works, like adding your own authored content, as well as editing existing content all the way to the sentence level. Stay tuned.
This book is not yet published. When it does, our customization features let you:
Drag-and-drop chapters into a new table of contents that suits your syllabus. Resequence and delete down to the section level!
Even better: Annotate content at the paragraph level, giving you fine grained control over the content to suit your exact needs.
Another benefit: No more being forced to switch to new editions. Ever. You move to new editions when you have time and when you see merit. Not when we do.
We have more to do: More cool features in the works, like adding your own authored content, as well as editing existing content all the way to the sentence level. Stay tuned.
Your book has already been saved for print.
You typically should not customize your book further. If your bookstore or students have already ordered the book they will not see your future changes.
If you choose to make further customizations you can do so by choosing 'customize' for this book from My Flatworld
You have already exceeded or met your book copy limit of 5. If you would like to make another personal copy, then you will need to delete one of your copied books. If you think you have received this message in error, then please contact us.
This book does not have any Educator Supplements
Only approved educators have access to the supplements for this textbook. Please note: Educator access is manually approved within approximately 48 business hours after your registration.
If you already have an account and have been approved as an educator, then please login.
Are you a new user? Sign up for free.
You can also feel free to contact us regarding this matter.