1. Perception and Individual Decision Making Chapter FIVE

3. Factors That Influence Perception E X H I B I T 5 –1

4. Person Perception: Making Judgments About Others Distinctiveness: shows different behaviors in different situations. Consensus: response is the same as others to same situation. Consistency: responds in the same way over time. Attribution Theory When individuals observe behavior, they attempt to determine whether it is internally or externally caused.

5. Attribution Theory E X H I B I T 5 –2

6. Errors and Biases in Attributions Fundamental Attribution Error The tendency to underestimate the influence of external factors and overestimate the influence of internal factors when making judgments about the behavior of others. In general, we tend to blame the person first, not the situation.

7. Errors and Biases in Attributions (cont’d) Self-Serving Bias The tendency for individuals to attribute their own successes to internal factors while putting the blame for failures on external factors. Thought: When student gets an “A” on an exam, they often say they studied hard. But when they don’t do well, how does the self serving bias come into play? Hint: Whose fault is it usually when an exam is “tough”?

8. Frequently Used Shortcuts in Judging Others Selective Perception People selectively interpret what they see on the basis of their interests, background, experience, and attitudes.

9. Frequently Used Shortcuts in Judging Others Halo Effect Drawing a general impression about an individual on the basis of a single characteristic Contrast Effects Evaluation of a person’s characteristics that are affected by comparisons with other people recently encountered who rank higher or lower on the same characteristics

10. Frequently Used Shortcuts in Judging Others Projection Attributing one’s own characteristics to other people. Stereotyping Judging someone on the basis of one’s perception of the group to which that person belongs.

13. The Link Between Perceptions and Individual Decision Making Perception of the decision maker Outcomes Problem A perceived discrepancy between the current state of affairs and a desired state. Decisions Choices made from among alternatives developed from data perceived as relevant.

16. The Three Components of Creativity Creativity The ability to produce novel and useful ideas. Three-Component Model of Creativity Proposition that individual creativity requires expertise, creative-thinking skills, and intrinsic task motivation. E X H I B I T 5 –4 Source: T.M. Amabile, “Motivating Creativity in Organizations,” California Management Review , Fall 1997, p. 43.

17. How Are Decisions Actually Made in Organizations? Bounded Rationality Individuals make decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity.

27. WORKPLACE DEVIANCES Production Deviance Property Deviance Political Deviance Personal Aggression Minor Serious Organizational Interpersonal

32. Principles of Ethical Decision Making Long-term self-interest Personal virtue Religious injunctions Government requirements Utilitarian benefits Individual rights Distributive justice

33. Principles of Ethical Decision Making Principle of long-term self-interest Never take any action not in your organization’s long-term self-interest.

34. Principles of Ethical Decision Making Principle of long-term self-interest Never take any action not in your organization’s long-term self-interest.

36. Principles of Ethical Decision Making Principle of Utilitarian Benefit Never take any action that does not result in greater good for society.

37. Principles of Ethical Decision Making Principle of Individual Rights Never take any action that infringes on others’ agreed-upon rights.

38. Principles of Ethical Decision Making Principle of Distributive Justice Never take any action that harms the least among us: the poor, the uneducated, the unemployed.

44. If all of these perceptual shortcuts happen unconsciously, how can we keep the stereotypes we have from interfering with the way we work in group projects? Identify two specific things you could do to help prevent stereotypes from inhibiting effective group relationships. Discuss with a neighbor. Chapter Check-Up: Perception

46. In making his decision, Michael forgot to consider the implications of the color of paint in the room where each class was being offered. Given that room color can influence mood, which can influence performance, why didn’t Michael consider it? Chapter Check-Up: Decision Making

47. Michael engaged in the rational decision making model, and didn’t consider the paint color of the rooms because he operates under the confines of bounded rationality. Chapter Check-Up: Decision Making

48. Chapter Checkup: What biases might have affected Martha Stewart’s judgment? Discuss with a classmate.