Circle the correct word or phrase.

1. A decision/an objective is something that a decision maker seeks to accomplish or to obtain by means of his decision.
2. Pilot testing/situational analysis may prevent costly mistakes. It is a trial run of procedures and instruments that you plan to use.
3. A thinker who focuses on the problem as stated and tries to synthesize information and knowledge to achieve a solution is a problem seeker/problem solver.
4. With the problem avoider/problem solver, his or her goal is to maintain the status quo. This person is actually a fearful, doubtful thinker and worries that any changes made could lead to a mistake.
5. Systems thinking / linear thinking is a contemporary and modern approach to problem-solving that assumes that problems are complex and related to a situation.
6. Brainstorming/strategic analysis is a process for generating creative ideas and solutions through intensive group discussions.
7. Managerial decisions made when the potential results of the decisions and the probabilities of occurrence of the results are not known are made under conditions of uncertainty/conditions of risk.
8. Linear thinking / situational analysis isa simplistic approach to problem-solving that assumes that each problem has a single solution.

Fill in the gaps.

1. L__o __ is the organization that acquires knowledge and innovates fast enough to survive and thrive in a rapidly changing environment. It creates a culture that encourages and supports continuous employee learning, critical thinking, and risk taking with new ideas, allow mistakes, and value employee contributions.

2. A series of interrelated sequential steps that a decision maker can use to respond to a structured program is known as p __.

3. P __ s __ provide the employee with specific performance expectations for each major duty. They are the observable behaviors and actions, which explain how the job is to be done, plus the results that are expected for satisfactory job performance.

4. D __ - m __ p __ is the sequence of events taken by management to solve managerial problems, a systematic process that follows a sequence of problem identification, alternative solution generation, consequences analysis, solution selection and implementation, evaluation, and feedback.

5. The process by which an organization deals with a major event that threatens to harm the organization, its stakeholders, or the general public is c__ m__.

6. It means literally a "cut" between past and future, the creation of a new direction within the emerging historical pattern. A d__ is made creative through the freedom which uncertainty provides.

7. C__ isa condition in which a decision maker can make accurate decisions because the outcome of every alternative is known.

8. C __ are labels or categories, or selected properties of objects. It is a word or group of words that summarizes or classifies certain facts, events or ideas into one category.

Make up short texts using the words given.

 

1. Policy, unstructured problems, non-programmed decisions, linear thinking, conditions of uncertainty, risk, objective.	2. Decision-making, strategic thinking, problem-solver, performance standard, intuitive decision, pilot testing.
3. Rational decision making, programmed decision, situational analysis, problem-avoider, learning organization.	4. Bounded rationality, systems thinking, decision theory, operational decision, decision mode.

Reading 1

a. Read the text and answer the following questions:

1. What is short-term decision-making? What is long-term decision-making?
2. What are “playing not to lose” and “playing to win” concepts about?
3. Do you agree with the author that you can be successful in any economic environment?
4. Which recommendation in the text do you think is the most valuable one? Why?

Sound Decision Making is Vital to Success ^[3]

"Just because you can, doesn't mean you should." This phrase and philosophy is always front of mind when we're in strategic discussions or simply evaluating initiatives at Noodles & Company. I've found it a powerful and important guidepost for both short-term and long-term decision making, especially in today's competitive and challenging environment. Sometimes, having the courage and discipline to say, "No, this won't work for us," or, "Despite the pressure, we're not going to do what everyone is doing," is ultimately the best decision for the brand.

In today's environment of extreme competition for guests, talent and capital, it is imperative for our leadership teams to have the vision to improve the present, while investing in and evolving the future. Our discussions and decisions can propel a successful brand into an enduring one, turn a struggling brand around, or potentially waste significant resources and time, leading to the decline of a concept. That's why the discipline around decision making and where to invest your resources is vital.

The good news is that the restaurant and retail industry does appear to be slowly recovering from the challenging years that have been crushing for so many. However, many concepts have been "playing not to lose" rather than "playing to win" in order to preserve cash, remain stable and ride out the recession. I would argue that you can be successful whatever the economic environment. In the past seven years, we've been fortunate to have tripled in size to nearly 300 restaurants, enjoyed positive same-store sales throughout the recession, and have created meaningful value for our team members and investors.

As you plot the course for future success, consider the following practices we've implemented in our decision-making process to help our management team continue to create positive momentum, regardless of the economic climate.

Be brutally honest with yourself. What has been successful? What isn't working? More importantly, was it a bad idea or simply too hard to execute? Are you making your business more efficient or more complicated? Are your innovations easy for your operators and your guests to understand? Are you implementing changes that excite your team members and your guests? Are you setting the trends, or are you chasing trends in an attempt to seem current?

Get in the heads and hearts of your guests. Determine your core guests, their needs, your ability to meet their needs and opportunities to differentiate yourself from other brands competing for those same meal occasions. For every initiative and idea, consider how you can appeal to your current guests and create compelling reasons for them to visit more often, without risking losing them as you strive to appeal to new or infrequent guests. Ultimately, are you just doing something "because you can," or is it something your guests truly want?

Give risk a bear hug. I like to know where the fence line of risk is and lean right up against it. In order to prioritize what activities to fund, you must understand and establish your risk tolerance. Not all initiatives are created equal - their impacts vary significantly. Things to consider include: the economy, consumers, your brand, your team, timing and competition.

Protect your core. You have to know where you've been to figure out where you are going. We all understand that a smart strategy is necessary, but it can be difficult to have the discipline to say "no" to a flashy trend. Are you remaining true to your brand and your guests, or are you trying to be all things to everyone? Remember, bold ideas take clear, passionate vision.

Know when to move on. The restaurant industry is humbling - your big innovative idea may not be as relevant to your guests as you'd hoped. Worse, your guests may not be willing to give you credit for the idea. No question, it is very disappointing to fail at something you believed in and supported. However, it is far worse to waste valuable resources that you could be utilizing elsewhere. Know when to change course and to take what you've learned about your guests and your teams and apply it to future opportunities.

One last point: It's important to remember that the data, trends and information you gather are just one part of the process. Data represents factual information at a point in time, current or historical, but you must have a vision to propel you into the future. That involves greater risk and the unknown, so you'll need fervent belief from an aligned leadership team in order to create the new reality you're seeking.