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Learning and Decision Making
Chapter 8
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Learning Defined Permanent changes in an employee’s knowledge or skill that result from experience Employees learn two types of knowledge: Explicit - easy to communicate and teach Tacit - more difficult to communicate; gained with experience
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Methods of Learning How do employees learn? Reinforcement
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Methods of Learning
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Methods of Learning
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Methods of Learning How do employees learn? Reinforcement Observation
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Methods of Learning
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Methods of Learning Some people learn differently, as a function of the goals and activities that they prioritize Goal orientation Learning Performance-prove Performance-avoid
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Decision Making The process of generating and choosing from a set of alternatives to solve a problem. Learning has a significant impact on decision making
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Decision Making Identify the problem
Is the problem recognized? Has it been dealt with before? Yes No Programmed Decisions Nonprogrammed Decisions (Rational decision making model) (Intuition, “Gut feeling”)
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Decision Making Nonprogrammed decisions
Rational decision- making model
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Decision Making Problems
Common reasons for making bad decisions Limited information Faulty perceptions Faulty attributions Escalation of commitment
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Limited Information
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Faulty Perceptions Heuristics and decision-making biases Availability
Anchoring Framing Representativeness Contract Recency Ratio Bias
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Faulty Attributions
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Escalation of Commitment
The decision to continue to follow a failing course of action Throwing good money after bad
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How Important is Learning?
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Application Training Transfer of training Behavior modeling
Communities of practice Transfer of training Climate for transfer
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