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AU / Management / MNGT 4400 / What are the errors of diagnosis?

What are the errors of diagnosis?

What are the errors of diagnosis?

Description

School: Auburn University
Department: Management
Course: Organizational Change
Professor: Lucian bifano
Term: Summer 2015
Tags: MNGT 4400, Lecture 3, Organization Change, and Diagnosis
Cost: 25
Name: MNGT 4400 Lecture 3 Notes Feb 8
Description: These are the notes from lecture three February 8th
Uploaded: 02/09/2016
10 Pages 193 Views 3 Unlocks
Reviews


MNGT 4400 Lecture 3 


What are the errors of diagnosis?



Diagnosing Problems 

“Get your facts first and then you can distort them as much as you  please.”  

–Mark Twain

∙ To assess what to change, any why, you must preform a rigorous  problem analysis and root cause determination

o The diagnosis must be extremely accurate for organization  change to be appropriate and effective.  

o An accurate organizational diagnosis relies on the study  being free from any error or bias

Start with common sense

∙ Hold early judgment

∙ “Look behind every tree”

∙ Don’t believe initial diagnosis, it could be wrong due to multiple  factors

∙ Be persistent in finding the root causes of the problem


What are the diagnosis methods?



Diagnosis mistakes

∙ Errors- random and non-systematic  

o Computing errors  

o Irregularities in measurements

∙ Bias- non-random and systematic

o Prejudices

o Gender bias

o Racial bias

o Age bias

o Decision styles

o Preconceptions  

Methods for approaching diagnosis:

∙ Structure analytical reasoning- from continuous and methodical  thought

∙ Intuitive reasoning-using casual and unstructured professional  judgment accrued from experiences

Diagnostic models are used for:

∙ Gathering data and info


What are decision biases?



If you want to learn more check out What happens when doing the stroop task?

∙ Putting info into order

∙ Using info to make interpretations and inferences

Decision Style Biases:

∙ Individual values We also discuss several other topics like Why egyptians love to be egyptians?

∙ Decision style

∙ Risk tolerance

∙ Locus of control

∙ Inertia

∙ Impulsiveness

∙ Emotional tendencies  

Bias Pitfalls:

∙ Overconfidence

o False sense of knowledge or subject matter  

o Studies show that people who claim that they’re 100% sure only tend to be right 75-85% of the time

o Overconfidence can close off minds to alternative ideas ∙ Anchoring

o A tendency to fixate on initial info

o “where you end up may depend on where you start” ∙ Selective perception

o Tunnel vision, or failure to look outside of the norm o This can be a form of attachment

∙ Confirmation

o Selectively gathering information

o Ignoring information that we don’t want to hear

∙ Framing

o Glass half-empty or half-fullframing bias  

o In class example: “One priest asks the bishop if it is  permissible to smoke while praying to the Lord? The  Don't forget about the age old question of What a company receives from the sale of their products?

bishop responds with a resounding “NO.” Another priest  asks the bishop if it would be permissible to say a prayer to the Lord during those moments of weakness when he  smokes. The bishop answers “YES, of course my son”” ∙ Availability

o Remembering events that are most recent and clear  ∙ Representation If you want to learn more check out Why people take cocaine?
If you want to learn more check out What are the regulations of advertising?

o Believing what is most apparent to yourself  

∙ Randomness

o Seeing a pattern when it doesn’t even exist  If you want to learn more check out What if there is no oxygen?

∙ Sunk Cost Myth

o “Gone is not always forgotten

o Sunk costs need to be left behind

∙ Limited searching

o When faced with a difficult problem, we tend to create a  simplified model that removes the vital features from the  issue without capturing its details

∙ Emotion & Mood of the moment  

o Letting your emotions get to you and losing sight of what’s  important

∙ Self Service

o A self assessment is not objective

The Management Practices Model

Theory: managerial behavior is connected to the 5 functions of  planning organizing, staffing, directing and controlling affects  organizational performance  

1

plannin

g

2

organizin

g

3

staffing

4

directing

5

controllin

g

feedback

 

The McKinsey 7S Framework

Schein’s Cultural Elements Framework Premise three levels of culture:

1. (visible) artifacts

2. Adopted beliefs and values  

3. Fundamental underlying assumptions

SWOT:

∙ Strengths

∙ Weaknesses

∙ Opportunities

∙ Threats

***SWOT will be on exam***

In class example:

Apple entering the tv market

Strengths:

∙ Large loyal customer base

∙ Strong broad image

∙ Large cash reserve

∙ Skills in electronics

∙ Ease of use

Weaknesses:

∙ High end focus and pricing

∙ Many competitors

Opportunities:

∙ Attract new customers

∙ Pair with other apple products

Threats

∙ Other solutionsHulu, Netflix, Amazon fire

C-I-O

∙ Casual

∙ Intervening

∙ Outcome

MNGT 4400 Lecture 3 

Diagnosing Problems 

“Get your facts first and then you can distort them as much as you  please.”  

–Mark Twain

∙ To assess what to change, any why, you must preform a rigorous  problem analysis and root cause determination

o The diagnosis must be extremely accurate for organization  change to be appropriate and effective.  

o An accurate organizational diagnosis relies on the study  being free from any error or bias

Start with common sense

∙ Hold early judgment

∙ “Look behind every tree”

∙ Don’t believe initial diagnosis, it could be wrong due to multiple  factors

∙ Be persistent in finding the root causes of the problem

Diagnosis mistakes

∙ Errors- random and non-systematic  

o Computing errors  

o Irregularities in measurements

∙ Bias- non-random and systematic

o Prejudices

o Gender bias

o Racial bias

o Age bias

o Decision styles

o Preconceptions  

Methods for approaching diagnosis:

∙ Structure analytical reasoning- from continuous and methodical  thought

∙ Intuitive reasoning-using casual and unstructured professional  judgment accrued from experiences

Diagnostic models are used for:

∙ Gathering data and info

∙ Putting info into order

∙ Using info to make interpretations and inferences

Decision Style Biases:

∙ Individual values

∙ Decision style

∙ Risk tolerance

∙ Locus of control

∙ Inertia

∙ Impulsiveness

∙ Emotional tendencies  

Bias Pitfalls:

∙ Overconfidence

o False sense of knowledge or subject matter  

o Studies show that people who claim that they’re 100% sure only tend to be right 75-85% of the time

o Overconfidence can close off minds to alternative ideas ∙ Anchoring

o A tendency to fixate on initial info

o “where you end up may depend on where you start” ∙ Selective perception

o Tunnel vision, or failure to look outside of the norm o This can be a form of attachment

∙ Confirmation

o Selectively gathering information

o Ignoring information that we don’t want to hear

∙ Framing

o Glass half-empty or half-fullframing bias  

o In class example: “One priest asks the bishop if it is  permissible to smoke while praying to the Lord? The  

bishop responds with a resounding “NO.” Another priest  asks the bishop if it would be permissible to say a prayer to the Lord during those moments of weakness when he  smokes. The bishop answers “YES, of course my son”” ∙ Availability

o Remembering events that are most recent and clear  ∙ Representation

o Believing what is most apparent to yourself  

∙ Randomness

o Seeing a pattern when it doesn’t even exist  

∙ Sunk Cost Myth

o “Gone is not always forgotten

o Sunk costs need to be left behind

∙ Limited searching

o When faced with a difficult problem, we tend to create a  simplified model that removes the vital features from the  issue without capturing its details

∙ Emotion & Mood of the moment  

o Letting your emotions get to you and losing sight of what’s  important

∙ Self Service

o A self assessment is not objective

The Management Practices Model

Theory: managerial behavior is connected to the 5 functions of  planning organizing, staffing, directing and controlling affects  organizational performance  

1

plannin

g

2

organizin

g

3

staffing

4

directing

5

controllin

g

feedback

 

The McKinsey 7S Framework

Schein’s Cultural Elements Framework Premise three levels of culture:

1. (visible) artifacts

2. Adopted beliefs and values  

3. Fundamental underlying assumptions

SWOT:

∙ Strengths

∙ Weaknesses

∙ Opportunities

∙ Threats

***SWOT will be on exam***

In class example:

Apple entering the tv market

Strengths:

∙ Large loyal customer base

∙ Strong broad image

∙ Large cash reserve

∙ Skills in electronics

∙ Ease of use

Weaknesses:

∙ High end focus and pricing

∙ Many competitors

Opportunities:

∙ Attract new customers

∙ Pair with other apple products

Threats

∙ Other solutionsHulu, Netflix, Amazon fire

C-I-O

∙ Casual

∙ Intervening

∙ Outcome

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