“Creativity” and “innovation” are often used interchangeably for that reason, but are two separate concepts. Groupthink is a psychological phenomenon that occurs within a group of people in which the desire for harmony or conformity in the group results in an irrational or dysfunctional decision-making outcome. As the creativity can be expressed in a variety of ways, the individual differences can also be expressed in other areas such as planning, forecasting, decision making and communication. Time, cost and scope are the triple constraints of any project. Under a state of risk, the decision maker has incomplete information about available alternatives but has a good idea of the probability of outcomes for each alternative. The main purpose of decision making is to direct the resources of an organization towards a future goals and reduce the gap between the actual position and the desired position through effective problem solving and exploiting business opportunities. In addition to the rational decision making, bounded rationality models, and intuitive decision making, creative decision making is a vital part of being an effective decision maker. Chapter 12 Decision Making, Creativity, and Ethics 431 2 How do people actually make decisions? Decision making refers to the act of evaluating (i.e., forming opinions of) several alternatives and choosing the one most likely to achieve one or more goals. It is very relevant to everyday experience. Creativity is what fuels big ideas, challenges employees’ way of thinking, and opens the door to new business opportunities. These techniques can be used in isolation or can be combined in order to make decisions in … Value-focused thinking is designed to focus the decision maker on the essential activities that must occur prior to “solving a decision problem.” The central role of thinking about values is illustrated in Figure 1 . In addition to the rational decision making, bounded rationality models, and intuitive decision making, creative decision making is a vital part of being an effective decision maker. ... they are following the concept … The outcomes may give valuable advice about the decision-making process, the appropriateness of the choice, and the implementation process itself. Our resources can help. Authority bias: favoring authority figure opinions ideas within innovation teams. Become educated in creativity. Creative thinking is the ability to consider something in a new way. Book Description - ISBN 978-1-65522-277-8 (43 Pages) This free eBook describes six key decision making techniques that bring structure to the decision making process. Moreover, creativity has been described as the most important economic resource of the 21st century8. C. In case of time constraints, it is always wiser to use group-aided decision making. This solution extends all ConceptDraw Office 2.0 products by helping to improve the response time to project changes. The purely rational model of decision making is rarely practiced in reality because it: A)ignores the fact that problems must be defined before alternatives are chosen. We'll help you to uncover your own creativity and that of your team, and we share tips on how to put it into action through techniques such as stealth innovation. Creativity can be used to deal with the ambiguity and uncertainty in decision making by matching the nonlinear respons es of the entrepreneur to that of the business world. Group decisions involve assimilating a huge amount of information, exploring many different ideas, and drawing on many strands of experience. Prisoner’s Dilemma . 8 However, such situations are the exception. This information will be useful in improving the company’s response the next time a similar decision has to be made. 1. 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