What type of decision is characterized by simple and frequently occurring problems with existing solutions?

Study for the UofT MGT100 Fundamentals of Management Exam. Practice with quizzes and detailed study materials to excel. Prepare with clear explanations and valuable tips to ace your exam!

The correct answer is related to programmed decisions, which are defined by their predictable and routine nature. These decisions arise from straightforward and frequently encountered problems that have established solutions. In organizational contexts, programmed decisions are typically made using policies, procedures, or rules that have been devised for these common issues, making the decision-making process efficient and streamlined.

The rationale behind identifying a decision as programmed lies in its reliance on historical information and standardized responses. For instance, a manager might use a set guideline for handling employee absences, which is a common and predictable scenario. Since these decisions do not require extensive thought or novel solutions, they allow managers to focus their time and resources on more complex issues that may not have predetermined answers.

While unstructured decisions involve unique problems with no clear solutions and require innovative thinking, nonprogrammed decisions pertain to infrequent situations where managers must devise their own approaches. Strategic decisions encompass broader, long-term planning matters that directly affect the organization’s direction and typically do not fall into the category of routine decision-making.

Thus, programmed decisions are essential for managing everyday operations effectively, allowing for consistency and efficiency in dealing with repetitive scenarios.

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