RC 001

RC 1

The majority of successful senior managers do not

closely follow the classical rational model of first clarifying

goals, assessing the problem, formulating options,

estimating likelihoods of success, making a decision,

(5) and only then taking action to implement the decision.

Rather, in their day-by-day tactical maneuvers, these

senior executives rely on what is vaguely termed "intuition"

to mangage a network of interrelated problems

that require them to deal with ambiguity, inconsistency,

(10) novelty, and surprise; and to integrate action into the

process to thinking.

Generations of writers on management have recognized

that some practicing managers rely heavily on

intuition. In general, however, such writers display a

(15) poor grasp of what intuition is. Some see it as the opposite

of rationality: others view it as an excuse for capriciousness.

Isenberg's recent research on the cognitive processes

of senior managers reveals that managers' intuition is

(20) neither of these. Rather, senior managers use intuition

in at least five distinct ways. First, they intuitively sense

when a problem exists. Second, managers rely on intuition

to perform well-learned behavior patterns rapidly.

This intuition is not arbitrary or irrational, but is based

(25) on years of painstaking practice and hands-on experience

that build skills. A third function of intuition is to

synthesize isolated bits of data and practice into an integrated

picture, often in an "Aha!" experience. Fourth,



some managers use intuition as a check on the results

(30) of more rational analysis. Most senior executives are

familiar with the formal decision analysis models and

tools, and those who use such systematic methods for

reaching decisions are occasionally leery of solutions

suggested by these methods which run counter to their

(35) sense of the correct course of action. Finally, managers

can use intuition to bypass in-depth analysis and move

rapidly to engender a plausible solution. Used in this

way, intuition is an almost instantaneous cognitive

process in which a manager recognizes familiar patterns.

(40) One of the implications of the intuitive style of executive

management is that "thinking" is inseparable from

acting. Since managers often "know" what is right

before they can analyze and explain it, they frequently

act first and explain later. Analysis is inextricably tied

(45) to action in thinking/acting cycles, in which managers

develop thoughts about their companies and organizations

not by analyzing a problematic situation and then

acting, but by acting and analyzing in close concert.

Given the great uncertainty of many of the manage-

(50) ment issues that they face, senior managers often instigate

a course of action simply to learn more about an

issue. They then use the results of the action to develop

a more complete understanding of the issue. One implication

of thinking/acting cycles is that action is often

(55) part of defining the problem, not just of implementing

the solution.


19. According to the passage, senior managers use intuition in all of
the following ways EXCEPT to


(A) speed up of the creation of a solution to a problem

(B) identify a problem

(C) bring together disparate facts

(D) stipulate clear goals

(E) evaluate possible solutions to a problem


20. The passage suggests which of the following about the "writers on
management" mentioned in line 12?


(A) They have criticized managers for not following the classical
rational model of decision analysis.

(B) They have not based their analyses on a sufficiently large sample
of actual managers.

(C) They have relied in drawing their conclusions on what managers say
rather than on what managers do.

(D) They have misunderstood how managers use intuition in making
business decisions.

(E) They have not acknowledged the role of intuition in managerial practice.


21. Which of the following best exemplifies "an 'Aha!' experience"
(line 28) as it is presented in the passage?


(A) A manager risks taking an action whose outcome is unpredictable to
discover whether the action changes the problem at hand.

(B) A manager performs well-learned and familiar behavior patterns in
creative and uncharacteristic ways to solve a

problem.

(C) A manager suddenly connects seemingly unrelated facts and
experiences to create a pattern relevant to the

problem at hand.

(D) A manager rapidly identifies the methodology used to compile data
yielded by systematic analysis.

(E) A manager swiftly decides which of several sets of tactics to
implement in order to deal with the contingencies

suggested by a problem.


22. According to the passage, the classical model of decision analysis
includes all of the following EXCEPT


(A) evaluation of a problem

(B) creation of possible solutions to a problem

(C) establishment of clear goals to be reached by the decision

(D) action undertaken in order to discover more information about a problem

(E) comparison of the probable effects of different solutions to a problem


23. It can be inferred from the passage that which of the following
would most probably be one major difference in

behavior between Manager X, who uses intuition to reach decisions, and
Manager Y, who uses only formal decision

analysis?


(A) Manager X analyzes first and then acts; Manager Y does not.

(B) Manager X checks possible solutions to a problem by systematic
analysis; Manager Y does not

(C) Manager X takes action in order to arrive at the solution to a
problem; Manager Y does not.

(D) Manager Y draws on years of hands-on experience in creating a
solution to a problem; Manager X does not.

(E) Manger Y depends on day-to-day tactical maneuvering; manager X does not.


24. The passage provides support for which of the following statements?


(A) Managers who rely on intuition are more successful than those who
rely on formal decision analysis.

(B) Managers cannot justify their intuitive decisions.

(C) Managers' intuition works contrary to their rational and analytical skills

(D) Logical analysis of a problem increases the number of possible solutions.

(E) Intuition enables managers to employ their practical experience
more efficiently