University Report: Critical Thinking and Managerial Decision Making

This report provides a comprehensive overview of critical thinking and managerial decision-making skills, reflecting on a course designed to enhance these abilities. The student explores key concepts such as problem-solving, the application of prospect theory in risk assessment, and the significance ...Read More

Critical Thinking and Managerial Decision Making 1
CRITICAL THINKING AND MANAGERIAL DECISION MAKING
Student’s Name
Course
Professor’s Name
Institution
Date

Critical Thinking and Managerial Decision Making 2
Critical Thinking and Managerial Decision Making
Introduction
Critical thinking becomes a fundamental element when managerial decision-making
is considered (Facione and Gittens, 2015, p.183). Every manager and his team are expected to
possess strong critical thinking ability, so that they can be able to run the organization and
companies in the right direction. The course that I have gone through; Critical Thinking and
Managerial Decision-Making, has helped me in developing skills that are directly applicable
in improving my levels of critical thinking, applying managerial and organization leadership
theories in the managerial reflections and in workshops. The skills I have developed in this
learning environment and practices will be directly applied in my future career to make sure
that I will be able to work well as a manager (Kinicki et al., 2014, p. 53).
Week 1: Introduction to Problem solving and Managerial Decision
Problem solving abilities and communicating effectively is what people in businesses
relate to as critical thinking. Use of logic and brain to understand all the life situations will
depend on how someone thinks critically. Managerial decision making on the other hand
involves solving problems and making resolutions, which leads to good management skills
(Goetsch and Davis, 2014, p. 106). Critical thinking and managerial decision making will
therefore help one be a good manager by ensuring that all what happens within is because of
thoughtful conclusion. Any good learner will apply the two to ensure success in everything in
future that is after joining them with the educational knowledge. As a learner, I am also able
to plan my time and manage it. In exam, I am needed to think critically so that I can score
well. I am capable of solving all the problems, which I come across in life because in mind I
know that any decision I make should aim at ensuring peace of my mind. Any conclusion I
come to should always be welcomed by the people I lead or in the society, as I should always

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solve my problems observing that I do not harm other people after what I do now and in
future.
Week 2: Reflection on Prospect Theory and Application of the Theory in Making Managerial
Decisions
People choose alternatives in life through probabilities, which may result to risking
with unknown outcome. Daniel Kahneman describes this as Prospect theory. Use of this
theory is evident in how people risk in their real life as they try to work and make a living
through businesses. Daily routine of working hard to put something on the table makes them
toss or risk their lives and property with an intention of gaining more not knowing that they
may end up making losses (Wang, Zhang and Wang, 2015, p.68). All this is due to the
decisions made based on assumptions of gaining which is the mentality of every
businessperson. Failure to know the outcome makes the person put more effort to make profit
or achieve the target in the business. With this in mind, any risk I take is geared towards
attaining what is worthy. I have been able to understand that alternatives I take requires
critical thinking and making wise decisions. Knowledge will also enable me accept losses
because they can be because of risking without knowing the outcome. This has helped me in
knowing that in risking I should always be prepared for different results, which may be
favorable or unfavorable. Bearing this in mind, I can always be prepared in future for
anything worth taking risks.
Week 3: Reflection on Science of Personality and Automatic Thinking
Science of personality help people understand and manage time. It helps one become
an important member in any business. People learn about themselves and about other people
hence making it very easy for them to relate well. This knowledge leads to healthy living
whereby one can understand the other ensuring peace between them. In business, all the

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participants will transact their businesses well because they are aware of each other’s
personality. Automatic thinking entails thinking fast while critical thinking requires reasoning
and that is why it can also be referred to as slow thinking. The knowledge of the two has
helped me make rational decisions. Through fast thinking, I can make quick decisions and
especially in moments, which require quick actions to be taken. I am capable of managing
stress through the knowledge of automatic thinking. Knowledge of inductive reasoning has
also helped me in predicting about my future and everything that I do in life. Conclusions I
make are out of it hence shaping up my behavior because I can well predict my future
(Jackson and Schuler, 1995, p.237).
Week 4: Reflection on Self-Awareness and the Core of Good Leadership
Self-awareness being the ability to recognize oneself leads to an individual having a
clear view of his or her personality. This awareness has helped me learn more about myself
and other people hence being able to relate well with them. Sometimes I can work to improve
my awareness through practicing. It makes it possible for to understand leaders and who they
are because I have the ability to know their personality. I am able to manage a large group of
people because I have learnt how to interact, lead and relate well with people. This improves
my leadership skills, which helps me create a good rapport with people now and in future. It
has also helped me practice decorum in my leadership. Talking to people politely makes them
respect you despite your age or height because of the good approach to them. Having learnt
this, I have been able to practice it because I am aware that is what people likes. Therefore, in
leadership I can apply all what I have learnt by reflecting back to the content taught and the
knowledge I have gained after studying.

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Week 5: Reflection on Innovation and Creativity
Innovation and creativity are important skills in critical thinking and decision making
as they serve to improve what one is doing and give the results of someone’s thoughts.
Thinking outside the box also is part of creativity because someone has to engage his or her
mind in critical thinking. I have learnt that through innovation and creativity I can come up
with something, which can help me in living a good life. Am able to help many people out of
my innovation hence creating friendship among the people. Any situation, which seems to be
difficult, I am able to think outside the box and be able to solve the problem because I have
the ability to. Sharing with other people my innovations, which are out of my creativity
because of critical thinking, has helped me lead people well without rough heads. This will
also help me in future in leading people and in managing everything that I do.
Response on Context Analysis and Making Quality Conclusion
The decision-making and contexts are interlinked because decision making involves
the process of having or gaining clarity together with the elements based on conclusion and
the identification of quality conclusions (Helfat and Peteraf, 2015, p.831; Bratton and Gold,
2017). The reflection based on the decision making in the context as well as developing
strong conclusion has helped me in my managerial skills and in making right decisions. The
lesson for the week engaged me fully and I was able to realize that there is a close
relationship between decision-making process and context. On the aspect of the context, I
learnt about understanding the people in the workplace, identification of the needs at a
particular time; when, following the right criteria, approximating when and the area where
the risks may happen. Understanding the context will help me decide where I will make
adjustments and it will positively influence my decision. The issue of understanding setting
had not been so much familiar to me as I did not have a clear grasp of the organization, or the

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business decision making in context (Rothaermel, 2015, p.94). However, with the current
knowledge of the same. I am therefore, challenged to practice context analysis before making
any decision in any workplace.
Week 7: Critical Thinking and Managerial Decision Making 7 weeks’ Course
The significant or important concepts learnt in each week are crucial to all the people.
Personally, they are very important to me because they have helped and guided me in
everything I do and will do in future (Liu, Fan and Zhang, 2014, p.75). For instance, the
prospect theory and science of personality have helped me know that risking can be done
with an aim of gaining only to get a loss at the end. This has helped me to know that I must
psychologically be prepared to any outcome because anything can happen on the process.
Self-awareness has also in living well with people because I have known that people have
different personalities. This knowledge is what has enabled good relationship between me
and the other people.
Conclusion
Conclusively, critical thinking and managerial decision-making are very important
skills, which every human being is entitled to have. The two help one in managing himself or
herself and then in managing other people. I can bet that the knowledge I have gained in
studying the two skills has helped me a lot from the way I view issues and conduct myself to
the way I also view other people. Applying the skills in my daily life has created a good
rapport, which gives me peace of mind. Therefore, it is very important for everybody to get to
know them and live well with other people because as one is solving his or her problem, he or
she solves other people’s problems too.

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References
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Facione, P. and Gittens, C.A., 2015. Think critically. Pearson.
Gherardi, S. and Murgia, A., 2014. What makes a “good manager”? Positioning gender and
management in students’ narratives. Equality, Diversity and Inclusion: An
International Journal, 33(8), pp.690-707.
Goetsch, D.L. and Davis, S.B., 2014. Quality management for organizational excellence.
Upper Saddle River, NJ: pearson.
Hatch, M.J., 2018. Organization theory: Modern, symbolic, and postmodern perspectives.
Oxford university press.
Helfat, C.E. and Peteraf, M.A., 2015. Managerial cognitive capabilities and the
microfoundations of dynamic capabilities. Strategic Management Journal, 36(6),
pp.831-850.
Jackson, S.E. and Schuler, R.S., 1995. Understanding human resource management in the
context of organizations and their environments. Annual review of psychology, 46(1),
pp.237-264.
Kinicki, A., Williams, B.K., Scott-Ladd, B. and Perry, M., 2014. Management: A practical
introduction. McGraw-Hill Education Australia.
Liu, Y., Fan, Z.P. and Zhang, Y., 2014. Risk decision analysis in emergency response: A
method based on cumulative prospect theory. Computers & Operations Research, 42,
pp.75-82.
Marsick, V. and Watkins, K., 2015. Informal and incidental learning in the workplace
(Routledge revivals). Routledge.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education.

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Wang, L., Zhang, Z.X. and Wang, Y.M., 2015. A prospect theory-based interval dynamic
reference point method for emergency decision making. Expert Systems with
Applications, 42(23), pp.9379-9388.