Organizational behavior: Rational choice model and decision making

This report delves into the rational choice model within the context of organizational behavior. It begins by defining the model and its fundamental principles, emphasizing how it guides decision-making by evaluating alternatives to maximize benefits. The report outlines the stages of the rational choice process, including identifying goals, assessing situations, and analyzing alternatives. It also discusses the model's limitations, such as its inability to quantify ethical concerns and personal feelings. The report highlights how managers can utilize this model to make informed decisions, develop innovative strategies, and address organizational issues. The conclusion summarizes the use of the model in the context of decision-making.

Organizational behavior

Organizational behavior
Table of Contents
Introduction.................................................................................................................................................3
Rational choice model and decision............................................................................................................3
Conclusion...................................................................................................................................................3
References...................................................................................................................................................4
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Organizational behavior
Introduction
The primary motive of this study is to highlight and discuss the rational choice model and further
it also explains that which decision can be taken after 6 months reviewing this model.
Rational choice model and decision
The process of rational decision making is a multi step process for making various choices
between alternatives. This model assumes that people would make choices that increase and
enhance the benefits and reduce any extra costs. The concept of rational choice is easy to see in
economic theory. This model provides ample of benefits to the people by rendering various
choices to them. The theories and assumptions are based on rational choice theory. The rational
choice process include identifying a goal, measuring and recognizing the scenario for making the
decision, evaluating the alternatives, performing analysis and taking a final decision. This model
is not able to consider the factors that cannot be quantified like worth of altruism and ethical
concern (Hastie & Dawes, 2010).
The employer or manager can identify the problem and find out the various alternatives and
future consequences and obstacles of each alternative after viewing rational choice model or
process. The unique and effective decision related to making innovative strategies or policies can
be taken by the managers. The managers will make innovative and unique strategies to address
and resolve the issues while working. It leaves out consideration of morality, loyalty, personal
feelings and sense of obligation (Nyab, 2018).
Conclusion
It is concluded that dynamic decision related to issue and problem is taken by the managers after
reviewing the rational choice model.
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Organizational behavior
References
Hastie, R., & Dawes, R. M. (2010). Rational choice in an uncertain world: The psychology of
judgment and decision making. Sage.
Nyab.N.2018. Pros and cons of the rational decision making approach [Online], Retrieved from
https://www.brighthubpm.com/methods-strategies/121817-is-using-the-rational-decision-
making-approach-a-rational-choice/
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