Chapter 5
Perception and Individual Decision Making
Learning Objectives
1. Explain the factors that influence perception.
2. Describe attribution theory.
3. Explain the link between perception and decision making.
4. Contrast the rational model of decision making with bounded rationality and
intuition.
5. Explain how individual differences and organizational constraints affect decision
making.
6. Contrast the three ethical decision criteria.
7. Describe the three-stage model of creativity.
1. Explain the Factors That Influence Perception
•Perception is a process by which individuals organize and interpret their sensory
impressions to give meaning to their environment.
•It is important to the study of OB because people’s behaviors are based on their
perception of what reality is, not on reality itself.
Exhibit 5-1 Factors That Influence Perception
, 2. Explain Attribution Theory
•Attribution theory suggests that when we observe an individual’s behavior, we
attempt to determine whether it was internally or externally caused.
•Determination depends on three factors:
–Distinctiveness
–Consensus
–Consistency
•Clarification of the differences between internal and external causation
–Internally caused – those that are believed to be under the personal control of the
individual.
–Externally caused – resulting from outside causes.
Exhibit 5-2 Attribution Theory
Perception and Individual Decision Making
Learning Objectives
1. Explain the factors that influence perception.
2. Describe attribution theory.
3. Explain the link between perception and decision making.
4. Contrast the rational model of decision making with bounded rationality and
intuition.
5. Explain how individual differences and organizational constraints affect decision
making.
6. Contrast the three ethical decision criteria.
7. Describe the three-stage model of creativity.
1. Explain the Factors That Influence Perception
•Perception is a process by which individuals organize and interpret their sensory
impressions to give meaning to their environment.
•It is important to the study of OB because people’s behaviors are based on their
perception of what reality is, not on reality itself.
Exhibit 5-1 Factors That Influence Perception
, 2. Explain Attribution Theory
•Attribution theory suggests that when we observe an individual’s behavior, we
attempt to determine whether it was internally or externally caused.
•Determination depends on three factors:
–Distinctiveness
–Consensus
–Consistency
•Clarification of the differences between internal and external causation
–Internally caused – those that are believed to be under the personal control of the
individual.
–Externally caused – resulting from outside causes.
Exhibit 5-2 Attribution Theory
