Topic > United Technology Case Study - 1022

Although it is called the rational decision-making model, most people do not choose rationally. Some experts have said that US companies use rational decision-making techniques 20% of the time. Which is low considering the decisions they make aren't easy. What may discourage them in choosing such options is their behavioral aspect, the way they were raised or the way they are emotionally attached to the company which makes it difficult for them to implement such decisions. In CEO Hayes' position, having bounded rationality affects the process. His values ​​and how long he has been with UTC made it difficult for him to actually make the decision. This company has grown with him so the decision to divide it concerns him more personally than an external person. The next issue would also be satisfactory, which in a case like this can easily be done. Satisfying means having a tendency to look for alternatives that meet only the minimum standard for completion. To solve the problem it can be easy to simply choose the quickest decision. Hayes might choose the faster outcome just to take the blame away from him; this could not best benefit the company. However, it is not certain that he will address these aspects in his behavior when choosing an option. However, it is important to consider them