What Is the Capacity Cushion and How Is It Significant

question 69

Essay

What is the capacity cushion and how is it significant for managing processes?

Understand the role and impact of information technology in decision making.

Identify drivers and barriers to creativity in organizational decision making.

Distinguish between programmed and nonprogrammed decisions.

Evaluate the influence of risk, certainty, and uncertainty on managerial decisions.

---

Definitions:

Organising Knowledge

The process of categorizing and structuring information to make it easily accessible and useful.

Risk and Certainty

The degree of unpredictability involved in decision-making, where risk implies potential variations in outcomes and certainty implies known outcomes.

Uncertainty Influence

The impact that lack of predictability or certainty in situations has on decision making, strategies, and outcomes.

Managerial Decisions

Choices or judgments made by managers as part of their role to guide the direction of an organization or its resources.