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[[Human Decisions Quarter]] (hereinafter, the ''Quarter'') is the first of four lectures of [[Operations Quadrivium]] (hereinafter, the ''Quadrivium''):
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[[Individual Decisions Quarter]] (hereinafter, the ''Quarter'') is a lecture introducing the learners to [[individuals design]]s primarily through key topics related to [[individual decision-making]]. The ''Quarter'' is the third of four lectures of [[Individuals Quadrivium]], which is the fourth of seven modules of '''[[Septem Artes Administrativi]]''' (hereinafter, the ''Course''). The ''Course'' is designed to introduce the learners to general concepts in [[business administration]], [[management]], and [[organizational behavior]].
*The ''Quarter'' is designed to introduce its learners to [[enterprise discovery]], or, in other words, to concepts related to obtaining data needed to administer the [[enterprise effort]]; and
 
*The ''Quadrivium'' examines concepts of administering various types of enterprises known as [[enterprise administration]] as a whole.
 
 
 
The ''Quadrivium'' is the first of seven modules of [[Septem Artes Administrativi]], which is a course designed to introduce its learners to general concepts in [[business administration]], [[management]], and [[organizational behavior]].
 
  
  
 
==Outline==
 
==Outline==
''The predecessor lecture is [[Human Motivations Quarter]].''
+
''[[Human Motivations Quarter]] is the predecessor lecture.  In the [[enterprise envisioning]] series, the previous lecture is [[Effort Engineering Quarter]].''
  
 
===Concepts===
 
===Concepts===
#'''[[Decision]]'''. A choice among two or more alternatives.
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#'''[[Decision]]'''. A choice made from among two or more alternatives.
#*[[Decision]]. A choice made from among two or more alternatives.
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#*[[Programmed decision]]. Any [[decision]] to follow a [[policy]], [[operative rule]], another [[regulation]], or to routinely repeat one's previous decision that has been made while handling a similarly [[structured task]].
#*[[Programmed decision]]. A repetitive [[decision]] that can be handled by a routine approach.
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#*[[Non-programmed decision]] ([[Non-programmed decision|creative decision]]). A unique and nonrecurring [[decision]] that requires a custom-made [[solution]].
#*[[Nonprogrammed decision]]. A unique and nonrecurring [[decision]] that requires a custom-made solution.
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#'''[[Decision-making]]'''. The action or process of making [[non-programmed decision]]s; [[creative behavior]] resulted in a new [[decision]].
#'''[[Four stages of competence]]'''. Analysis vs intuition
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#*[[Individual decision-making]]. [[Decision-making]] made by an individual as opposed to [[group decision-making]].
#*[[Unconscious incompetence]].  
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#*[[File:Decision.png|400px|thumb|right|[[Decision-making approach]]]][[Decision-making approach]]. A particular manner of taking preliminary steps toward making a [[decision]].
#*[[Conscious incompetence]].  
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#'''[[Intuitive decision-making]]'''. Unconscious [[decision-making]] on the basis of distilled experience, feelings, and accumulated judgment.
#*[[Conscious competence]].  
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#*[[File:Intuition.png|400px|thumb|right|[[Intuition]]]][[Intuition]]. An instinctive feeling not necessarily supported by research.
#*[[Unconscious competence]].  
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#'''[[Rational decision-making]]'''. [[Decision-making]] that produces choices that are logical and consistent and maximize value.
#'''[[Attitude]]'''. An evaluative statement or judgment concerning objects, people, or events.
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#*[[Rationale]]. A reasoning characterized by making consistent, value-maximizing choices within specified constraints.
#*[[Attitude]]. An evaluative statement, either favorable or unfavorable, concerning objects, people, or events.
+
#'''[[Decision criteria]]'''. Criteria that define what's important or relevant to resolving a problem.
#*[[Cognitive component]]. That part of an [[attitude]] that's made up of the beliefs, opinions, knowledge, or information held by a person.
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#*[[Quantitative approach in management]]. The use of quantitative techniques to improve [[decision-making]].
#*[[Cognitive component]]. The opinion or belief segment of an [[attitude]].
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#*[[File:Discretion.png|400px|thumb|right|[[Decisional discretion]]]][[Decisional discretion]]. The freedom to decide what should be done in a particular situation.
#*[[Affective component]]. That part of an [[attitude]] that's the emotional or feeling part.
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#[[File:Competence-levels.png|400px|thumb|right|[[Structured-task competence]]]]'''[[Structured-task competence]]'''. A [[model]] that describes psychological states involved in the process of progressing from incompetence to analytical competence and, further, to intuitive competence in some knowledge, skill, and/or ability.
#*[[Affective component]]. The emotional or feeling segment of an [[attitude]].
+
#*[[Unconscious incompetence]] (or [[wrong intuition]]). A situation in which the individual neither understands nor knows how to accomplish a [[job task]] and does not necessarily recognize the deficit.
#*[[Behavioral component]]. That part of an [[attitude]] that refers to an intention to behave in a certain way toward someone or something.
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#*[[Conscious incompetence]] (or [[wrong analysis]]). A situation in which the individual neither understands or knows how to accomplish a [[job task]], but he or she recognizes the deficit. He or she also realizes the value of new knowledge, skill, and/or ability needed in addressing the deficit. The making of mistakes can be integral to the learning process at this level of competence.
#*[[Behavioral component]]. The behavioral segment of an [[attitude]] that constitutes an intention to behave in a certain way toward someone or something.
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#*[[Conscious competence]] (or [[right analysis]]). A situation in which the individual understands and/or knows how to accomplish a [[job task]]. However, demonstrating the knowledge, skill, and/or ability requires concentration. It may be broken down into steps, and there is heavy conscious involvement in executing the needed knowledge, skill, and/or ability.
 +
#*[[Unconscious competence]] (or [[right intuition]]). A situation in which the individual not only understands and knows how to accomplish a [[job task]], but has had so much practice with a skill that it has become "second nature" and can be performed easily. As a result, the skill can sometimes be performed while executing another [[job task]]. The individual may be able to teach it to others, depending upon how and when it was learned.
 +
#'''[[Behavior]]'''. The way in which someone, something, or their group functions, operates, and/or conducts oneself.
 +
#*[[Intention]]. A decision to act in a given way.
 +
#*[[Behaviorism]]. A theory that argues that behavior follows stimuli in a relatively unthinking manner.
 +
#*[[Creative behavior]]. The way in which someone, something, or their group makes [[non-programmed decision]]s and acts on them.
 +
#[[File:Attitude.png|400px|thumb|right|[[Attitude]]]]'''[[Attitude]]'''. An evaluative statement or judgment, either favorable or unfavorable, concerning objects, people, or events.
 +
#*[[Cognitive attitude]]. That part of an [[attitude]] that's made up of the beliefs, opinions, knowledge, or information held by a person. In other words, the ''cognitive component'' is the opinion or belief segment of an [[attitude]].
 +
#*[[Affective attitude]]. The emotional or feeling segment of an [[attitude]].
 +
#*[[Behavioral attitude]]. The segment of an [[attitude]] that refers to an intention to behave in a certain way toward someone or something.
 +
#'''[[Situational control]]'''. The [[capacity]] of a [[decision maker]] to manage the situation and estimate the likelihood of certain outcomes.
 +
#*[[Certainty]]. A situation in which a decision maker can make accurate [[decision]]s because all the data and outcomes are known.
 +
#*[[Uncertainty]]. A situation in which a decision maker has neither [[certainty]] nor reasonable probability estimates available.
 +
#'''[[Ad hoc decision-making]]'''.
 +
#*[[Design thinking]]. Approaching management problems as designers approach design problems.
 +
#*[[Heuristic]]. A rule of thumb that decision makers use to simplify [[decision-making]].
 
#'''[[Core self-evaluation]]'''. Bottom-line conclusions individuals have about their capacities, competence, and worth as a person. In other words, self-believing in one's inner worth and basic competence.
 
#'''[[Core self-evaluation]]'''. Bottom-line conclusions individuals have about their capacities, competence, and worth as a person. In other words, self-believing in one's inner worth and basic competence.
 +
#*[[General mental ability]]. An overall factor of intelligence, as suggested by the positive correlations among specific intellectual ability dimensions.
 +
#'''[[Decisional tendency]]'''.
 +
#*[[Bounded rationality]]. [[Decision-making]] that is rational, but limited (bounded) by an individual's ability to process information. In other words, [[bounded rationality]] is a process of making decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity.
 +
#*[[Escalation of commitment]]. An increased commitment to a previous decision despite evidence it may have been wrong.
 +
#*[[Risk aversion]]. The tendency to prefer a sure gain of a moderate amount over a riskier outcome, even if the riskier outcome might have a higher expected payoff.
 +
#'''[[Decision-making dilemma]]'''. Optimizing vs. satisficing, intuitive vs rational vs ad hoc, Agile vs rigid, conservative vs aggressive, linear vs nonlinear
 +
#*[[Satisfice]]. Acceptance of solutions that are "good enough."
 +
#*[[Allostasis]]. Working to change behavior and attitude to find stability.
 +
#'''[[Self-regulation strategy]]'''.
 +
#*[[Prevention focus]]. A self-regulation strategy that involves striving for goals by fulfilling duties and obligations.
 +
#*[[Promotion focus]]. A self-regulation strategy that involves striving for goals through advancement and accomplishment.
 +
#[[File:Ethical-dilemma.png|400px|thumb|right|[[Ethical dilemma]]]]'''[[Ethical dilemma]]'''. A situation in which individuals are required to define right and wrong conduct.
 +
#*[[Ethics]]. Principles, [[values]], and beliefs that define what is right and wrong behavior.
 +
#*[[Behavioral ethics]]. Analyzing how people actually behave when confronted with [[ethical dilemma]]s.
 +
#'''[[Cognitive dissonance]]'''. Any incompatibility or inconsistency between two or more [[attitude]]s or between behavior and attitudes.
  
*[[Behaviorism]]. A theory that argues that behavior follows stimuli in a relatively unthinking manner.
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===Roles===
#'''[[Cognitive dissonance]]'''. Any incompatibility between two or more [[attitude]]s or between behavior and attitudes.
+
#'''[[Decision maker]]'''.  
#*[[Cognitive dissonance]]. Any incompatibility or inconsistency between attitudes or between behavior and attitudes.
+
#'''[[Operations research analyst]]'''. A professional who formulates and applies mathematical modeling and other optimizing methods to develop and interpret information that assists management with [[decision-making]], policy formulation, or other managerial functions. He or she may collect and analyze data and develop decision support software, service, or products, as well as develop and supply optimal time, cost, or logistics networks for program evaluation, review, or implementation.
*[[Decision analysis]]. An approach to decision-making that examines and models the possible consequences of different decisions. Decision analysis assists in making an optimal decision under conditions of uncertainty.
 
*[[Decision table]]. An analysis model that specifies complex business rules or logic concisely in an easy-to-read tabular format, specifying all of the possible conditions and actions that need to be accounted for in business rules.
 
*[[Decision tree]]. An analysis model that provides a graphical alternative to decision tables by illustrating conditions and actions in sequence.
 
*[[Decision tree analysis]]. The decision tree is a diagram that describes a decision under consideration and the implications of choosing one or another of the available alternatives. It incorporates probabilities or risks and the costs or rewards of each logical path of events and future decisions.
 
*[[Individual decision making]]
 
*[[Allostasis]]. Working to change behavior and attitude to find stability.
 
*[[Bounded rationality]]. [[Decision making]] that is rational, but limited (bounded) by an individual's ability to process information.
 
*[[Bounded rationality]]. A process of making decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity.
 
*[[Conceptual skill]]. The ability to think and to conceptualize about abstract and complex situations.
 
*[[Conformity]]. The adjustment of one's behavior to align with the norms of the group.
 
*[[Counterproductive work behavior]]. Actions that actively damage the organization, including stealing, behaving aggressively toward coworkers, or being late or absent.
 
*[[Counterproductive workplace behavior]]. Any intentional employee behavior that is potentially damaging to the organization or to individuals within organization.
 
*[[Counterproductivity]]. Actions that actively damage the organization, including stealing, behaving aggressively toward coworkers, of being late or absent.
 
*[[Decision criteria]]. Criteria that define what's important or relevant to resolving a problem.
 
  
*[[Design thinking]]. Approaching management problems as designers approach design problems.
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===Methods===
*[[Escalation of commitment]]. An increased commitment to a previous decision despite evidence it may have been wrong.
+
#'''[[Decision table]]'''. A [[decision-making technique]] that specifies complex business rules or logic concisely in an easy-to-read tabular format, specifying all of the possible conditions and actions that need to be accounted for in business rules.
*[[Escalation of commitment]]. An increased commitment to a previous decision in spite of negative information.
+
#'''[[Decision tree]]'''. A [[decision-making technique]] that provides a graphical alternative to [[decision table]]s by illustrating conditions and actions in sequence. In other words, the [[decision tree]] is a diagram that describes a decision under consideration and the implications of choosing one or another of the available alternatives. It incorporates probabilities or risks and the costs or rewards of each logical path of events and future decisions.
*[[Ethical dilemma]]. A situation in which individuals are required to define right and wrong conduct.
 
*[[Exit]]. Dissatisfaction expressed through behavior directed toward leaving the organization.
 
*[[Certainty]]. A situation in which a decision maker can make accurate decisions because all outcomes are known.
 
*[[General mental ability]]. An overall factor of intelligence, as suggested by the positive correlations among specific intellectual ability dimensions.
 
*[[Heuristic]]. A rule of thumb that decision makers use to simplify [[decision making]].
 
*[[Intuition]]. An instinctive feeling not necessarily supported by research.
 
*[[Intuitive decision making]]. [[Decision making]] on the basis of experience, feelings, and accumulated judgment.
 
*[[Intuitive decision making]]. An unconscious process created out of distilled experience.
 
*[[Intention]]. A decision to act in a given way.
 
*[[Rationale]]. A reasoning characterized by making consistent, value-maximizing choices within specified constraints.
 
*[[Rational decision making]]. [[Decision making]] that produces choices that are logical and consistent and maximize value.
 
*[[Rational decision-making model]]. A decision-making model that describes how individuals should behave in order to maximize some outcome.
 
*[[Quantitative approach in management]]. The use of quantitative techniques to improve [[decision making]].
 
*[[Risk]]. A situation in which a decision maker is able to estimate the likelihood of certain outcomes.
 
*[[Uncertainty]]. A situation in which a decision maker has neither [[certainty]] nor reasonable probability estimates available.
 
*[[Prevention focus]]. A self-regulation strategy that involves striving for goals by fulfilling duties and obligations.
 
*[[Promotion focus]]. A self-regulation strategy that involves striving for goals through advancement and accomplishment.
 
*[[Risk aversion]]. The tendency to prefer a sure gain of a moderate amount over a riskier outcome, even if the riskier outcome might have a higher expected payoff.
 
*[[Satisfice]]. Acceptance of solutions that are "good enough."
 
  
===Methods===
 
 
===Instruments===
 
===Instruments===
 +
#'''[[Rational decision-making model]]'''. A decision-making model that describes how individuals may rationally behave in order to maximize the outcomes from the [[decision]].<blockquote><table class="wikitable" width=100% style="text-align:center;"><tr><th>[[DREPD]]</th><th>[[GOFER]]</th><th>[[DECIDE]]</th><th>[[Seven-step decision-making]]</th></tr><tr><td rowspan="4">[[Enterprise discovery|'''D'''iscover]]</td><td rowspan="2">'''G'''oals clarification.</td><td>'''D'''efine the problem.</td><td>'''O'''utline your goal and outcome.</td></tr><tr><td>'''E'''stablish all the criteria (constraints).</td><td>Gather data.</td></tr><tr><td>'''Options''' generation.</td><td rowspan="3">'''C'''onsider all the alternatives.</td><td rowspan="2">Develop alternatives.</td></tr><tr><td>'''F'''acts-finding.</td></tr><tr><td>[[Enterprise research|'''R'''esearch]]</td><td>Consideration of '''E'''ffects</td><td>List pros and cons of each alternative.</td></tr><tr><td>[[Enterprise envisioning|'''E'''nvision]]</td><td rowspan="3">'''R'''eview and implementation.</td><td>'''I'''dentify the best alternative.</td><td>Make the decision.</td></tr><tr><td>[[Enterprise planning|'''P'''lan]]</td><td>'''D'''evelop and implement a plan of action</td><td>Immediately take action to implement it.</td></tr><tr><td>[[Enterprise discovery|'''D'''iscover]] (in&nbsp;a&nbsp;new&nbsp;cycle)</td><td>'''E'''valuate and monitor the solution and examine feedback when necessary</td><td>Learn from and reflect on the decision.</td></tr></table></blockquote>
 +
#*[[File:7-step-rational.png|400px|thumb|right|[[Seven-step decision-making]]]][[Seven-step decision-making]]. A [[rational decision-making model]] that consists of seven steps.
 +
 
===Practices===
 
===Practices===
''The successor lecture is [[Worker Productivity Quarter]].''
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 +
''[[Talent Management Quarter]] is the successor lecture. In the [[enterprise envisioning]] series, the next lecture is [[User Experience Quarter]].''
  
 
==Materials==
 
==Materials==
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==See also==
 
==See also==
 +
 +
[[Category:Septem Artes Administrativi]][[Category:Lecture notes]]

Latest revision as of 18:59, 12 May 2023

Individual Decisions Quarter (hereinafter, the Quarter) is a lecture introducing the learners to individuals designs primarily through key topics related to individual decision-making. The Quarter is the third of four lectures of Individuals Quadrivium, which is the fourth of seven modules of Septem Artes Administrativi (hereinafter, the Course). The Course is designed to introduce the learners to general concepts in business administration, management, and organizational behavior.


Outline

Human Motivations Quarter is the predecessor lecture. In the enterprise envisioning series, the previous lecture is Effort Engineering Quarter.

Concepts

  1. Decision. A choice made from among two or more alternatives.
  2. Decision-making. The action or process of making non-programmed decisions; creative behavior resulted in a new decision.
  3. Intuitive decision-making. Unconscious decision-making on the basis of distilled experience, feelings, and accumulated judgment.
  4. Rational decision-making. Decision-making that produces choices that are logical and consistent and maximize value.
    • Rationale. A reasoning characterized by making consistent, value-maximizing choices within specified constraints.
  5. Decision criteria. Criteria that define what's important or relevant to resolving a problem.
  6. Structured-task competence. A model that describes psychological states involved in the process of progressing from incompetence to analytical competence and, further, to intuitive competence in some knowledge, skill, and/or ability.
    • Unconscious incompetence (or wrong intuition). A situation in which the individual neither understands nor knows how to accomplish a job task and does not necessarily recognize the deficit.
    • Conscious incompetence (or wrong analysis). A situation in which the individual neither understands or knows how to accomplish a job task, but he or she recognizes the deficit. He or she also realizes the value of new knowledge, skill, and/or ability needed in addressing the deficit. The making of mistakes can be integral to the learning process at this level of competence.
    • Conscious competence (or right analysis). A situation in which the individual understands and/or knows how to accomplish a job task. However, demonstrating the knowledge, skill, and/or ability requires concentration. It may be broken down into steps, and there is heavy conscious involvement in executing the needed knowledge, skill, and/or ability.
    • Unconscious competence (or right intuition). A situation in which the individual not only understands and knows how to accomplish a job task, but has had so much practice with a skill that it has become "second nature" and can be performed easily. As a result, the skill can sometimes be performed while executing another job task. The individual may be able to teach it to others, depending upon how and when it was learned.
  7. Behavior. The way in which someone, something, or their group functions, operates, and/or conducts oneself.
  8. Attitude. An evaluative statement or judgment, either favorable or unfavorable, concerning objects, people, or events.
  9. Situational control. The capacity of a decision maker to manage the situation and estimate the likelihood of certain outcomes.
    • Certainty. A situation in which a decision maker can make accurate decisions because all the data and outcomes are known.
    • Uncertainty. A situation in which a decision maker has neither certainty nor reasonable probability estimates available.
  10. Ad hoc decision-making.
  11. Core self-evaluation. Bottom-line conclusions individuals have about their capacities, competence, and worth as a person. In other words, self-believing in one's inner worth and basic competence.
    • General mental ability. An overall factor of intelligence, as suggested by the positive correlations among specific intellectual ability dimensions.
  12. Decisional tendency.
    • Bounded rationality. Decision-making that is rational, but limited (bounded) by an individual's ability to process information. In other words, bounded rationality is a process of making decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity.
    • Escalation of commitment. An increased commitment to a previous decision despite evidence it may have been wrong.
    • Risk aversion. The tendency to prefer a sure gain of a moderate amount over a riskier outcome, even if the riskier outcome might have a higher expected payoff.
  13. Decision-making dilemma. Optimizing vs. satisficing, intuitive vs rational vs ad hoc, Agile vs rigid, conservative vs aggressive, linear vs nonlinear
    • Satisfice. Acceptance of solutions that are "good enough."
    • Allostasis. Working to change behavior and attitude to find stability.
  14. Self-regulation strategy.
    • Prevention focus. A self-regulation strategy that involves striving for goals by fulfilling duties and obligations.
    • Promotion focus. A self-regulation strategy that involves striving for goals through advancement and accomplishment.
  15. Ethical dilemma. A situation in which individuals are required to define right and wrong conduct.
  16. Cognitive dissonance. Any incompatibility or inconsistency between two or more attitudes or between behavior and attitudes.

Roles

  1. Decision maker.
  2. Operations research analyst. A professional who formulates and applies mathematical modeling and other optimizing methods to develop and interpret information that assists management with decision-making, policy formulation, or other managerial functions. He or she may collect and analyze data and develop decision support software, service, or products, as well as develop and supply optimal time, cost, or logistics networks for program evaluation, review, or implementation.

Methods

  1. Decision table. A decision-making technique that specifies complex business rules or logic concisely in an easy-to-read tabular format, specifying all of the possible conditions and actions that need to be accounted for in business rules.
  2. Decision tree. A decision-making technique that provides a graphical alternative to decision tables by illustrating conditions and actions in sequence. In other words, the decision tree is a diagram that describes a decision under consideration and the implications of choosing one or another of the available alternatives. It incorporates probabilities or risks and the costs or rewards of each logical path of events and future decisions.

Instruments

  1. Rational decision-making model. A decision-making model that describes how individuals may rationally behave in order to maximize the outcomes from the decision.
    DREPDGOFERDECIDESeven-step decision-making
    DiscoverGoals clarification.Define the problem.Outline your goal and outcome.
    Establish all the criteria (constraints).Gather data.
    Options generation.Consider all the alternatives.Develop alternatives.
    Facts-finding.
    ResearchConsideration of EffectsList pros and cons of each alternative.
    EnvisionReview and implementation.Identify the best alternative.Make the decision.
    PlanDevelop and implement a plan of actionImmediately take action to implement it.
    Discover (in a new cycle)Evaluate and monitor the solution and examine feedback when necessaryLearn from and reflect on the decision.

Practices

Talent Management Quarter is the successor lecture. In the enterprise envisioning series, the next lecture is User Experience Quarter.

Materials

Recorded audio

Recorded video

Live sessions

Texts and graphics

See also