Strategic decisions: which characteristic below does NOT describe strategic decisions made by senior management?

Difficulty: Easy

Correct Answer: they are structured

Explanation:


Introduction / Context:
Strategic decisions set long-term direction under uncertainty. Unlike routine choices governed by clear rules, strategic choices require judgment, insight, and external scanning. Recognizing their properties helps design appropriate information and decision-support tools.



Given Data / Assumptions:

  • Strategic decisions are enterprise-wide and long-range.
  • The environment (competition, regulation, technology) is uncertain.
  • We seek the attribute that does not fit strategic decisions.


Concept / Approach:
Strategic decisions are typically unstructured or semistructured. They are future oriented, involve significant uncertainty, and address long-range plans (markets, products, capabilities). “Structured” decisions have clear procedures and rules—more typical of operational control.



Step-by-Step Solution:

Compare each option to known strategic attributes.Confirm future orientation, long-range scope, and uncertainty as accurate.Identify “they are structured” as not fitting.Select that as the exception.


Verification / Alternative check:
Anthony’s hierarchy and Simon’s model of decision types (structured vs unstructured) support this classification.



Why Other Options Are Wrong:
They correctly describe strategic decisions (long-term, future oriented, high uncertainty). “All are characteristics” is therefore false.



Common Pitfalls:
Believing that formal planning makes a decision structured; structure refers to decision procedures, not merely the existence of a plan.



Final Answer:
they are structured

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