A process of making decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity is known as

Bounded rationality.

Explanation:

This is explained to be a model that is been used in making choices between alternatives. Models of this kind brings about use of logic, analysis and objectivity always which appear over subjectivity and insight. In this particular model, approaches like Formulating of goal, decision making, identification of criteria for decision making, performing analysis etc are seen to make this model a better type of its kind. Here individuals who are seen to posses high cognitive ability are seen handling of decisions and making quality arrangements towards its actualization.

In a lot of cases, it is seen to not consider factors that cannot be quantified, such as ethical concerns or the value of altruism.