DECISION
MAKING
Defining the problem Identifying alternative solutions Assessing pros and cons Analyzing and selecting the criteria for selection Selecting course of action Implementing decisions Monitoring results
DEFINING THE PROBLEMS Most complicated step Difficult to detect the actual problem Cause and effect relationship can be deceiving. IDENTIFYING ALTERNATIVE SOLUTIONS A problem may have many possible solution An open mind is needed to consider all the aspects of problem
EVALUATING ALERNATIVES Consider all the pros and cons of each alternative Can take help of decision aids( risk analysis, forecasting, linear programming, decision analysis etc) APPLYING CRITERIA There can be multiple criteria for taking a decision. SELECTING AN ALTERNATIVE AND IMPLIMENTATION Selecting a preferred course of action is a result of above 4 steps. It is the result of conceptual analysis and of practical consideration
Decisions are rarely proceed as planned. So, there is a need to monitor it and take corrective actions as necessary. HUMAN DIMENSION IN DECISION MAKING Decision is effective only after taking human and administrative dimensions that influence the organizational responses.
ABILITY
Ability to conceive and advocate appropriate solutions.
WILLINGNESS
Willingness to conceive and advocate appropriate solutions.
INSIGHT
COMMITMENT
Able to evaluate recommended solutions and to commit resources
Willing to evaluate recommended solutions and to commit resources
ABILITY
Each performance situation need special skill for its solution. Knowledge of requirement Experience People have different style of thinking and analysis. People with contrasting style of thinking finds it difficult to work together
STYLE OF THINKING
CLASSES OF DECISION
Rule based Analytically based