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Decision Making

Decision making is a core responsibility of managers at all levels. It involves identifying alternative courses of action to address a problem and choosing the best option given the situation. The decision making process generally includes defining the problem, gathering relevant information, developing alternatives, selecting a preferred option, implementing it, and then evaluating the results. Higher level managers face more complex decisions that impact a larger scope.

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Erljhay Judah Aguado
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72 views9 pages

Decision Making

Decision making is a core responsibility of managers at all levels. It involves identifying alternative courses of action to address a problem and choosing the best option given the situation. The decision making process generally includes defining the problem, gathering relevant information, developing alternatives, selecting a preferred option, implementing it, and then evaluating the results. Higher level managers face more complex decisions that impact a larger scope.

Uploaded by

Erljhay Judah Aguado
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Decision Making

Decision Making as a
Management Responsibility

 Decisions must be made at various levels in the workplace.


 Decision-making is a responsibility of the engineer manager.
 Management must strive to choose a decision option as correctly as possible.
 Higher Management level = bigger and the more complicated decision making becomes.
What is decision making?
PROCESS OF IDENTIFYING AND CHOOSING ALTERNATIVE COURSES OF ACTION
IN A MANNER APPROPRIATE TO THE DEMANDS OF THE SITUATION.

 Decisions are made at various management levels and various management functions (planning,
organizing, leading, and controlling.
 Decision-making is the heart of all the management functions. (Nickels & McHugh, 2010)
Decision Making Process
Rational decision-making model. (Nickels & McHugh, 2010)

 Define the situation


 Describe and collect needed information
 Develop alternatives
 Develop agreement among those involved
 Decide which alternative is best
 Do what is indicated
 Determine whether the decision was a good one, and follow up.
Define the situation
Diagnose Problem

 Identification of the problem is tantamount to having the problem half-solved. (Charles Kettering)
 A problem exist when there is a difference between an actual situation and a desired situation.
(Schermerhorn, Jr, 1986).
Describe and collect needed information
Analyze the Environment

 Environment where the organization is situated is very significant in success or failure of the
organization.
 Objective is to identify constraints, which may be either internal or external limitations.
 Internal – Limited Funds, Limited Training, Ill-designed facilities.
 External – Patents are controlled by other organizations, market limitations, regulations.
Develop alternatives
Develop agreement among those involved
Decide which alternative is best
Viable alternatives

 Problems may be solved by any of the solutions offered.


 Evaluation of alternatives.
 Selection of best alternative.
Do what is indicated
Implement Decision

• Refers to carrying out the decision so that the objectives sought will be achieved.
• A plan must be devised to make implementation effective.
• At this stage, resources must be made available.
• Who will be involved in implementation must understand and accept the solution.
Determine whether the decision was a
good one, and follow up.
Evaluate and Adapt Decision Results

• Results expected may or may not happen.


• Control and feedback mechanisms should be in place to ensure results and to provide information for
future decisions.

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