ba 351 managing organizations

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BA 351 Managing Organizations. Decision Making. - PowerPoint PPT Presentation


  • Decision Making *

  • Write Smart Co. has a very specific decision making process that it follows for handling client problems that has been quite successful for the firm. The first stage is _______, in which the team members at Write Smart help the client figure out exactly what the problem is that it faces.Identifying and diagnosing the problemEvaluating the resultsGenerating alternative solutionsImplementing the decision*

  • *

  • IntroductionMaking decisions under conditions of risk and uncertainty is one of the most important activities that managers engage in.

    Generally, there is a lack of information and a limited amount of time available to make the decision.

    Procrastinating and not making a decision sometimes has greater risk than making it.*

  • Rational or ?*

  • Rational or

    Exercise:With your partner solve the two problems on pages 1& 2You will have 15 minutes to complete both exercises*

  • RFP*

  • Creative Problem Solving AssessmentComplete Pages 3 - 5*

  • Advantages and Disadvantages of Group Decision MakingAdvantagesIncreased acceptanceGreater pool of knowledgeDifferent perspectivesGreater comprehensionTraining groundDisadvantagesSocial pressureMinority dominationLogrollingGoal displacementGroupthink*

  • The Abilene ParadoxwithDr. Jerry B. Harvey*

  • Decision MakingThe process of identifying problems and opportunities and resolving them.

    Management decisions can be made by managers, teams, or individual employees, depending on:The scope of the decision, andThe design and structure of the organization.*

  • ProgrammabilityUncertaintyRiskConflictDecision ScopeCrisis*

  • Identifying and diagnosing the problemGenerating alternative solutionsEvaluating alternativesSelecting the best alternativeImplementing the decisionEvaluating the decision*

  • Typical problems that require decisionsA high level of employee turnover.

    A reduction in firm profits.

    Unacceptable levels of shrinkage in a store.

    Lower than planned quality of finished goods.

    An unexpected increase in workplace injuries.

    The invention of a new technology that can increase the productivity of the workforce.*

  • Evaluating AlternativesDecision criteria should be related to the performance goals of the organization and its subunits.

    Decision criteria can include:CostsProfitsTimelinessWhether the decision will workFairness*

  • Evaluating Alternatives (cont)A practical way to apply decision criteria is to consider:

    Decision quality aspect of decision making based on such facts as costs, revenues, and product design specifications.

    Decision acceptance aspect of decision making based on peoples feelings.*

  • Approaches to selecting the best alternativeOptimizing selecting the best alternative from among multiple criteria.

    Satisfying selecting the first alternative solution that meets a minimum criterion.*

  • Leadership StyleDevils Advocate RoleStimulating Creativity*

  • Leader Decision Making Styles

    Decide and persuadeDiscover facts and decideConsult and decideConsult with group and decideGroup decision*

  • BrainstormingStoryboardingNominal Group Technique (NGT)Delphi Technique*

  • Skills for Decision Making ProcessTime management skillsTo make good decisions, managers need time to understand the problem and develop creative solutions.

    Delegation skillsManagers who know how to delegate are able to accomplish more than those who feel the need to be involved in every decision, no matter how trivial.*

  • Why Leaders Dont DelegateInsufficient timePerception that the job is too importantLeaders belief that he/she can do it betterLeader enjoys doing the jobLack of confidence in subordinatesFear subordinates might do job betterConcern that the Boss will think the leader isnt working*

  • Effective Time Management PracticesPlan a list of things that need to be done today.

    Plan weekly, monthly, and annual schedules of activities.

    Schedule difficult and challenging activities when you are at your highest level of energy and alertness.

    Set deadlines.*

  • Effective Time Management Practices (cont)Answer phone messages and e-mail in batches during a lull in your work schedule.

    Have a place to work uninterrupted.

    Do something productive during non-productive activities.*

  • Effective Delegation (cont)Keep communication channels open.Allow employees to do the task the way they feel comfortable doing it.Trust employees capabilities.Check on the progress of the assignment.Hold the employee responsible for the work.Recognize what the employee has done, and show appropriate appreciation.*

  • Rules for Successful DelegationDescribe the taskOutline expected resultsDiscuss resourcesConfirm understandingSolicit ideasEstablish methods of working and reporting*

  • Guidelines for Giving DirectionUse familiar wordsDefine new termsUse logical sequencingProvide a visual model or demonstrationCheck for understandingAllow the listener to clarify instructions*


    *MargeWere going to spend some time looking at two approaches to problem solving.The rational or scientific approach The Creative approach.Turn to pages 4 and 5 in your workbook*MargeWe have two problems for you to solve that will illustrate the Rational and Creative approaches to problem solvingGo over the two problems.Form partnershipsAllow 15 minutes for partner work*Both debrief**3*3