decision making (obaid)

8/8/2019 Decision Making (Obaid)

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A Workshop on:

DecisionMakingConducted by:

Obaid BilgaramiCorporate Trainer/ Consultant

EDGE Training & Consulting Firm


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Objectives:

} To know what actuallyDecision is.

} Decision MakingProcess

(by using simple andeffective tools )


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Decision (definition ):

} Directing your attention to consequences of a choiceto our Values/ Feelings/ Mission/ Society/ Family andetc.

Defined by Dr. Edward DeBono

EtymologyFrom Middle French , in turnfrom Latin decisio , decisionis ,

from d c d (to decide ).

In any moment of decision, the best thing you can do is the right thing,the next best thing is the wrong thing, and the worst thing you can do is

nothing.Theodore Roosevelt


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Decision (Process ):

} And then we choose among them

} To cut off alternatives (Latin word )

} First we diverge to find out alternatives

} Then we fortify our decisions using some tools


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And why isnt argumentsuitable for the purpose?

} Ego and Position gets involved} Win Lose situation

How Do We Usually MakeDecisions?

} Through an Argument (Or a discussionusually turn into Argument )


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And Then!!!!!!!!!

A head to head collision (No constructivethoughts and decisions )


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3. DecisionMaking Process

4. Decision MakingTools

1. What isDecision Making? 2. Barriers to Good

Decision Making


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"No sensible decision can be made any longerwithout taking into account not only the world as

it is, but the world as it will be. . . "- I saac Asimov


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}} Decision makingDecision making is the cognitive process leading to

the selection of a course of action amongalternatives.} Every decision making process produces a f inalf inal

choicechoice . It can be an actionaction or an opinionopinion .} It begins when we need to do something but we do

not know what. Therefore, decision making is a r easoning p r ocess r easoning p r ocess which can be rational or irrational, and can be based on explicit assumptionsor tacit assumptions.

} Ex amples:Shopping, deciding what to eat, What to wear,when to sleep, etc..

Source: http://en.wikipedia.org/wiki/Decision_making


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S uccessful leaders have the courage to takeaction while others hesitate.

- J ohn C. Maxwell


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Barriers to Good Decision MakingBarriers to Good Decision Making}} H astyH asty - Making quick decisions without having

much thought.

}} N a rr owN a rr ow - Decision making is based on very limitedinformation.

}} Scatte r ed Scatte r ed - Our thoughts in making decisions aredisconnected or disorganized.

}} Fuzz yFuzz y - Sometimes, the lack of clarity on importantaspects of a decision causes us to overlook certainimportant considerations.


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Making good decisions is a crucial skill atevery level.

- Peter Drucker


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Decision Making ProcessDecision Making Process

1.1. Define the decision clearly.Define the decision clearly.

2.2. Consider all the possible choices.Consider all the possible choices.

3.3. Evaluate all the pros and cons of each possibleEvaluate all the pros and cons of each possiblechoice.choice.

4.4. Select the choice that seems to best meet theSelect the choice that seems to best meet theneeds of the situation.needs of the situation.

5.5. Plan your act and then act your plan.Plan your act and then act your plan.


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Because I' m thinking in a broader way, I feel likeI am able to make better decisions.

-Takafumi Horie


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Usage of Simple/ Complex Tools} Brainstorming ( Broaden the horizons)} SWOT Analysis

} Pareto Analysis} Decision Tree, etc} Parallel/Lateral Thinking} Six Thinking Hats


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BRAIN STORMING

Tool #1:


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Brain Storming: Why?} Human brain is self -rewarding system} Brain works on bending, building and

adapting IDEAS.

Dumb Idea Good and

workable idea

What if newton was like most of us???

Every Idea Is WorthyI see my own rejected thoughts in the work ofevery geniusR. W. Emerson


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Brain Storming: How?} And above all: Make it FUN}

Define the problem clearly} A facilitator must write down the ideas as

they are expressed (On a flip chart )} Try a warm -up exercise}

Encourage dumb ideas} Keep the pace brisk

DO NOT:Evaluate, criticize andlaugh at any idea

Didnt I tell you that EveryIdea Is Worthy


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ExerciseExercise

Fund raising for a CharityOrganization.

How to create healthy environment inabsence of parks and resorts?

How should coca cola competelaunch one of its products into themarket?


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S S trengths trengths W W eaknesses eaknesses

O O pportunities pportunities T T hreats hreats

Tool #2:


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}} SWOT SWOT analysis is a great technique for identifying your S St r engths and W W eaknessesand study any OO ppo r t u nities and T T h r eats youface.

} It is also a powerful st r ategic planning tool st r ategic planning toolused to evaluate a project or in a businessventure or in any other situation of anorganization or individual requiring a decisionin pursuit of an objective.

}

It involves monitoring the marketingenvironment inte r nalinte r nal and e x te r nale x te r nal to theorganization or individual.

Source: http://en.wikipedia.org/wiki/SWOT_Analysis


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SWOT Analysis FactorsSWOT Analysis Factors} The aim of any SWOT analysis is to identify the key

inte r nal and e x te r nal factors that are important toachieving the objective. SWOT analysis groups keypieces of information into two main categories:

Source: http://en.wikipedia.org/wiki/SWOT_Analysis

I nternal FactorsI nternal FactorsOrganizationOrganization

External FactorsExternal FactorsExternal EnvironmentExternal Environment

SStrengthstrengths

WWeaknesseseaknesses

OO pportunitiespportunities

TThreatshreats


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Tools for StrategyTools for Strategy FormulationFormulationSOSO Strategies: Use strengths to take

advantage of Opportunities

WOWO Strategies: Overcome weaknesses to takeadvantage of Opportunities

STSTStrategies: Use Strengths to avoid Threats

WTWTStrategies: Minimize Weaknesses andavoid Threats


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Build on your

Strengths

Evaluate your

O pportunities Research yourT hreats

Recognise your

W eakness


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Group ActivityGroup Activity} Break into groups of 4 6.

} Identify a potential Project.} Do a SWOT analysis to identify the key inte r nal and e x te r nal factors

that are important to consider (refer to the template ).} Assess the findings, and make a decision.

Example:}

Imagine you want to assess whether to settle abroad or not. Doa SWOT analysis, assess and then make a decision.

02 min02 min Identify a potential project.

05 min05 min Document your SWOT analysis findings in the template provided.

02 min02 min Assess each factor out of 5.

01 min01 min Make decision.

The Group leader must submit their findings in hard-copy or soft-copy format to thelecturer after or during the workshop.


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Tool #3:

The Pareto PrincipalThe Pareto Principal


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In 1879, the famous Italian economist Alfred Pareto, noticed that80% of Italys wealth was controlled by 20% of the population.This concept is known as Paretos Law or Paretos Rule or Pareto Principle or Principle of imbalance or simply The80/20 Rule.Subsequently, people in various disciplines and professionsnoticed that this same 80/20 applied, in a broad way, to a wide

range of phenomena. Dr. Joseph Juran also recognized thisconcept as universal that could be applied to many fields. Hecoined the term vital few and useful many.


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The Pareto PrincipleThe Pareto Principle akaakaThe 80The 80 20 Rule20 Rule


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The Pareto PrincipleThe Pareto Principle akaakaThe 80The 80 20 Rule20 Rule

The

VITAL FEW


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Pareto Principle Also Applies toPareto Principle Also Applies toInventory $ & Purchase $Inventory $ & Purchase $

Purc hase $ Invento ry $

80%$$$$$$$$

$$$$$$$$$$$$$$$$$$$$$$$$ 20%

$$

80%

20%


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Pareto Principle Also Applies toPareto Principle Also Applies toPurchases & SuppliersPurchases & SuppliersS uppli e r s Purc hases


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Pareto PrinciplePareto PrincipleAlso Applies toAlso Applies to PeoplePeople

In- Pu t O u tpu t


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AssignmentAssignment

Identify the contributors (Atleast 6 ) Give them percentage out of 100%Rearrange them in descending Order Choose 2 major contributorsPlan alternative solutionsMake Decision to improve.

Failure


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SummarySummary6. 1 What is DecisionMaking?

Decision making is the cognitive process leading to theselection of a course of action among alternatives.

6. 2 Barriers to Good Decision Making

H asty, Narrow, Scattered and Fuzzy decision making.

6.3 Decision Making Process

1 . Define the decision clearly.2. Consider all the possible choices.3. Evaluate pros and cons of each possible choice.4. Select the choice that seems to best meet the needs

of the situation.5. Plan your act and then act your plan.

6.4 Decision Making Tools

Brainstorming ( Broaden the horizons)SWOT AnalysisPareto AnalysisDecision Tree, etcParallel/Lateral ThinkingSix Thinking Hats


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Q/ A Session


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Thank You!!!

decision making (obaid)

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