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DECISION MAKING

 

decision making



INTRODUCTION

Managing a decision is an important managerial activity, and central point of the managing process. Decisions are made by every manager through its significance and coverage depends on the situation, problem and hierarchy. Indeed, the managers manage by making decisions and getting them implemented.

DEFINITION

1. It is a process of a solution selected after examining several alternatives chosen because the decider forsees that the course of action he elects will do more than the others to further his goals and will be accompanied by the fewest possible objectionable consequences.

2. is the act of choosing one alternative from among a set of alternatives.

TYPES OF DECISIONS

A programmed and Non programmed decisions

A programmed decision , decision that is relatively structured or recurs with some frequency or both.

Non programmed decision, decision that is relatively unstructured and that occurs with low frequency.

Routine and Strategic decisions

Routine or Tactical decisions, are made repetitevely following certain established rules, procedures and policies.

Strategic decisions, are more important and so they are taken always by the top management. They are related to strategic matters and so require a thorough fact finding and analysis of the possible alternatives.

Policy and Operating decisions

Policy decisions, are of vital importance and are taken by the top management. They affect the entire enterprise.

Operating decisions,are taken by the lower management in order to put into action the policy decisions.

Organisational and Personal decisions

Organisational decisions, are those which a manager takes in his official capacity.Such decisions can be delegated.

Personal decisions, which relate to the manager as an individual and not as a member of the organisation, cannot be delegated.

DECISION MAKING PROCESS



REF: 

1-M.SAKTHIVEL MURUGAN, Management principles and practices.

2-A.DUBRIN, Essentials of management.

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