What is Decision Making?
The Decision Making is the process of examining all possibilities & options, comparing them, and choosing a right course of action. Using a step-by-step decision-making process can help you make more deliberate, thoughtful decisions by organizing relevant information and defining alternatives
It is a Choice from two or more alternatives – A Rational Thinking
The process by which Managers respond to opportunity and treats by analyzing options & making decision about goals & course of action
Factors for making Effective Decision
- Perception
- Goals
- Priority
- Acceptability
- Values
- Demands
- Styles
- Risk
- Resources
- Judgement
Types of Decision Making
Strategic – Long Term, Complex, Apex Level, focus to be Market Leader
Tactical – Medium Term, Less Complex, Mid-Level, Launch of New Product/Service
Operational – Day to day, Simple & routine, Junior Management Level, Regular Supply & dispatch issues & staff rotation etc.
In other words:
Programmed Decision – Usual & Automated
Un programmed Decision – Unusual & Situation Driven
Intuition Based Decision – Based on experience, feeling, & accumulated judgments
What are the 6 C’s in Decision Making
- Construct
- Compile
- Collect
- Compare
- Consider
- Commit
Steps of Decision making
- Identify a problem
- Identifying decision making
- Allocating weights to the criteria
- Developing Alternatives
- Analyzing Alternatives
- Selecting an Alternatives
- Implementing the Alternative
- Evaluating the Decision-Making effectiveness
Important Diagnosis Questions – Brain Storming
- What is the state of disequilibrium affecting us
- When did it occur
- Where did it occur
- How did it occur
- To whom did it occur
- What is the urgency of the problem
- What is the interconnectedness of event
- What outcome is expected from what activity
Popular Methods for Decision Making
- Decision by running out of time
- Decision by chaos
- Decision by Fiat
- Decision by Coercion
- Decision by Competition
- Decision by Voting
- Decision by Inertia
Hurdles faced during effective Decision Making
- Lack of Time
- Lack of Reliable Data
- Risk Taking Ability – Level of Decision Making is not clear
- Too many options to choose
- Inadequate support – Inability to change
- Lack of Resource
Some Interesting Quotes
Be sure you are right – than go ahead – Davy Crocket
Doing what’s right isn’t hard – knowing what’s right is – Lyndon B Johnson
Mine own applause is the only applause which matters – Cicero
Once you’ve made your mark, watch out for eraser – Will Rogers
Exercise on Decision Making
Suppose that you are a manager and running organization. Take complete ownership kindly respond to following questions. Use the key of 5 scale…
- Not at all
- Rarely
- Sometime
- Often
- Very often
Get Ready for Questions
- I evaluate the risk associated with each alternative before making a Decision
- After I make decision, it is final – because I know my process is strong
- I try to determine the real issue before starting a decision-making process
- I rely on my own experience to find potential solutions to a problem
- I tend to have strong gut instinct about problems, and I rely on it in decision making
- I am sometimes surprised by the actual consequences of my decision
- I think that involving many stakeholders to generate solutions can make the process more complicated than it needs to be
- If I have doubt about my decision, I go back and recheck my assumptions and my process
- I take the time needed to choose the best decision-making tool for each specific decision
- I consider a variety of potential solutions before I make my decision
- Before I communicate my decision, I create an implementation plan
- In a group decision – making process, I tend to support my friends’ proposals and try to find ways to make them work
- I use a well-defined process to structure my decisions
- When communicating my decision, I include my rationale & justification
- Some of the options I’ve chosen have been much more difficult to implement than I expected
- I prefer to make decisions on my own, and then let other people know what I have decided
- I determine the factors most important to the decision, and then use those factors to evaluate my choices
- I emphasize how confident I am in my decision as a way to gain support from my plans
Calculate your Score:
Not at all – 1, Rarely – 2, Sometimes – 3 Often – 4 Very often – 5
Evaluations:
18-42: Your decision making hasn’t fully matured
43-66: your decision-making process is Okay – Good Understanding
67-90: Your decision-making approach is excellent
What is Empowerment?
Empowerment means authority or power given to someone to do some thing
Examples:
- Involve employees in company decisions
- Provide training courses for Managers
- Use Employees Recognition awards
- Allow Autonomy in decision making
Importance of Empowerment
Empowerment enables leaders & team members to live to their fullest potential & to own their work. The leaders who build a culture of empowerment set their people up for success in three major ways by 1) Enabling employees to experience continual growth, 2) Align their vision & 3) Values with the organizational Goals
Types of Empowerments
- 1. Individual Empowerment – Power to change your own circumstances
- Gender Empowerment – All Gender identities should work for Society
- Social Empowerment – All can make difference to the society
- Educational Empowerment – Provide free access to high quality education resources
- Economic Empowerment – Build Economic Empowerment by use of Financial Tools
- Political Empowerment – Increase diversity of voices & opportunities in political area
- Phycological Empowerment – Increase in Empathy
- Physical Empowerment – Focus on Primary Health Care to make people physical fit
Elements of Empowerment
- Self-Reliance
- Self Determination
- Self-Rule
- Autonomy
Ways to Empower
- Cooperate with others
- Empower Everyone
- Always be positive
- Be Appreciative
- Ask them what their goals are
- Help them to find their strengths
- Lead by example
- Give you team Autonomy
- Extend support when the individuals are struggling
- Support Individuals when they are succeeding
- Don’t give your team the answers – help them to find them …
Principals of Empowerment
- Being respectful and non-judgemental
- Building a relationship where the person feels comfortable to discuss their feelings and what they want
- Focussing on strengths and abilities
- Supporting and encouraging involvement in decision making
- Respecting the decisions a person makes about their own life