Decision Making: The Fundamentals Presentation & Facilitation Guide © 2011 SkillSoft Ireland Limited.

Decision Making: The Fundamentals

Presentation & Facilitation Guide

© 2011 SkillSoft Ireland Limited

Decision Making: The Fundamentals2

Introduction and Ground Rules

• Presenter: [enter name of presenter or facilitator].

• Target audience: Individuals who want to develop or improve their

problem-solving and decision-making skills.

• Goal: To become a more effective decision maker by learning how to

adapt your decision-making style to suit the situation.

• Ground rules:

• List ground rules here.


Agenda

• Course Overview.

• Topic 1: The Basics of Effective Decision Making.

• Topic 2: Decision-making Styles.

• Topic 3: Adapting Your Decision-making Style.


Course Overview

• 50,000 decisions every day.

• Many decisions are unimportant.

• Others are critical.

• Most people aren't trained to make decisions.


Topic 1: The Basics of Effective Decision Making

Sequence examples of the steps in the decision-making process.


Effective Decision Making

• You make thousands of decisions every day.

• Identify alternatives, analyze them, and choose the best.


Reasons for Making Decisions

• Solve a problem.

• Move an organization forward.

• Gloss over a mistake.

• Improve your standing.

• Fit into a new peer group.


The Importance of Good Decision Making

• Important for personal and professional success.

• Necessary for career advancement.

• Make more efficient use of time and resources.

• Move organizations forward and help achieve goals.

• Be more confident about your decisions.


Practice

Why is effective decision making important?

A. It's important for achieving personal success.

B. It ensures you can be quick in reaching firm decisions.

C. It's necessary for professional advancement.

D. It prevents you from having to rely on the participation of others in reaching decisions.

E. It can prevent wasted time, effort, and money.

F. It can give organizations a competitive edge.

G. It can improve your confidence in the choices you make.


The Decision-making Process

The Decision-making Model

Step 1: Establish a context for success.

Step 2: Frame the issue properly.

Step 3: Generate alternatives.

Step 4: Evaluate alternatives.

Step 5: Choose the best alternative.


The Decision-making Process - Example

• Nationwide distributor of college-level textbooks.

• Drop in sales and profitability.

• Team needs strategies and measures to ensure sales and profit growth.


Establishing a Context for Success

• Involve the right people.

• Keep the decision group small.

• Encourage participation.

• Choose diverse settings.

• Avoid advocacy.


Framing the Issue Properly

• Address the real issue.

• Don't accept your initial perception.

• Approach the issue from several angles.

• Be creative.


Generating Alternatives

• Brainstorm.

• Involve creative people.


Generating Alternatives

Good alternatives:

•Are unique and broadly constructed.

•Take resources and constraints into account.

•Offer a real choice.


Tools for Evaluating Alternatives

Prioritization matrix.



Trade-off table.



• Decision tree.

• Software programs.


Choosing the Best Alternative

• Know when to end the deliberations.

• Turn the decision into action.


Practice

Ahmed is the features editor for an adventure travel magazine. He has been getting complaints that feature articles in the magazine are too tired and contrived. Now he wants to decide on a feature for the next issue.

Sequence the example of the steps in the decision-making model.

If necessary, access the job aid "The Decision-making Model" to help you answer the question.

___ He explains why the chosen article is the best alternative and promises to pass on all

reader feedback he receives.

___ He asks for ways to improve his department's feature articles.

___ The team brainstorms, thinking of unique and viable feature articles.

___ He asks a few key people and some very creative people to attend a planning session.

___ The team uses a prioritization matrix to evaluate solutions under a range of criteria.


Discussion

Consider a business decision you had to make.

Did you follow the five-step model when deciding what course of action to take?


Topic 2: Decision-making Styles

Match each example with the decision-making style it best exemplifies.


The Four Decision-making Styles

People approach decisions in different ways.


Reflect

Think about Lisa and Anton's different approaches to the same situation. Is either person's approach the most appropriate?





• Which style do you use most often?

• Approach depends on situation.


Practice

Which decision-making style did Rick use?

A. Consultative style.

B. Traditional majority or voting style.

C. Authority or expert style.

D. Consensus style.


The Authority or Expert Style


The Consultative Style

• Valuable input.

• Takes longer.

• Results in better decisions.

• Leads to greater trust.


Practice

Which decision-making style is Gail using?

A. Consensus style.

B. Authority or expert style.

C. Consultative style.

D. Traditional majority or voting style.


The Majority Voting Style

Creates "winners-and-losers" mentality.


The Consensus Style

• Complicated.

• Time consuming.

• Best used only to decide on key issues.


• Be aware of your decision making style.

• Acknowledge different styles.



Practice

Match each scenario to the corresponding decision-making style.

Scenario

A. Board members discuss alternative strategies for downsizing, and adopt a strategy once it meets everyone's basic approval.

B. A team leader decides on the criteria for determining staff bonuses and then explains these to the team.

C. A manager asks staff to test different software and gets everyone's feedback before deciding which product to buy.

D. At an annual general meeting, shareholders of a firm elect a new chairman of the board through a show of hands.

Style

___ Consultative style.

___ Authority or expert style.

___ Consensus style.

___ Traditional majority or voting style.


Discussion

Have you ever made a decision using the authority or expert style?

Was this the most appropriate style to use for the decision you were making? How did those affected by your decision react?


Topic 3: Adapting Your Decision-making Style

Adapt your decision-making style to suit a given situation.


Influential Factors in Decision Making

• Different types of decisions.

• Different decision-making styles.

• Adapt style to suit the situation.


Factors That Influence Your Choice of Style

• Time.

• Importance.

• Knowledge.


Factors That Influence Your Choice of Style

• Buy-in.

• Experience.


Choosing the Right Decision-making Style

• Weigh up different factors.

• Pick the style that best suits the situation.



Take on new project or turn it down?

• Further lucrative opportunities.

• Variety of risks.

• Quick decision needed.


Practice

Which decision-making style is most appropriate in this situation?

A. Consensus.

B. Traditional majority or voting.

C. Authority or expert.

D. Consultative.



Custom Development Team

Keep? Disband?

• Retain talented team members.

• Keep important clients.

• Increase productivity of other teams.

• Expand team members' abilities.

Important that managers support the decision.


Practice

Identify the two decision-making styles that are most appropriate for this situation.

A. Authority or expert.

B. Consensus.

C. Traditional majority or voting.

D. Consultative.



• Affects all employees.

• Impacts client perceptions.


Practice

Which decision-making styles are most appropriate in this situation?

A. Consultative.

B. Authority or expert.

C. Majority or voting.

D. Consensus.


Adapting Your Style

• Time constraints.

• Experience and knowledge.

• Importance of decision.

• Level of buy-in.


Practice - Case Study Info

Julia owns a small but busy stationery shop. She employs a few permanent staff members – two drivers, two sales clerks, an administrative assistant, and a financial manager. Julie herself manages the business's relationships with suppliers.

Julia maintains a very strong grip, making almost all business-related decisions by herself. However, she now realizes that she needs to focus on adapting her decision-making style, depending on the situations she faces.

Answer the questions that follow to help Julia adapt her decision-making style based on the situations she faces.


Practice

One of the company's delivery trucks has broken down, and an engine part needs to be replaced. There are three possible replacement parts, ranging in price and quality. The mechanic working on the truck needs to know which part to use, and he needs an answer within the next three days. Julia's drivers are motor vehicle enthusiasts, but Julia and the other employees don't know much about engines.

Which decision styles are most appropriate for Julia to use?

A. Traditional majority or voting.


C. Consultative.

D. Consensus.


Practice

During a telephone conversation, a supplier mentions that he's doubling the price of his stock. Julia realizes that if she's to retain the supplier, she'll make a loss on these items. Before Julia ends the conversation, she needs to decide whether to stay with the supplier or seek an alternative.

Which decision style is most appropriate in this case?

A. Consultative.


C. Consensus.

D. Traditional majority or voting.


Practice

At the end of a particularly stressful day, Julia decides to take her staff out for dinner. Unfortunately, most of the restaurants in the area are booked for the night, and she's left with a choice of only two places to eat. Julia and the staff are ready to go, so a quick decision is important.

Which decision style should Julia use to decide on a restaurant?

A. Consensus.

B. Traditional majority or voting.

C. Consultative.

D. Authority or expert.


Discussion

Think of business decisions you have made in the past.

Did you adapt your decision-making style according to each situation?

How did this impact on the outcome of your decision?


Wrap-up / Q&A

• Topic 1: The Basics of Effective Decision Making.

• Sequence examples of the steps in the decision-making process.

• Topic 2: Decision-making Styles.

• Match each example with the decision-making style it best exemplifies.

• Topic 3: Adapting Your Decision-making Style.

• Adapt your decision-making style to suit a given situation.

Decision Making: The Fundamentals Presentation & Facilitation Guide © 2011 SkillSoft Ireland Limited.

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