Robbins Fom9 Ppt04

7/24/2019 Robbins Fom9 Ppt04

1/38

Copyright 2015 PearsonEducation, Inc.

4-1

Chapter4

Foundation

sof DecisionMaking


2/38

Learning Outcomes

Describe the decision-making process.

Explain the three approachesmanagers can use to make decisions.

Describe the types o decisions anddecision-making conditions managersace.


4-2


3/38

Learning Outcomes (cont.)

Discuss group decision-making.

Discuss contemporary issues inmanageria! decision making.


4-"


4/38


4-4

4.1Describe the

decision-makingprocess.


5/38

How Do Managers MakeDecisions?

4-5

Decision making can be viewed as an eight-stepprocess that involves identifying a problem, selecting

an alternative, and evaluating the decisions

effectiveness.


6/38

dentif!ing a Decision"roblem#he decision-making process $egins %ith theidenti&cation o a problem

"roblem#

a discrepancy $et%een an e'isting and a desired

state o a(airs.

)o% do managers $ecome a%are o such adiscrepancy* #hey ha+e to compare the current

state o a(airs %ith some standard, %hich can $epast perormance, pre+ious!y set goa!s, or theperormance o another unit %ithin theorganiation or in another organiation.

4-


7/38

dentif!ing DecisionCriteria$ele%ant Factors#

Price

ode!

/ie

anuacturer

ptions

epair record

4-


8/38

&eighting Criteria

n man! decision'making situations( thecriteria are note)uall! important( so

it*s necessar! toallocate weights

1.ost importantcriterion assigned a

%eight o 10.2.ther %eightsassigned against thisstandard.


4-3


9/38

De%eloping +lternati%es

4-Copyright 2015 PearsonEducation, Inc.


10/38


4-10

+nal!,ing +lternati%es


11/38


4-11

-electing the .est+lternati%e


12/38

mplementing theDecision

Decision implementation#

putting a decision into action.

#he decision may sti!! ai! i its notimp!emented proper!y.


4-12


13/38

E%aluating the Decision

+ppraising the outcome of thedecision#

6as the pro$!em reso!+ed*

#he !ast step in the decision-makingprocess, managers appraise the resu!t

o the decision to see %hether thepro$!em %as reso!+ed. E+a!uating theresu!ts o a decision is part o themanageria! contro! process

4-1"


14/38

Common Errors


4-14


15/38


4-15

4.2Explain the three

approachesmanagers can use to

make decisions.


16/38

/hree +pproaches 0sed toMake Decisions# /!pes of

Decisions

4-1Copyright 2015 PearsonEducation, Inc.


17/38

$ational Model

$ational decision making#

choices that are consistent and +a!ue-ma'imiing %ithin speci&ed constraints.


4-1


18/38

.ounded $ationalit!

-atis1ce

Escalation of

commitment


4-13


19/38

ntuiti%e Decision Making

4-1

ntuiti%e decision making in+o!+es makingdecisions on the $asis o e'perience, ee!ings, andaccumu!ated 7udgment, %hich can comp!ement$oth rationa! and $ounded rationa! decision making.

anagers make decisions $ased on8

9Past e'periences

9:ee!ings and emotions

9/ki!!s, kno%!edge, and training9;ata rom the su$conscious, and

9Ethica! +a!ues or cu!ture.


20/38


4-20

4.3 Describe the typesof decisions and

decision-making

conditions that

managers face.


21/38

/!pes of "roblems

1. /tructured pro$!em

2.


22/38

/!pes of Decisions

"rogrammed#

epetiti+e decisions that can $ehand!ed using a routine approach.


4-22


23/38

Types of Decisions (cont.)

2onprogrammed#

epetiti+e decisions that can $e

hand!ed using a routine approach


4-2"


24/38

"roblems( Decision /!pes(and Organi,ational Le%els


4-24


25/38

Decision'MakingConditions

Certainty

isk


26/38


4-2

4.4

Discuss groupdecision-making.


27/38

How Do 3roups MakeDecisions?;ecisions are oten made $y groupsrepresenting the peop!e %ho %i!! $e mosta(ected $y those decisions.

Committees

#ask orces

e+ie% pane!s

6ork teams


4-2


28/38

+d%antages of 3roupDecision Making

ore comp!ete inormation

;i+ersity o e'periences>perspecti+es

ore a!ternati+es generated

Increased acceptance o so!ution

Increased !egitimacy


4-23


29/38

Disad%antages of 3roupDecision Making

#ime-consuming

inority domination

?m$iguous responsi$i!ity

Pressures to conorm


4-2


30/38

3roupthink

6hen a group e'erts e'tensi+e pressureon an indi+idua! to %ithho!d his or herdi(erent +ie%s in order to appear to $ein agreement.

6hat it does

)o% it occurs )o% to minimie it


4-"0


31/38

&hen +re 3roups MostE4ecti%e?

ndi%idual:aster decisionmaking

ore e@cient useo %ork hours

3roupore accuratedecisions

ore creati+eoreheterogeneousrepresentation

Areater acceptanceo &na! so!ution


4-"1


32/38

mpro%ing 3roup DecisionMaking

Make group decisions morecreati%e b!#

1. Brainstorming2. #he nomina! group techniue

". E!ectronic meetings


4-"2


33/38


4-""

4.5 Discusscontemporary

issues in

managerial decision

making.


34/38

Contemporar! ssues

2ational culture inDuences the %aydecisions are made and the degree o

risk in+o!+ed.


4-"4


35/38

Contemporar! ssues

Creati%it! !ets the decision maker8


36/38

Contemporar! ssues

Design thinking#approachingmanagement

pro$!ems asdesigners approachdesign pro$!ems


4-"


37/38

Contemporar! ssues

.ig data

#he +ast amounts o uanti&a$!e

inormation that can $e ana!yed $yhigh!y sophisticated data processing.


4-"


38/38

4 "3

Robbins Fom9 Ppt04

Documents