Archive | Decision Making

Decision Making: Process and Theories | Management

In this article we will discuss about:- 1. Stages of Decision Making 2. Types of Decisions 3. Process 4. Theories 5. Organisation. Contents: Stages of Decision Making Types of Decisions Decision Making Process Theories of Decision Making Organisation of Decision Making 1. Stages of Decision Making: In an important sense, management is synonymous with decision […]

Organising a Decision Support System Development | Organisation

Two basic things are necessary in organising a decision support system development are:- 1.  Central Data Bank 2. Information Centre. (i) Central Data Bank: It is the core of a decision support system. Information in one area of an organisation is made readily available for. decision making in other areas through the use of a […]

3 Main Group Decision-Making Techniques | Management

Several techniques have been developed to make groups more effective at generating innovative and useful ideas. The groups are:- 1. Brainstorming 2. Nominal Group Technique (NGT) 3. Delphi Technique (DT). Technique # 1. Brainstorming: Brainstorming may be defined as “a conference technique (by the formation of a group) of solving specific problems, gathering information, and […]

Models Used for Making Business Decisions | Business Management

There are several basic kinds of models used for making business decisions. The models are:- 1. Analog Model 2. Iconic Model 3. Verbal Model 4. Mathematical Model. 1. Analog Model: An ‘analog’ model is a physical representation of the real world. A mock-up of an airplane is an analog model. An architect may place a […]

Heuristic Model and Programming Used in Decision Making | Management

In this article we will discuss about the concepts of heuristic model and heuristic programming used in managerial decision making. Heuristic Model: The term ‘heuristic’ means serving to discover or to stimulate investigation, in a literary sense. In its technical sense, heuristic is frequently associated with the simulation of human problem-solving techniques by means of […]

Role of Marketing Organisation in Taking Deci­sions | Marketing

In this article we will discuss about the role of marketing organisation in taking marketing decisions.  An organisation structure in any business is most essential for its survival and prosperity. A wrong organisation can weaken a company whereas a good organisation contributes to its success. A sound organisation clarifies and perfects the duties, responsibilities, and […]

Sensitivity Analysis and Decision Making | Strategic Management

In most of the decision-making situations faced by the strategy makers, a series of alternatives is available. Each alternative has some consequence depending on the occurrence or non-occurrence of some future variable or condition. These future variables or conditions (states of nature) may be anything like the action of a competitor, the state of the […]

Decision Making in Management

After reading this article you will learn about:- 1. Introduction and Definition of Decision Making 2. Importance of Decision Making 3. Decision Making and Problem Solving 4. Theories 5. Techniques 6. Scientific Approach 7. Guidelines. Introduction and Definition of Decision Making: A decision is the conclusion of a process by which one chooses between two […]

Decision Making Process: 6 Phases | Management

Decision making has following distinct phases:- 1. Defining the Problem 2. Analysing the Problem 3. Developing Alternative Solutions 4. Deciding upon the Best Solution 5. Making the Decision Effective 6. Implementing and Verifying the Decision. Step # 1. Defining the Problem: Management may see a clash of personalities; the real problem may well be poor […]

Mathematical Models: Types, Structure and Advantages | Decision Making

After reading this article you will learn about:- 1. Types of Mathematical Models 2. Structure of Mathematical Models 3. Characteristics 4. Advantages 5. Disadvantages. Types of Mathematical Models: Models may be classified as: (1) Iconic (Sale) Model: An iconic model is a physical replica of a system usually based on a different scale than the […]