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 economy, the state of the [...]
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 or more available alternative courses [...]
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 organization structure. Management may see [...]