Decision Making Process

Defining the problem Identify the current and desired situation Make sure you define the problem clearly Make sure you have a “solvable” problem Identify constraints Identify who needs to be involved Constraint – condition or restriction that must be followed (i.e. time deadline, budget, product meets federal safety standards, works within a patent) Current vs. ideal – this isn't always what we think of as a problem, but it’s an opportunity for improvement Ex: Current – currently you have about one hour of free time a day Desired – you’d like three hours of free time each day Problem: How to get two extra hours of free time a day?

Gathering data Make sure that you gather enough data to understand the problem, generate alternatives and evaluate alternatives Know what information is needed before you begin Keep source material Use company resources Evaluate the quality of resources used

Generate alternatives Be creative Generate reasonable solutions Alternatives should solve the problems Alternatives should stay within constraints identified

Evaluate alternatives Evaluate with understanding of company, industry and environment Consider time, cost, impact on employees and companies Legality and ethics must be considered

Making a Decision Make sure: Alternative solves original problem Alternative is within original problem constraints

Follow up Plan a way to follow up and test decision to see if problem is solved Start over if necessary

Plan for Implementation Ask yourself the following questions: Are resources adequate? Do others have commitment/motivation?

What organizational policies will need to be overcome? How much risk taking is likely to be tolerated by those responsible? Are there power struggles within the organization that might block implementation?

Are there interpersonal conflicts that might prevent or hinder the idea from being put into action? Is the general climate of the organization one of cooperation or distrust? What are the consequences for staff? Is the idea likely to meet with resistance to change?

Implementing the Decision Get approval Develop an action plan Communicate the decision Overcome objections Monitor progress Consider existing skill levels and what skills are needed; may need role changes based on this

Get Approval Identify who needs to approve your decision Be patient and persistent if you need to get more than one person’s approval If the issue is difficult, you may want to find a sponsor to improve your chances of gaining approval

Develop an action plan Identify steps to be completed in carrying out decision Identify who has the skill to be involved in carrying out decision Assign every activity a start and stop date and attach a desired outcome Specify who will complete each activity

Communicating a Decision Inform superiors and gain approval Inform colleagues, especially those who lack trust with you Inform staff, especially those will be required to help implement the decision

Release information such as: The decision Alternate actions that were considered Reasons for your choice Effects of the decision on individuals

Be open and avoid secrecy Sell ideas by: Presenting decision in a way that matches employee needs Stressing advantages of decision to individuals and the organization Openly address concerns and questions

Overcoming Objections Involve colleagues in decisions to create acceptance Try to listen and talk openly with people who disagree to understand their positions Be willing to make changes that are acceptable Explain why a decision was made Reassure those that are negatively impacted that they are valued Irate people may still bring up reasonable points that deserve answers If people feel they are able to come forward with objections, they tend to do so calmly

Monitoring Progress Monitor financial performance by comparing budget to actual expenditures Update forecasts of costs and revenues as needed Compare performance with original plan to see where problems are arising Modify plan as needed Record all changes if you deviate from plan Notify all affected individuals if a change is made