HSA 171 CAR

1436/5/19

 TYPES OF DECISIONS  TECHNIQUES FOR IMPROVING GROUP DM  FACTORS INFLUENCING GROUP DM  Constrains on Decision Making 3

 Programmed DM & Non-Programmed decisions.  Individual & Group decisions. 4

 One way of distinguishing among decisions is in terms of whether they are fairly routine and well-structured, or novel and poorly structured 5

 PROGRAMMED DECISIONS : Well-structured decisions, can be understood, measured and are actually programmed  NON-PROGRAMMED DECISIONS : Poorly structured decisions, unique, non- routine and more ambiguous and frequently more difficult to make since it involves major planning issues 6

 Operational Decisions  Programmed DecisionsIndividuals  Strategic Decisions  Non-Programmed DecisionsGroup 7

 Advantage ◦ Provides more complete information ◦ Generates more alternatives ◦ Increases acceptance of a solution ◦ Increases legality  Disadvantage ◦ Time consuming ◦ Some members might influence with other members ◦ unclear/confusing responsibility for the final outcome 8

 Brainstorming (BS) ◦ An idea-generating process that encourages alternatives  From 6-12 persons sit around a table.  The group leader states the problem clearly.  The alternatives start to be generated in a given time.  ◦ No criticism is allowed and all alternatives are recorded for later analysis. 9

 Nominal Group Techniques (NGT) ◦ The group members are physically present but operate independently.  Members write down their ideas before meeting starts.  The Meeting starts and each one presents his idea (one by one). No discussion takes place until all ideas have been recorded. (better to use flip chart)  The group starts to discuss & evaluate the ideas  Each member independently assigns a rank to the ideas. The decision is to choose which has the highest ranking.  ◦ The main advantage is that it doesn’t restrict independent thinking. 10

 Delphi Techniques (DT) ◦ The members never meet face to face. ◦ The same steps of “nominal Group Technique” but the members register their ideas of solution through “questionnaire.” ◦ The advantages:  Less time consuming in group meeting & discussion  Prevent members from influencing of others. 11

 Electronic Meetings (EM) ◦ Most recent approach. ◦ The members interact through computers. 12

1.Size of the group ◦ The size of the task determine the group size.  2.Communication  Type of group that determine decision making Centralized group:  Group members communicate only via a central member  This is called “The Wheel” Decentralized group Decentralized group:  Group members communicate directly with every other members 13

There are two types:  “ The Chain”- information pass from one individual to the next before it reaches the last person.  “The Circle”- information is circular 14

3. Human elements ◦ Leadership within the group ◦ Group members values, attitudes, behavior, …..etc ◦ Group members skills, experiences, qualifications, ….etc ◦ Level of the inter-group conflict. 15

1. Internal constraints ◦ Availability of finance (budget) ◦ Existing company policy ◦ People’s behavior 2. External constraints ◦ Governmental legislation ◦ Competitors behavior ◦ Lack of technology ◦ Economic environment (demands) 16