1. Decision Making

2. Decision Making skills and technique underpin most aspects of management. The art of good decision-making is complex, encompassing a wide range of personal and interpersonal skills such as fact finding; logical thinking, analytical ability, sensitivity to others, creativity, and assertiveness.

3. Importance of Decision-Making
Deciding something means making a choice or coming to a conclusion and neither of those things easy. It is the act or process of deciding, a determination arrived at after careful consideration. It is a determination of either to win or lose . Decision involve a commitment to action; and the hardest step in achieving anythiong is making a true commitment.

4. 2. Kinds of Decisions
a. Operational Decisions – This is concerned with how the different functions of the organization, such as marketing, production, finance, etc. will contribute to its strategic plan.
b. Strategic Decision – the decision at this level is likely concerned with the scope of the organization’s activities.
c. Routine Decision – this is an ordinary decision on a wide range of issues. The decision are left to one person, usually the leaders.

5. 2. Kinds of Decisions
d. Urgent Decision – this is a decision intended for some problem that occur rapidly and may cause serious consequences if not dealt with urgency.
e. Problematic Decision – this decision must be taken when a difficulty has emerge and there is no obvious solution.
f. Consultative Decision – this is a decision that involves those who are affected by the results of the decision.

6. 3. Decision Making Approaches
There are two main approaches to decision making that are linked to McGregor’s X and Y Theories.
a. Authoritarian Approach – Leaders assume the authority to make decision alone and to pass them down the line for implementation.
b. Democratic Approach – The responsibility for decision-making is shared between the leader and members of the team.
Between these two extremes lies range of decision-making processes in which leader ‘sells’ the decision to the rest of the team before the decision is made.

7. 4. Key Steps in Decision-Making by Systematic Approach
Setting Objectives – Define the purpose of the decision and consider what outcomes or objectives it will achieve.
Collecting Information – Have sufficient information for the choices you need to make
Identifying Alternative Solution – look at all possible options; some are obvious, others have to be logical deduced, and others require a more creative approach.

8. 4. Key Steps in Decision-Making by Systematic Approach
Evaluating option – this involves determining extent to which the decision options meets the decision objectives.
Selecting the Best Option – after the evaluation, the ‘best’ option is selected using anyone of a number of techniques or approaches.

9. 5.Involvement in Decisions
Every group has to make a decision and the way in which these decisions are made will affect deeply the commitment of the members to the life and work of the group.

10. 5.Involvement in Decisions
The Plop – Here the group makes a decision by not making a decision. This means ‘Not to decide’ is to decide. Someone makes a decision a suggestion, but it is dropped like a stone into a pond, and no one pays any attention to it at all.
The One person Decision – This is quickly made, but later when the decider depends on free or voluntary support from others to implement it, he may find himself carrying it out alone.
The Hand Clasp – One person makes a suggestion; another says, ‘What a marvelous idea,’ and without further discussion, the matter is decided. These decisions are more frequent than one thinks, and often pass unnoticed at the time, but resentment comes to the surface later.

11. 5.Involvement in Decisions
The Clique – This Decision is made by a small groups who plans beforehand to get their way. Because there are better organized than those who disagree, they are often successful on the immediate issue, but they bring a spirit of rivalry rather than cooperation into the group.
Minority – These decision are not consciously organized as those of the clique, but a few powerful personalities dominate the group, often unconsciously, and then later they wonder why others are apathetic.
Majority Vote – In big group, this is often the most effective way to make a decision. However, one may lose the interest or the loyalty of the minority who voted against a decision, especially if they feel their point of view was not heard.

12. 5.Involvement in Decisions
Silent Consensus – Some groups aim at unanimous decisions. These are good, if genuine, but they are rarely achieved completely on important issues. Unanimous agreement is sometimes assumed, when some members have not felt free to disagree and have kept silent.
Consensus – This is an agreement, often involving compromise or the combination of various possibilities, after all opinions have been heard

13. 6. Difficulties in Decision-Making
Most of the difficulties encountered by a group in making decisions center around one or another of the following factors:
Fear of Consequences
Conflicting Loyalties
Interpersonal Conflict
Hidden Agenda
Blundering Methods
Inadequate Leadership
Clash of interests

14. 7. A Simple Guide for Making Decisions by Consensus
What are we trying to decide? (Be sure this is clear to everyone)
What are the different possibilities? (Consider as many as possible. Brain storming may be useful)
How may each possibility work? (Consider the pros and cons)
What suggestion, or a combination of suggestions, do we choose?
What do we need to do carry out the decision?
Who will do what, when, where, and how?

15. 8. Factors which Help Decision-Making
Clear goal
Clear understanding of who has responsibility for the decision
Goods means of stimulating and sharing idea( e.g., a code, film, or diagram)
Effective leadership and structures to deal with the size of the group
Effective way of testing different suggestion offered
Commitment of the leader to genuine group involvement in making the decision
Agreement beforehand on what procedures will be most appropriate (e.g., consensus, majority vote, secret ballot, etc.)

16. 9. How Effective Your Decision?
Do You
Often
Sometimes
Never
Select the right method of making a decision?
Involve member of your team whenever you can?
Stop and think what you want the decision to achieve.
Take steps to collect all the information you need to make an important decision?
Know how to apply logical thinking when appropriate?

17. 9. How Effective Your Decision?
Do You
Often
Sometimes
Never
Know how to apply creative thinking when appropriate?
Use effective ways of weighing up the options and selecting the most suitable one?
Make sure everyone knows about a decision that affect them?
Check to see whether a decision is bringing the required results?
Admit that you are wrong if the decision turns out to be a bad one?

18. 9. How Effective Your Decision?
If the check “Sometimes” or “ Never” for:
Question 1 and 2, you have to look carefully for information on different styles of decision-making
Question 3 and 4, you have to find out more about setting objectives and collecting information.
Question 5 and 6, you have to find out how to generate a range of option to arrive at a decision
Question 7, 8, 9, and 10, you have to find out how to evaluate options and implement decisions.

19. 10. Implementing and Monitoring the Decision
A decision is not the end of the process. Act on it and check whether things are working out as you anticipated. The important reasons for implementing and monitoring the decision are as follows;
Monitoring a decision will make your action as effective as possible.
Decision often have unforeseen consequences.
Monitoring enable decider to learn from mistakes as well from successes.
Decision- making ability grows with experience.
Monitoring helps to improve decision-making skills.