1. Problem Solving and Decision Making Skills
Tarak Bahadur KC, PhD

2. Learning Objectives Define problems and decisions
Recognise reactions to problem / situation
Explain decision making approaches and process
Recognise decision making practices in Nepal
Identify decision making problems
Explain approaches to improve decision making ability

3. Contents Meaning of Problem Solving and Decision Making
Classification of Decisions
Reactions to Problem / Situation
Process of Decision Making
Decision Making in Nepal
Problems in Decision Making
Approaches to Improve Ability to Make Decisions and Solve Problems

4. Methodology
Interactive Lecture
Brainstorming
Critical Incident

6. Problem
“In a day, when you don’t come across any problems- you can be sure that you are traveling in a wrong path.”
Swami Vivekananda
A problem is a situation or a state of affairs that causes difficulties for people. It is also a gap between a current and a desired state. The gap may be viewed as the difference between 'what is' and 'what should be' or 'where we are' and 'where we want to be'.

7. Problem Solving
If a problem is a gap between two states, then problem solving is 'the process of closing that gap, i.e. changing the current state into the desired one.'

9. “A decision is a judgment”
- Peter Drucker
A choice between or among various alternatives

10. Classification of Decisions
Personal decisions to achieve own objectives.
Organisational decisions to fulfill the obligations of own position in the organisation.
- Programmed – usually made at lower level and are usually routine in nature. Made on the basis of pre-established rules / procedures.
- Non-programmed – established rules / procedures are inadequate to deal with the new kinds of situations, and the decision maker has to be innovative. The risks involved are high. Decisions made about non-recurring problems for which there are no pre-specified courses of action.

11. ------ is an activity carried out in the process of solving problems.
Decision Making
is an activity carried out in the process of solving problems.
is the selection of one behaviour alternative from two or more possible alternatives.
Terry

12. Reactions to Problem / Situation
Ignore or avoid
Act without thinking
Positively decide to do nothing
Take decision only when there is a crisis or pressure
Take action only after gathering information and giving some thought

13. Approaches to Decision Making
Authoritarian - deciding independently seeking no contributions other than asking for necessary information and passing them down the line for implementation.
Democratic - jointly, as a team, making a decision which has the support of the whole group.

14. Approaches / Styles to Decision Making
No one style appropriate for all situations.
Occasions when one style rather than any other is more likely to produce better quality decisions implemented with greater success.
Need to adopt a flexible approach by varying style in response to the nature of the decision and the context in which it is made and ultimately implemented.

15. Process of Decision Making
Rational DM Process
Evaluate Alternatives
Develop Alternatives
Choose the Best Alternative
Identify/Define Problems
Implement the Decision
Sense Effects
Monitor the Implementation

16. I Diagnose Problem/ Define the Objective
"A problem properly defined is a problem half solved.“
Define the problem
Identify the decision objectives (what will happen when the problem has been solved)
Identify the causes of problem
What you are trying to achieve?
What suggests that there is a problem?
To who is it a problem?
What kind of problem is it (attitude, understanding, competence)?
Has this ever happened before?
Is it a human performance or a technical problem?
What is the potential magnitude of the problem if it remains unresolved?

17. II Develop Alternatives to Solve the Problem
This is a brainstorming step to generate alternatives, not to evaluate them. Brainstorming suggests a range of possible solutions.
Listing options (Thinking creatively) - the alternatives to reach Pokhara?
Nobody says "no“
Nobody says "That will never work“
Nobody says "That has already been tried before“
Nobody says "That is a stupid idea"

18. III Evaluate Alternatives
Realistic to Organisation Goals
Helpful to Solve the Problem
Timing
Resources
Acceptability
Feasibility
Risk

19. IV Choose the Best Alternatives
Solution should be satisfactory rather than ideal. There are four criteria for choosing the best from among the possible solutions:
The risk - weigh the risks of each course of action against the expected gains.
Economy of effort - which will give the greatest results with the least effort?
Timing- situation in the organisation.
Limitations of resources - vision, competence, skill, etc. of staff who carryout decisions. Do we have resources to carryout decisions?

20. V Implement the Decision
Putting a chosen solution into effect requires a carefully drawn-up action plan. SN
Activities / Actions By
Required Resource (s)
Critical Success Factor (s)
Whom
When

21. VI Monitor the Decision
Set dates for monitoring. Who will monitor? How and when?
Is the solution effective?
Are we still satisfied? Are there parts that need reworking? In light of new data received, do we need to make any changes?
Has there been any permanent improvement?
How adequate have our problem solving procedures been?
Are we learning from experience?
What new problems have we identified?

22. Bases of Decision Making (Nepal)
Constitution
Acts, Rules, Policies
Court / Executive order
Budgetary instruments
Administrative procedures
International conventions, declarations and commitments
Treaties/ MOUs with international communities / agencies
Parliamentary directives
CIAA / NVC directions, etc.

23. Methods (Nepal) Tippani Cabinet Proposal Minutes (Meeting / Committee)
Tok-aadesh

24. Characteristics / Approaches (Nepal)
"Manasaya"
"Bholi" - never comes. Passing to others (above) / avoidance
Afno manchhe- nepotism, favouritism
Patchwork/ 11th hour
Ad-hoc
Populist
Survival (individualistic)
Pressure – individual / group
Centralized- dominated by power centers
Delegated matters forwarded to delegatee
Ignorance to institutional interest

25. Problems in Decision Making (Contd.)
Which problem to solve?
What is a right decision?
External and internal environment
Individual's values, capabilities, biasness / prejudice, experience
Time
Conflicting information
For some “thinking” is not “work”

26. Basic Approaches to Improve Decision Making Ability
Improve analytical ability
Adopt systematic approach
Invite conflicting views
Consider factors influencing decision making
Use imagination / Be creative
Implementation and follow-up

27. 1. Improve analytical ability
Opinions are perfectly good starting point. Ask questions starting with:
What,
Why,
When,
How,
Where, and
Who.

28. 2. Adopt systematic approach
Analyse the situation
Identify possible courses of action
Weigh them up
Decide what to do

29. 3. Invite conflicting views
One should not expect a bland consensus view
The best decisions emerge from a clash of conflicting points of view

30. 4. Consider factors influencing decision making
Availability of resources
Environment- internal / external (PEST)
Capability, values, experience of concerned people
Knowledge
Time
Biasness / prejudice
Customs and habits of people
Psychological factors- emotion, ethics, values…
Future as anticipated
Superiors and subordinates
Interest / Pressure groups

31. 5. Use imagination Breaking away from any restrictions
Use 'lateral thinking' and 'brain-storming'. You can develop your ability to think creatively by:
Breaking away from any restrictions
Opening up your mind to generate new ideas
Delaying judgment until you have thoroughly explored the alternative ideas (for example, 'It won't work', 'It won't solve the problem')

32. 6. Implementation and follow-up
A problem is not solved until the decision is implemented. Think carefully not only about how a thing is to be done (who, what, when) but also about its impact on the people concerned and the extent to which they will co-operate.

33. Some Tips for Effective Decision Making
Do not make decisions that are not yours to make
It is not choice between right or wrong, rather choosing from among alternatives
Avoid snap decisions
What is right, not who is right
Consider those affected by the decision (involve if feasible)
Mentally rehearse implementation of your choice
View a ‘problem’ as an ‘opportunity’
Decision must meet the situation, and be acceptable to as large number of people as possible
Choosing the right alternative at the wrong time is not any better than the wrong alternative at the right time, so make the decision while still have time

34. Conclusion
Decision must meet the situation, and be acceptable to as large number of people as possible. Effective decision making requires creativity. Creative thinking is hindered by commitment block, perceptual blocks, emotional blocks and cultural / environmental blocks. Therefore, first thing is to overcome from the blocks and be creative in different course of action, likely causes, possible solutions, and a variety of outcomes. Finally, maintain ethical behaviour and integrity while making decisions.

35. “Think Laterally, and be Creative.”
Good luck and Thank you