1. Lecture : 5 Problem Identification And Problem solving.

2. MANAGERIAL ROLES (Mintzberg): Interpersonal: figureheads & leaders Informational: receive; disseminate critical info Decisional: initiate activities; handle disturbances; allocate resources; negotiate conflicts

3. Definition Decision : is a solution chosen from among alternatives. Decision-making process : is the process of selecting an alternative course of action that will solve a problem. Problem solving: is the process of taking corrective action in order to meet objectives.

4. Decision making and Problem- Solving Steps: Define the problem Gather information Develop alternatives Weigh alternatives Select the best alternative Implement the solution Monitor progress and follow up

6. Step 1: Define the problem To express the issue in a clear, one- sentence problem statement. Identify root causes, limiting assumptions, system and organizational boundaries and interfaces. Identify resources.

7. Step: 2 Gathering Information. This is the initial activity of decision- making in which you think about all of the possibilities related to the problem and the decision.

8. Step: 3 Identification of Alternatives Alternatives: Optional courses of action from which a decision maker is expected to choose that are obtained from memory, vendor search, research and development.

9. Step : 4 Weigh Alternatives Criteria: the characteristics or requirements that each alternative must possess to a greater or lesser extent. Usually the alternatives are rated on how well they possess each criterion. These decision criteria identify what will guide the decision-making process. They are the important facts relevant to the problem as defined.

11. Choose The Most Desirable Alternative The number and quality of alternatives depend largely on the creativity and productivity of managers and their staff. Manager could assess the potential consequences of each alternative. Uncertainty is a state in which the decision-maker judges the different possible outcomes of each alternative but lacks any feeling for their probabilities of success.

12. ORGANIZATIONAL MODELS OF DECISION MAKING RATIONAL : Maximize organization’s benefits and common goals by selecting the best solution to achieve the desired outcomes.  Disadvantage : unrealistic expectations, long time BUREAUCRATIC: Follow standard operating procedures (SOP),routine,APPS,formal.  Disadvantage: limited alternative solutions,depends on history. POLITICAL: Key groups compete and bargain,win-win situations,majority and negotiations.  Disadvantage: limited alternative solutions

13. LEVELS OF DECISION MAKING STRATEGIC: Long-term objectives; resources; policies MANAGEMENT CONTROL: Monitor use of resources; performance KNOWLEDGE-BASED: Evaluate potential innovations; knowledge OPERATIONAL: How to carry out specific day-to- day tasks

15. 15 Decision Making Techniques 1. Brainstorming 2. Nominal Group Technique 3. Consensus 4. Voting 5. Ranking With these tools you will be able to map out the likely consequences of decisions, work out the importance of individual factors, and choose the best course of action to take.

16. 16 Brainstorming Helps group generate ideas to improve productivity and creativity 1. State as many alternatives as possible 2. Encourage creative ideas 3. Examines ideas for improvement or combination 4. Accept all ideas without criticism 5. Evaluate ideas after idea generation is complete

17. 17 Nominal Group Technique Independent idea generation phase 1. Members silently write ideas 2. Facilitator records ideas Interactive phase to discuss ideas 3. Group discusses each for clarification 4. Vote to narrow number of ideas 5. Discuss ideas that received most votes 6. Repeat steps 4 & 5 until one idea remains

18. 18 Consensus Discussion to achieve agreement to support the group’s decision 1. One member facilitates the discussion 2. Facilitator uses discussion ideas to formulate proposals 3. Recorder writes down each proposal 4. Throughout discussion, recorder reads proposals 5. Recorder reads aloud final decision for approval or modification

19. 19 Voting Group casts votes in support of or against a specific proposal 1. Group members discuss to produce clear proposals 2. Decide how vote will be taken 3. Decide how many votes needed to decide an issue 4. Restate proposal before voting

20. 20 Ranking Reveal member preferences by assigning numerical value to each alternative 1. Discuss ideas to produce clear proposals 2. Each member assigns numerical value to each alternative 3. Sum individual ranks; total for the group 4. Read final decision aloud for approval or modification

21. 21 Choosing a Procedure Select procedure or combination of procedures that: Meets group’s communication needs Satisfies five functions of group decision making Analyze type of task All member must agree to using a procedure for benefits to be achieved

22. 22 Paradox of Using Procedures Procedures take time Members may resist using procedures if they are unaccustomed to using them Practice can help Tailor procedures to group’s needs Consider an external facilitator to guide your group the use of a new procedure

23. Decision Strategies Decision making strategies: rational intuitive creative

24. Rational decision making models Rational decision making models involve a cognitive process where each step follows in a logical order from the one before. By cognitive it is based on thinking through and weighing up the alternatives to come up with the best potential result. Intuitive decision making indicate that there may be no rationale or logic behind the choices made.

25. Creative Thinking Techniques Brainstorming:is an idea generating technique. Think freely. Freewheeling, wild thoughts are fine. Checklists:is a standard collection of items (things, verbs, questions, approaches, attributes) used to remind the creative thinker of possible ways to approach a problem or shape a solution.

26. Description of the problem Generating ideas Idea selection and refinement Idea implemen- tation Evaluation and analysis of action plan The Map of Creative Problem Solving