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Herbert Simon describes the model in 3 phases Intelligence Design Choice .
[Herbert Simon Model] Intelligence Design Choice .
The data is scanned. processed and examined. the attention of the manager is drawn to all the problem situation by highlighting the significant differences between the actual and the expected. the budgeted or the targeted. Identifies a problem calling for a decision.1. . examined checked and edited. Intelligence: Raw data collected. In the intelligence phase the MIS collects the data. Further the data is sorted and merged with other data and computations are made summarized and presented In the process.
2. Design: Inventing. the manager develops a model of problem situation on which he can generate and test the different decisions to facilitate its implementation. If the model developed is useful in generating the decision alternatives. . developing and analyzing the different decision alternatives and testing he feasibility of implementation. he then further moves into phase of selection called as choice. Assess the value of the decision outcome. In the design phase.
The criterion is applied to the various decision alternatives and the one which satisfied the most is selected. least time taken and highest utility.3. least cost. Choice: Select one alternative as a decision. . In the phase of choice the manager evolves a selection criterion such as maximum profit. based on the selection criteria. minimum waste.
In these 3 phases. it the manager fails to reach a decision. . he starts the process all over again from the intelligence phase where additional data and information is collected. the decision making model is refined the selection criteria is changed and a decision is arrived at.