Decision Making: How to make the correct Decision ?

As a Manager, you are given business targets to achieve. These targets could be sales targets, profits/revenue targets, production targets, quality or service targets. To achieve these targets, you need to interact with a number of people customers, vendors, superior(s) and subordinates. You need to plan on how to deal with the expectations and demands of all these stakeholders. These expectations often are incompatible and demanding. Using your business skills and interpersonal skills you have to make right decision. If you are interested in the dynamics of decision making as a skill read the case study below.

A Simple Case Study on Decision Making
Let us examine the problem faced by Mr. Nataraj, Regional Manager of Alpha Pvt. Ltd. Alpha makes and distributes products from more than 10 international pharmaceutical and health care companies. Mr. Nataraj is responsible for managing existing clients and also to get new clients. He manages a number of sales representatives. Important customers have a dedicated sales representatives, while other sales representatives try to get new clients. One day an important customer (Good Health Hospital) called Mr. Nataraj and complained that Mr. Bhavan (the sales representative) was ineffective and insisted he be removed, or else they would not give any business. Here are Mr. Nataraj's thoughts:


In an internal enquiry, Mr. Nataraj found that the real reason was personal differences between Mr. Bhavan and the hospital superintendent. The track record of Mr. Bhavan was good and he was liked within the

Good Health Hospital will have no problem with the new sales representative. Bhavan is a loyal and hard working. IAMEE students also identify critical decision situations with respect to their .) An innovative approach to Case Study based learning ! We at IAMEE. Our students also get the benefit of advice from Senior Professionals and Managers. I will remove or transfer Mr. Dismissing him or even transferring him to a new region will affect the morale of the work force. 5. 3. Loosing the hospital is not an option. Bhavan and the Hospital Superintendent together for discussion and try to compromise over the differences. I will try to get Mr. 4. 2. Good Health Hospital is a major customer and gives good business. Therefore the demands of the hospital have to be met. Bhavan to a new and more important project . 'Time will solve the problem'.y company. create an environment that develops the problem solving ability of our students. Mr.How will you solve this issue ? Here are some sample options: 1. act ignorant of the whole episode. I need to keep people like him even if it means loosing customers. We debate over the solutions suggested by each of the students for such critical situations in each subject area and arrive at the best possible solution. Bhavan. Good Health Hospital is a major customer and cannot be displeased. Click here to choose your option (This is a simplified version of a "Live Case Study" from the consultancy and case study wing at IAMEE.develop new business in the newly formed sub-region. If you were Mr. Natraj . I will stop answering calls. I will move Mr.

during the emergency declared controversially by Indira Gandhi. Finance. Such a proclamation must be approved by the Parliament within one month.) and try to solve them. Such an emergency must be approved by the Parliament within a period of two months. The President can declare such an emergency only on the basis of a written request by the Council of Ministers headed by the Prime Minister. Also. the Right to Life and Personal Liberty cannot be suspended according to the original Constitution. In such an emergency. It modifies the federal system of government to a unitary one. on the basis of the report of the Governor of the concerned state or from other sources that the governance in a state cannot be carried out according to the provisions in the Constitution. Such an emergency can be imposed for six months. external aggression or armed rebellion in the whole of India or a part of its territory.A premier Business School located in Hyderabad National emergency under article 352 National emergency is caused by war. and 1975 (declared by Indira Gandhi to maintain law and order in the country). Entrepreneurship. Such an emergency was declared in India in 1962 (Indo-China war). The Attorney General observed: "Even if life was taken away illegally. This gives them a practical orientation and trains them on various managerial skills. The term of the Lok Sabha can be extended by a period of one year but not more than six months from the date when the emergency has ceased to exist. Nearly every state in India has been under a state of emergency at some point of time or the other. the government decided to suspend even the Right to Life and Personal Liberty by dispensing with Habeas corpus. Chief Justice Hans Raj Khanna defended the Right to Life and asked: "Life is also mentioned in Article 21 and would Government argument extend to it also?". However. etc. If the President is satisfied. . The Parliament can make laws on the 66 subjects of the State List (which contains subjects on which the state governments can make laws). It can be extended by six months by repeated parliamentary approval. 1971 (Indo-Pakistan war). all money bills are referred to the Parliament for its approval. The state of emergency is commonly known as 'President's Rule'. In January 1977 however. HR. he can declare emergency in the state."Virtual Companies" in each of the 'specialization areas' (Marketing. Fundamental Rights of Indian citizens can be suspended. The six freedoms under Right to Freedom are automatically suspended. [edit] State emergency under article 356 State emergency is declared on failure of constitutional machinery in a state. courts are helpless"[1]. IAMEE .

The Parliament makes laws on the 66 subjects of the state list (see National emergency for explanation). as has happened in Punjab and Jammu and Kashmir. the Legislative Assembly can be dissolved or may remain in suspended animation. Resources » Articles/Knowledge Sharing » General » President rule in India Posted Date: 28 Jan 2010 Author: Sairaj Rating: Resource Type: Articles/Knowledge Sharing Member Level: Gold Points: 20 (Rs 15) Category: General This resource describes what president rule is and describes when president rule get into force. All money bills have to be referred to the Parliament for approval.It is imposed for six months and can last for a maximum period of three years with repeated parliamentary approval every six months.In this situation ministers of state legislature are not allowed to perform action in state. If the emergency has to be extended for more than three years. it can be done by a constitutional amendment. . It also describes the effects of president rule. During such an emergency. the President can take over the entire work of the executive. and the Governor administers the state in the name of the President.

.why.. the assembly is either dissolved or kept in suspended. As per article 356. the governor heads the state and takes all the power. chaos and disturbance in the smooth flow of the country. this rule comes into effect and the president on the advise of the governor or on his own attains the right to dissolve the state government and its council of ministers. what when are the questions that really rise in the minds of many people and generally people get scared of the mere thought of president rule.The parliament must approve the president rule to come into effect. thereby imposing president rule. What is President rule? President's rule is a word that generally gets coined in India when a state legislature and state executive are suspended.President rule is something that is really not advisable in a democratic setup.President rule. When President's rule is imposed. The governor is held responsible and answerable to all the proceedings of the state to the president.It is also called as Central rule. The Governor appoints advisory committees who are retired civil servants and retired government officials for the proper working of the state.Federal government another name of presidential government takes the hold of all the powers of the state and the Governor of the respective state who is usually considered as having nominal authority rises to power and becomes the real authority like a lion coming out of den. When does presidential rule come into effect? .. It creates ripples. Suspension of all the powers from the council of ministers and the president taking charge of the issues of the state is what President rule is. After the implementation of president rule.

. President Fakhruddin Ali Ahmed. 7. the then president of India declared a state of emergency under Article 352 of the Constitution of India and suspended elections. 6. after the February 2002 election. Recent president's rule: There are many a cases when president rule was imposed. Demarcation of Constituencies. Recognition of Political parties and allotment of symbols. Preparation of Electoral Rolls. no party had a sufficient majority and President's rule was imposed. This move was considered as one of the most controversial era in the history of independent India. 3. All the legislative members have resigned from their posts and are pressurizing the government to give a separate state. The following are the principal functions of the Election Commission of India: 1. But this scenario ended up in president rule as Mulayam was not able to submit the list of supporters. If two thirds majority is not held then there is a chance of president rule. 4. Mulayam Singh Yadav became chief minister after claiming he had the majority. Scrutiny of election expenses of candidates. 2010 may seem such rule to get into force on the issue of Telangana. 2. When the entire constitutionality breaks down then there is president rule after the agreement in parliament. 25 June 1975 21 March 1977 a 21-month period is marked with strong letters in the history of India. This rule also gets implemented when the government of the state fail to meet the required majority in the office. In Uttar Pradesh.President rule generally gets into effect when political unrest takes the lead role role in a democratic setup. After the Mayawati government fell in August 2003. distribution of voters ID. The ruling government though did not accept their resignations is indirectly marching towards president rule. Conduct of polls. but he later submitted them in assembly. Hope that these sort of situations do not rise in India and let all people live in peace. 5. Scrutiny of nomination papers. The state government of Andhra Pradesh ruled by Congress is under extreme pressure from the opponents and also from their MLA's.

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