Assignment no VII

Course: Principles of Management

Submitted to: Ma’am Irum Batool
Name: Muhammad Salman Sheikh
Roll no: LCM-3924
BBA-II (Evening)

What is the importance of decision making in organization and elaborate it

with help of organization examples.

Decision Making:

Decision-making is an integral part of modern management. Essentially,

Rational or sound decision making is taken as primary function of management. Every manager
takes hundreds and hundreds of decisions subconsciously or consciously making it as the key
component in the role of a manager.

Decision-making is one of the most important aspects of your small

business, but the process of arriving at a decision must be precise, so that it will yield the best
results. Decision making process is continuous and indispensable component of managing any organization or
business activities.

Importance of the decision making in any organization:

Following are the points which elaborate the importance of decision making in any
organization:-

 Optimum & efficient utilization of resources.

  Aids in the problem – solving &facing business challenges.
 Helps in the business growth & achieving objectives.
 Facilities effective management & innovation.
 Motivates employees & improves overall business performance.
 For the selection of best alternatives among various alternatives.
 It is an indispensable element/ component for organizational success because without
taking the right decision at the right time, nothing can be performed as per the plan.
 Decision- making is a pervasive function of managers aimed at achieving organizational
controls.

Example:-

Business Decision: How to Build a Team to Deliver Business Results across

the Globe?

It is the story of Barry D. Moore -- Founder GreatWorkLife.com

As a leader in a Silicon Valley corporation, I was tasked to build a team that would be able to
standardize our I.T. outsourcing processes and implement strategic organizational change across
a workforce of 20,000 people scattered across the globe in our global delivery centers.

How Did You Make The Decision?

I took a long look at the problem.  Implementing cultural and organizational change across the
globe would mean you have two choices.

1. Build a team in your location and then travel across the world implementing the
changes
2. Build a team across the globe who can implement changes locally.

I went for option 2, and interviewed and hired the best people I could find in the U.S.A, Costa
Rica, Bulgaria, Slovakia, India, Malaysia, Philippines and even Australia.
What Was The Outcome of the Decision?

Because the team of 20 people was spread across the globe, I had to work on remote team
management best practices, like Skype team meetings, regular one on one coaching sessions and
organizing a yearly “face to face” team meeting.

The outcome was better than I could have imagined, we had a great team culture built on trust
and achieved outcomes for the business valued at over $100 million.  Many of the team members
I consider my friends, even to this day.