Professional Documents
Culture Documents
MIDTERM OUTPUT
I. Time Constraint
Specify the time context (month and year) if the case fact is explicit about it. The time context should tell us when the
problem was observed, which requires the necessity of action. If no date indicated, the time constraint that may be
written is PRESENT.
A business problem requiring an action in the past will have a different action if this will be tackled today. A business
problem will have different solutions under different political and economic environment.
In solving business problems, the student must specify the view point he is taking. Who is the one who will make
decision to solve the problem?
Given a business problem, the President of a company will most likely have a different approach or solution from those
of other company officers.
I.
A problem is a deviation or an imbalance between what should be and what is actually happening. This imbalance is
caused by a change of one kind or another. A problem could be answered by the question- what is wrong that needs
correcting.
A business care may contain a variety of issues or problems, from the trivial to the significant, from the irrelevant to the
relevant.
The student should focus his attention on the key or central problem. The elimination of the central problem will
eventually results in the elimination of the other peripheral problems. Specify what the problem is by describing it very
accurately in terms of four dimensions: Identity, location, time, and extent.
e.g. What marketing strategy should the company do to increase its revenues?
Objectives are specifications by which alternative courses of action are to be developed. These are statements or
functions to be performed or undertaken by the courses of action. Objectives can be classified into short-range or long-
range objective. Short-range objective sets the limits that cannot be avoided by any alternative course of action. Short-
range objective will help the manager recognize and screen out the impossible and poorer alternatives right at the
outset. These objectives are of absolute importance to the success of the decision and the survival of the organization.
These objectives should be attained within a year.
On the other hand, long-range objectives do not have absolute limits but express relative desirability, they are of
relative importance to the success of the decision but are less than absolute. These objectives should be attained
beyond a one year period.
III.
IV.
V. Areas of Consideration/ Analysis or SWOT Analysis
When the student has determined what he considers to be the central problems and has defined his objective, he must
proceed to organize the facts around the possible causes of the central or main problem. This requires the separation
of the significant areas from the unimportant ones, and the relevant to the irrelevant. The analysis of each area must
come from the case facts and not from the personal opinion of the analyst.
The strategies that can be created must be based on the analyst understanding of the SWOT Matrix Analysis. The
strategy in the SWOT Matrix gives a good idea of what Alternative Courses of Action the analyst can arrive at.
Example: (SWOT)
STRENGTH WEAKNESS
1. 1.
2. 2.
3. 3.
↓ ↓
OPPORTUNITIES THREATS
1. 1.
2. 2.
3. 3.
↓ ↓
There are possible solutions to the problems identified. Alternatives are collections of what appear to be at the
moment the best means of meeting the individual objectives. In some cases, the alternatives are clear; in other cases,
the student must formulate alternatives appropriate to the problem at hand.
The student must not remain contented with pre-determined alternatives. He must strive for new and better solutions.
Alternatives must be mutually exclusive. Significantly, an alternative must be able to stand alone.
Take each alternative and measure it individually against each of the must and want objectives. Discard the
alternative that does not meet what must objective requires .Alternatives that satisfy all must objectives should then be
evaluated further against the want objectives,
Appraise the remaining alternatives and weigh their individual strengths and weaknesses. Initially, the student must
make a tentative choice of the alternative which seems best for him.
There must be 3 alternative courses of action and enumerate the advantages and disadvantages of each.
Assess the possible adverse consequences of the alternative decision or recommendation. Look for potential areas
where trouble may occur if the recommendation or decision is implemented. For each prospective critical area, the
student must evolve corresponding preventive and contingency actions. If prospective serious areas could not be
prevented, review other alternatives for final action.
This is presented in a table format where each alternative courses of action are ranked from good, better, best based
on each criteria/ category important to the analyst.
Example
(Example): Expenses 1 2 1
involved
(Example): Manpower 3 2 2
requirements
VIII. Recommendation
This is the final decision or recommended course of action based on the result of the decision matrix. The analyst must
be decisive. He/she must not avoid making a final choice of the alternative which seems best to him. Inaction or a
status quo position means indecision. Among the given alternatives, only one best alternative should be recommended.
Make a detailed action plan to ensure success of the decision or recommendation. For each prospective serious trouble
area, the student should set up corresponding preventive and contingency action. If prospective serious trouble cannot
be prevented, review other alternatives for final action. Iñigo, 2000.
It is systematic/ Plans of action should be properly enumerated from the first plan to the last plan.
It is realistic. The plan must be capable of being carried out. An unrealistic plan causes frustration and
is self-defeating.
It is flexible. A good plan should be flexible enough to be changed when change is called for,