Professional Documents
Culture Documents
problem solving
Organisational Decision making
Structured problems
* Involved goals that clear.
*Are familiar(have occurred before)
*Are easily and completely defined- information about
the problem is available and complete.
Programmed decision
*A repetitive decision the can be handled by a routine
approach.
Problems and Decisions ( cont’d)
Unstructured problems
* Problems that are new or unusual and for which
information is ambiguous or incomplete.
* Problems that will require custom-made
solutions.
Non-programmed decisions
* Decision that are unique and nonrecurring.
* Decision that generate unique responses.
Types of Programmed Decisions
Policy
* a general guideline for making a decision about a
structured problem.
Procedure
* A series of interrelated steps that a manager can use
to respond ( applying a policy) to a structured problem.
Rule
* an explicit statement that limits what a manager or
employee can or cannot do.
Programmed vs. Non-programmed
Decisions
Characteristics Programmed Non-programmed
decisions decisions
Type of problem Structured Unstructured
Implement
Define the Evaluate
the chosen
Problem Alternatives
Alternative
Ethical values
and culture Experience-based Feelings or emotions
Decisions
Values or ethics- Affect-Initiated
based Decisions intuition Decisions
Subconscious Cognitive-Based
mental processing Decisions
Decision Making
– The process of identifying and choosing alternative courses
of action to meet the demands of a situation.
Trends in Decision Making
– The pace of decision making is accelerating: managers
report making more decisions and having less time to make
them.
• Complex streams of decisions
• Sources of decision complexity
• Perceptual and behavioral decision traps
(Cont’d)