DECISION - MAKING

By

Helen L.APGDLA Sec ‘A’

3. DecisionDecision Making Process

4. Decision MakingTools

1. What is Decision Making? 2. Barriers to Good

Decision Making

Decision makingDecision making is the cognitive process leading to the selection of a course of action among alternatives. Every decision making process produces a final choicefinal choice. It can be an actionaction or an opinionopinion.

“Successful leaders have the courage to take action while others hesitate. “ - John C. Maxwell

It begins when we need to do something but we do not know what. Therefore, decision making is a reasoning processreasoning process which can be rational or irrational, and can be based on explicit assumptions or tacit assumptions.

Examples: Shopping, deciding what to eat, What to wear, etc..

Hasty Hasty - Making quick decisions without having much thought.

Narrow Narrow - Decision making is based on very limited information.

Scattered Scattered - Our thoughts in making decisions are disconnected or disorganized.

Fuzzy Fuzzy - Sometimes, the lack of clarity on important aspects of a decision causes us to overlook certain important considerations.

“ Making good decisions is a crucial skill at every level. ”

- Peter Drucker

STEPS STEPS

Define the decision clearly.Define the decision clearly. Consider all the possible choices.Consider all the possible choices. Gather all relevant information and evaluate Gather all relevant information and evaluate

all the pros and cons of each possible all the pros and cons of each possible choice.choice.

Select the choice that seems to best meet Select the choice that seems to best meet the needs of the situation.the needs of the situation.

Implement a plan of action and then monitor Implement a plan of action and then monitor the results, making necessary adjustments.the results, making necessary adjustments.

Because I'm thinking in a broader way,

I feel like I am able to make better decisions.”

- Takafumi Horie

SStrengths trengths WWeaknesseseaknesses

OOpportunitiespportunities TThreatshreats

SWOTSWOT analysis is a great technique for identifying your SStrengths and WWeaknesses and study any OOpportunities and TThreats you face.

It is also a powerful strategic planning toolstrategic planning tool used to evaluate a project or in a business venture or in any other situation of an organization or individual requiring a decision in pursuit of an objective.

It involves monitoring the marketing environment internal internal and externalexternal to the organization or individual.

Orienting SWOTs to An ObjectiveOrienting SWOTs to An Objective - If SWOT analysis does not start with defining a desired end state or objective, it runs the risk of being useless.

If a clear objective has been identified, SWOT analysis can be used to help in the pursuit of that objective. In this case, SWOTs are:

SStrengthstrengthsAttributes of the organization that are helpful to achieving the objective.

WWeaknesseseaknessesAttributes of the organization that are harmful to achieving the objective.

OOpportunitiespportunitiesExternal conditions that are helpful to achieving the objective.

TThreatshreatsExternal conditions that are harmful to achieving the objective.

The aim of any SWOT analysis is to identify the key internal and external factors that are important to achieving the objective. SWOT analysis groups key pieces of information into two main categories:

Internal FactorsInternal Factors OrganizationOrganization

Internal FactorsInternal Factors OrganizationOrganization

External FactorsExternal Factors External EnvironmentExternal Environment

External FactorsExternal Factors External EnvironmentExternal Environment

SStrengthstrengths

WWeaknesseseaknesses

OOpportunitiespportunities

TThreatshreats

Conducting a SWOT analysis before defining and agreeing upon an objective (a desired end state). SWOTs should not exist in the abstract. They can exist only with reference to an objective.

Opportunities external to the company are often confused with strengths internal to the company. They should be kept separate.

SWOTs are sometimes confused with possible strategies. SWOTs are descriptions of conditions, while possible strategies define actions.

What is Decision Making?

Decision making is the cognitive process leading to the selection of a course of action among alternatives.

Barriers to Good Decision Making

Hasty, Narrow, Scattered and Fuzzy decision making.

Decision Making Process

1. Define the decision clearly.

2. Consider all the possible choices.

3. Gather all relevant information and evaluate all the pros and cons of each possible choice.

4. Select the choice that seems to best meet the needs of the situation.

5. Implement a plan of action and then monitor the results, making necessary adjustments.

Decision Making Tools

CoRT SWOT Analysis Six Thinking Hats Decision Matrix Etc.

THE END