Decision Making
In organizations decision making can be difficult, but there are many ways organizations can handle making decisions, here are three models organizations can follow to make this processes easier:
Rational (normative) Model of Decision Making
Steps
1.Members notice there is a problem that needs a decision (formulation)
2. Come up with different decision options and evaluate each one (concept development and detailing)
3. Decide which decision is best for their organization (evaluation)
4.Decision implementation can begin (implementation)
Steps
1.Members notice there is a problem that needs a decision (formulation)
2. Come up with different decision options and evaluate each one (concept development and detailing)
3. Decide which decision is best for their organization (evaluation)
4.Decision implementation can begin (implementation)
Below is an example of what happens when you do not use the Rational Decision Making Model when making a decision:
Bounded Rationality- Decision makers attempt to make logical decisions, but they are limited in time and resources.
When dealing with group decisions, the meetings can often get off track if the leader does not have any structure. Here are steps to have group decision making easier:
Group Decision Making
Steps
1. Group has an understanding of the issue(s) needing to be resolved
2. The group determines the minimal characteristics required in order for any alternatives to be acceptable
3. Identify any alternatives
4. Examine the alternatives in relation to each required characteristic
5. Select the alternative that is most likely to have the desired characteristics
Steps
1. Group has an understanding of the issue(s) needing to be resolved
2. The group determines the minimal characteristics required in order for any alternatives to be acceptable
3. Identify any alternatives
4. Examine the alternatives in relation to each required characteristic
5. Select the alternative that is most likely to have the desired characteristics
Group think- is when group members put aside their own thoughts and ideas, in order to make a decision quickly.
Multiple Sequence Model
This model shows three different paths that groups can take when making a decision, the percentages indicates how often groups use them.
Header photo: http://www.colorado.edu/admissions/undergraduate/blog/oscars-and-office