Business Decision Making by Hemant Dharmidharka – DHARNI Group

 The Session  was at Auditorium on 27-3-2015 from 12.40 to 2 p.m.

Manager’s work is getting things done from others. Biggest Job of manager is Decision Making. Whether decision is good or bad C.E.O have to take responsibility of it .In the Business getting a right decision is more important than the moving in the right direction.

Session Objectives:

  • To define Decision Making
  • Maximize creativity and Logic in Decision Making
  • Acquire Decision Making tips and techniques that accelerate and improve results
  • Become aware of common Decision Making Traps and how to handle them

Definition:

It is a process of examining your possibilities options, comparing them and choosing a course of action.

Why do Businesses make Decisions?

  • To solve unexpected problems like strikes
  • To be forced to make decisions – Interview selection
  • To better business objectives

Who makes decisions?

  • Owners – Strategic
  • Managers – Tactical
  • All employees- Operational

   Constraints on Decision Making

                Internal:

Finance – Do we have enough money?

People ability – Do we have enough skilled people

Existing company policy – Does the company policy permits

Cultured Issues – Are there any resistance to change?

External:

Government Legislations

Competition and competitors

Modern Technology

Factors of Decision Making:

Perception, Priority, Acceptability, Risk, Resources, Goods, Values, Demands, Style, Judgment

6 C’s of Decision Making:

Construct clear picture of precisely what must be decided

Compile a list of requirements that must be met

Collect information on alternatives that meet the requirements

Compare alternatives that meet requirements

Consider that “What might go wrong” factor with each alternative

Commit to a decision and follow through with it

Inherent Personal Traps

Trying too hard to play it safe

Letting fears and biases till your thinking and analysis

Craving for unanimous approval

Inherent System Traps:

Willing to begin with too little, in accurate or wrong information

Overlook viable alternatives and Not following the 6 C’s

Worst of all, Failure to reach a decision

By

Divya

PGDM 2014-16 Batch