DECISION MAKING & PROBLEM SOLVING
DECISION MAKING
Managers engage in
Decision Making,
consciously or
unconsciously,
throughout every
day life situations,
either at work or out
of work settings.
HOW CAN YOU DEFINE …
Decision
Making
Systematic cognitive (Thinking)
process in which there must be an
identification off alternatives
HOW CAN YOU DEFINE …
Decision making situation
The situation in which decisions
are made.. It may be personal,,
clinical,, or organizational..
Decision Making Situation
Personal decision making: is the most
familiar part of everyday life.
Clinical decision making:: relates to
quality of care and competency issues..
Organizational decision making:: is
choosing options directed toward the
resolution of organizational problems and
the achievement of organizational goals
HOW CAN YOU DEFINE …
Problem
Solving
Process whereby a dilemma
is Identified and Corrected..
Types of Decisions
Innovative
Routine Adaptive
Types of Decisions
Routine decisions: is the decision made when
problems are relatively well defined and common and when
established rules,, policies,, and procedures can be used to
solve
them.
Adaptive decisions: is the decision made when
problems and alternative solutions are somewhat unusual and
only partially understood.
Innovative decisions: is the decision made when
problems are unusual and unclear and creative solutions arree
necessary.
Characteristics of effective decision
making process
Systematic,, comprehensive way off thinking..
Predetermined Consequences off
implemented
decision..
Much positive outcomes and fewer negative
consequences..
Based on a "Goal-oriented" analysis of the
situation.
Characteristics of the decision
Effective
Feasible
Meets the pre
Possible to
established Realistic carry out with
goals Physically possible, available
fits circumstances resources
Problem Solving and Decision Making Process
1.. Define the Problem
Consider these questions:
What is the problem?
Is it my problem?
Can I solve it? Is it worth solving?
Is this the real problem, or merely a
symptom of a larger one?
If this is an old problem, what's wrong with
the previous solution?
Does it need an immediate solution, or can
it wait?
Is it likely to go away by itself?
Can I risk ignoring it?
Does the problem have ethical dimensions?
What conditions must the solution satisfy?
Will the solution affect something that must
remain unchanged?
Problem Solving and Decision Making Process
2..Gatther Information:: from where!!!!!!
Stakeholders:
”Individuals, groups,
organizations that are affected
by the problem or its
solution”. Decision makers and
those close to us are very
important to be identified.
Problem Solving and Decision Making Process
2..Gatther Information:: from where!!!!!!
•Facts & data
• Research.
• Results from experimentation
and studies.
• Interviews of "experts" and
trusted sources.
• Observed events, past or present,
•either personally observed or
reported
Problem Solving and Decision Making Process
2..Gatther Information:: from where!!!!!!
Boundaries
• Boundaries / constraints of the
situation that are difficult to
change.
• E.g., lack of funds or other
resources.
• If a solution is surrounded by too
many constraints, the constraints
themselves may be the problem.
Problem Solving and Decision Making Process
2..Gatther Information:: from where!!!!!!
Opinions and Assumptions
• Opinions of decision makers,
committees or groups, or other
powerful groups will be important to
the success of the decision.
• It is important to recognize
truth, bias, or prejudice in the
opinion.
Problem Solving and Decision Making Process
3.. Develop alternatives::
Look at the problems in different ways
• Need more information..
• Are new solutions..
• Can be combined or eliminated.
• Will meet opposition..
• Seem promising or exciting..
• Can be combined or eliminated..
Problem Solving and Decision Making Process
4.. Weigh Alternatives
• I..e..,, evaluate them without prejudice,,
• Consider all criteria while a suitable solution
may solve the problem,, it may not work if
resources aren’t available,, if people won't
accept it,, or if it causes new problems
Weigh Alternatives
HOW
TO
WIEGH
ALTERNATIVES ????
1. Thomas Saaty's Analytical Hierarchy Matrix:
Alternative A Alternative B Alternative C Alternative D
0 0 0 0
Alternative A
Alternative B 1 0 1
1 1 1
Alternative C
1 0 0
Alternative D
• When the alternative under consideration has more value than the
others, Then give the more valuable alternative a score of 1.
• When the alternative has less value than the others. Then give the
less valuable alternative a score of 0
2. SFF Matrix( Example)
Suitability Feasibility Flexibility Total
1 1 3
Alternative A 5
0
3 2 1 6
Alternative B
Alternative C 3 3 2 8
2 2 5
Alternative D 1
Rate each alternative on scale of 1 - 3 for its
Suitability: whether the alternative is ethical or practical.. Is it appropriate in scale or
importance? An adequate response? Too extreme?
Feasibility: how many resources will be needed to solve the problem, How likely will it solve
the problem?
Flexibility: ability to respond to unintended consequences, or openness to new possibilities ?
Problem Solving and Decision Making Process
5.. Select the best alternative
Don't consider any alternative as ‘perfect
Solution.’
Consider your intuition,, ((inner feelings)) in
deciding on a course of action
Return to a trusted outsider..
Compromise when you have a full grasp off
the problem,, and your alternatives.
Problem Solving and Decision Making Process
6. Implement the solution
Develop an implementation plan
1. Step-by-step process or actions for
solving the problem.
2. Communications strategy for notifying
stakeholders.
3. Where important or necessary, inform
those who care for you and/or will be
affected by the change. Prepare them
as necessary about your decision.
4. Resource identification/allocation.
5. Timeline for implementation
Problem Solving and Decision Making Process
7. Monitor progress
Successful implementation will be only if
monitoring is running,
If results are not that expect, options and
alternatives must be revised..
QUESTIONS
???
