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Sunday, May 17, 2009

Discuss various decision-making models. Which model according to you is the best model? Justify your answer with examples.

Discuss various decision-making models. Which model according to you is the best model? Justify your answer with examples.

Ans. Decision-making is a process of evaluation of available alternatives and selection of best alternative from the available system to provide the efficient course of action. We are after encountered with a lot of situations where we need to perform a process of decision making. The main features of an efficient decision are making involve the identification of alternatives for a given set of problem. The problem in hand could be organisational, related to resources, financing, purchasing or any other problem.
Identification: The major feature to take an efficient decision is hence identification of the problem. A well-defined problem is halfway towards solution and each solution lies towards the root of the problem. The problem statement must hence be clean, concise and to the point. Irrelevant details must be filtered out from the available system of operation. As an approach towards solution we need to take many decisions. Each step involves checking alternatives and selecting best among them.
Identification of Alternatives: After explanation of the problems the next step is to see that there exist enough of alternatives for the decision makes to choose from. For the purpose of identification of the available choice what is most practiced involves Brainstorming, opinion polls, Delphi, synectics grouping, etc. Each method varies from organisation to organisation depending upon the availability of resources.
In Brainstorming the individuals involved are given a question to ponder upon. This would help them to find out various possibilities of the course of action to be performed. All set of ideas are considered and none of them is eliminated before evaluating it completely. Ideas which are so collected are then evaluated for its cost benefit analysis, feasibility of solution. Even worst of the ideas are considered. It has been observed that the worst ideas sometime come out to be best and readily accepted ones. It is a time consuming technique of decision making.
Opinion polls generally involve the collection of opinions on the various issues from the participants. The basic idea is to gain an insight of the problem in hand from the viewpoints of participants. The options are available and participants opinion is desired on the same.
Delphi technique involves the passage of problem to various individuals repeatedly thereby eliminating unnecessary steps and turning out as an error free system of the operation.
In Grouping multiple problem are given to group members to share the ideas on problem in hand yielding their best solution towards problem under study.
Synectics technique is a formalised technique where leader explains problem to the group and they devise solutions based various parameters and areas of expertise.
After the above mentioned steps of generation of a number of alternatives, the next step is towards the Evaluation of alternatives.
In this step the existing alternatives are evaluated on basis of the strengths, benefits, cost effective, implementation constraints, ability to meet the desired criteria etc. Evaluation process has its merits in terms of choosing best method of solving the problem in hand. Various methods like of techniques are of usage in the alternatives evaluation. Decision best alternative as an approach towards the decision making.
Selection: When the alternative are evaluated one or more options are considered for meeting the needs of organisation this is known as selecting best suitable option from the given sets. The chosen options must suit the constraints of resources, time efforts etc.
Implementation: This is a crucial phase of decision making when an alternative suiting the best options is implemented. This process involves provision of necessary tools, resources, planning etc. for carrying out the job efficiently.

Decision making process is a highly responsible job. All alternatives must be considered before finalising a decision. A manager is hence expected to note that anything that could have adverse effect on decision making must be handled. The skills required are
• Dedication,
• Thorough knowledge of system,
• Communication efficient,
• Ability to get along well with people,
• Persistence activity, and
• Understandeable,

Various strategies required for the organisation change are
(i) Top down strategy: In this strategic more down the line to the lowest level. The strategy is followed by manufacturing organisation in such cases when management forcxes a change towards the better functioning of organisation. It is implemented due to the resistance towards change from lower level employees. They tend to think tha it is a direct blow on their job and hence they raise hue and cry on any such move when top down strategy is followed the higher lend employees set an example before their lower grade colleagues that they are far better than they were before. The strategy assumes that the management is responsible for any sorts of methods to ease the process of system development and changes in existing system of any types.
(ii) Bottom up strategy: This strategy is an approach towards organisation building from lowest unit. In this strategy the lower level employees are first provide the training towards changing of methods. This further modifies to the upper level. This is followed in those cases when people welcome change and perceive the new system as a way to improve their productivity and work efficiency. They consider the new setup as a step towards improvement in their skills such individuals are more committed towards success of the organisation Bottom up strategy also is involved in the designing and growing change in a well fashioned manner. Works in the manufacturing units are trained for efficient methods of production, increase in efficiency, decision making, time management and these prove to be an input to the higher lend supervisors and managers who also gain an insight of the better results of the new structure with these kinds of changes coming a self confidence develops leading the variations at higher lends.
(iii) Contingency approach of the change implementation involves the considerartion of factors of the organisation. Suchj variables or factors are diagnosed and based on it there is an implementation of the strategy. The implementation is again based on three variables. All the variables mentioned are written on basis of their values. The eight variables mentioned are diagnostic variables and are present as time, need of change, size, effect of change, organisation concentration, people expectation, potential resistance, power of change agent. The diagnosis reveals the basis of various changes mentioned as availability of time is measured as little time or long time. Other factors like resistance is put up as small resistance or great resistance is also mentioned.
The organisation change process is normally a mix of the various methods mentioned. The way changes are implemented depends on organisation and often varies. The net output is in form of a strategy that is well suited to the needs of the new organisation setup. New roles and relationships are defined the cause the system to behave in an integrated way. The new processes are easy and cost effective and yield better outputs costs of manufacturing goes down, workers social status increases. The overall organisation goal is achieved in a short time and a better performance is ensured.
Organisation generally constitutes the change agent from within organisation so that there is minimum resistance if at all to the process of change and performance. Delphi model is the best model of decision making, which is international accepted model.