Decision-making is the action or process of thinking through possible options and selecting one.. The effectiveness of management depends on the quality of decision-making. Decision Criteria - Managers should identify criteria for potential solutions - as this will help you avoid bias in choosing an alternative. In this sense, management is rightly described as decision-making process. The six step managerial decision-making process consists of the following six steps: Step 1: Setting Managerial Objectives. How you attain the objective is the measure of decision success. Since decision making process follows the above sequential steps, a lot of time is spent in this process. Overview of Managerial Decision-Making What are the basic characteristics of managerial decision-making? Scaling High-Velocity Decision-Making. The managerial objectives are the ends for the means of decision making and constitute the foundation for rational decision making. Identification of Alternatives 5. In carrying out this process, managers should identify goals at the outset of the decision-making process. … In essence, decision-making is about making … First; managers must set a plan, then organize resources according to the plan, lead employees to work towards the plan, and finally, control everything by monitoring and measuring the effectiveness of the plan. According to R. C. Davis, "management is a decision-making process." Defining the Problem 3. 4 Functions of management are planning, organizing, leading and controlling that managers perform to accomplish business goals efficiently. Amazon management emphasizes and measures input metrics all the way through. All articles can be read without knowledge of the previous ones. This article about the Managerial Decision Making Process is the seventh article in a series of twelve about Self-Handicapping Leadership by Professor Phillip Decker and Professor Jordan Mitchell. Decision-making is an intellectual process which involves selection of one course of action out of many alternatives. Collection of Data 6. Managerial Decision-Making What you’ll learn to do: Discuss the process of managerial decision-making and the factors involved. By: Qadeer Ahmed BS(CIS)2008-12 2. The reason is that if the inputs are right in terms of timing, quality and quantity, the goals will be achieved. Managerial Decision Making 1. This is the case with every decision taken to solve management and administrative problems in a … Identification of Variables and their Relation to the Problem 4. The following points highlight the seven main steps involved in managerial decision-making. Decision-making is a truly fascinating science, incorporating organizational behavior, psychology, sociology, neurology, strategy, management, philosophy, and logic. 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