Decision making. Everyone is a Decision Maker. Types of Managerial Decisions. Identifying the Problem, страница 6

Design a plan of action chart including all the details you need to consider to carry it out and when each phase should happen. Keep in mind, though, that the desk plans have setbacks for any number of reasons — from a key person being out for illness to a supplier shipping material late. So remember that your dates are only target dates. Solutions and plans of action must be flexible. Expect some things to be revised.

2) Evaluating the Plan of Action

Before you implement the plan of action, you should analyse it to see if you've considered as many of the variables as possible and then simulate your solution. You should select a small group of managers and employees and role-play the solution in the work setting. Observe the group as they carry out the solution and take note of:

1.   How they carry out the solution;

2.   Their reactions to the solution;

3.   Their understanding of the solution;

4.   The effectiveness of the tools they are using in carrying out the solution;

5.   Their resistance to change and reverting back to the previous behaviours.

Based on what you observe, you may need to revise some of your plans. Implementing decisions involves people in most situations, the test of the soundness of a decision is the behaviour of the people affected by the decision. While a decision may be technically sound, it can easily be undermined by dissatisfied subordinates or by partners who view things differently. People cannot be manipulated in the same manner as other resources. Thus, a manager's job is not only to choose good solutions but also to transform such solutions into solution behaviour in the organisation. 7. Controlling and Evaluation

After the Action Plan has been implemented to solve a problem, management must evaluate its effectiveness. Effective management involves periodic measurements of results. When actual results are compared with planned results (the objective), if deviations exist, changes must be made. Evaluation standards must be determined, feedback channels developed, and monitoring performed, This Step should be done after 3 to 5 weeks and again at about 6 months. The goal is to answer the question, has the problem been solved?

УIV. Individual Decision Making

Several individual differences influence the decision-making process. Some of these differences influence only certain aspects of the process, while others influence the entire process. However, each may have an impact and, therefore, must be understood to appreciate fully decision making as a process in organisations. Four individual differences — values, personality, propensity for risk, and potential for dissonance have a significant impact on the decision-making process.

Values

Values are the guidelines that a person uses when confronted with a situation in which a choice must be made. Values are acquired early in life and are a basic part of an individual thoughts. The influence of values on the decision-making process is profound at all stages of decision-making process. It is clear that values pervade the decision-making process. They are reflected in the decision maker's behaviour before making the decision, in making the decision, and in putting the decision into effect.

Personality

Decision-makers are influenced by many psychological forces, both conscious and subconscious. One of the most important of these forces is personality: in the decision making under conditions of uncertainty, decision makers' personalities are strongly reflected in the choices they make. The most important conclusions concerning the influence of personality on the decision making process are as follows:

1.   It is unlikely that one person can be equally proficient in all aspects of the decision-making process. The results suggest that some people do better in one part of the process, while others do better in another part.

2.   Such characteristics as intelligence are associated with different phases of the decision-making process.