Decision-Making Process

Decision-Making Process

The gap in the desired, and the current state, often calls for a decision. Decision making is the process of choosing an alternative that best fits the criteria. It can be in response to a problem or an opportunity. Alternatives might be fulfilling the criteria, however, the best option will be with the least amount of resources committed to it, but still brings the best results. The soul of decision making is in the understanding of the models that are applied to different decision making situations. The resources limit the choices available and capacity to evaluate all of them. Time is often the limiting factor.

Good Decisions

Management at different levels makes different types of decision. It is a general principle that, managers in the upper hierarchy have influence and their decision affect the lower level managers and people in the organization. Lower level mangers make more of routine decisions. These decisions are characterized by programmed decision making situations. Information is available; rules are predefined to evaluate the alternatives. The risk involved and commitment of resources are low. In contrast, mangers in the middle level make decisions in situations and environment where some of the information is available, while remaining is either unavailable or unattainable (Daft, 2008). The resource commitment and risk level is high. These decisions serve as the constant or broader framework for the lower hierarchy managers. Mangers at this level need to have the ability to see the broader perspective of an organization. Top management's decisions affect the whole organization. The decision they make require the largest amount of resources and involve greatest risk to the well-being of the company.

A decision that is made in the right manner, at the time and with the least possible commitment of resources is considered the best. The first ...