Decision Making

The story given

below is quite
interesting and
really  gives us
an insight into
DECISION
MAKING.                        
                            
                                            
 A group of children were
playing near two railway
tracks, one still in  use
while the other disused.
Only one child played on
the disused track, the rest
on the operational track.
The train came, and you
were just beside the
track interchange. You
could make the train
change its course to the
disused track and saved
most of the kids.
However, that would also mean the lone child playing
by the disused track would be sacrificed. Or would
you rather let the train go its way? 

Let's take a pause to think what kind of decision we

could make................
Most people might choose to divert the course of the
train, and sacrifice only one child. You might think
the same way,  I guess.

Exactly, I thought the same way initially because  to

save most of the children at the expense of only one
child was  rational decision most people would
make, morally and emotionally. But,  have you ever
thought that the child choosing to play on the
disused  track had in fact made the right decision
to play at a safe place?
 On second thought
If the train was diverted, that lone child would
definitely die because he never thought the train
could come over to that track. 
Moreover, that track was not in use probably
because it was not safe. If the train was diverted
to the track, we could put the lives of all
passengers on board at stake! And in your attempt
to save a few kids by  sacrificing one child, you
might end up sacrificing hundreds of people  to
save these few kids.
While we are all aware that life is full of
tough decisions that need to be made,
we may not realize that hasty decisions
may not always be the  right one.

"Remember that what's right isn't

always popular... 
and what's popular isn't always right."
Decision-making- Definition
“The thought process of selecting a logical choice from
the available options”…….

"Decision making is the process of identifying and

selecting a course of action to solve a specific
problem.“…….
Introduction:
Decision making is a daily activity for any human
being. There is no exception about that. When it
comes to business organizations, decision making is a
habit and a process as well.
When trying to make a good decision, a person must
weight the positives and negatives of each option, and
consider all the alternatives. For effective decision
making, a person must be able to forecast the outcome
of each option as well, and based on all these items,
determine which option is the best for that particular
situation.
Steps of
Decision
Making
Process
Step 1: Identification of the
purpose of the decision:
In this step, the problem is thoroughly analyzed.
There are a couple of questions one should ask when it
comes to identifying the purpose of the decision.
What exactly is the problem?
Why the problem should be solved?
Who are the affected parties of the problem?
Does the problem have a deadline or a specific time-
line?
Step 2: Information gathering:
A problem of an organization will have many
stakeholders. In addition, there can be dozens of
factors involved and affected by the problem.
In the process of solving the problem, you will have to
gather as much as information related to the factors
and stakeholders involved in the problem. For the
process of information gathering, tools such as 'Check
Sheets' can be effectively used.
Rope Activity
Step 3: Principles for judging
the alternatives:
In this step, the baseline criteria for judging the
alternatives should be set up. When it comes to
defining the criteria, organizational goals as well as the
corporate culture should be taken into consideration.
As an example, profit is one of the main concerns in
every decision making process. Companies usually do
not make decisions that reduce profits, unless it is an
exceptional case. Likewise, baseline principles should
be identified related to the problem in hand.
Step 4: Brainstorm and analyze
the different choices:
For this step, brainstorming to list down all the ideas
is the best option. Before the idea generation step, it is
vital to understand the causes of the problem and
prioritization of causes.
For this, you can make use of Cause-and-Effect
diagrams and Pareto Chart tool. Cause-and-Effect
diagram helps you to identify all possible causes of the
problem and Pareto chart helps you to prioritize and
identify the causes with highest effect.
Then, you can move on generating all possible
solutions (alternatives) for the problem in hand.
Step 5: Evaluation of alternatives:
Use your judgment principles and decision-making
criteria to evaluate each alternative. In this step,
experience and effectiveness of the judgment
principles come into play. You need to compare each
alternative for their positives and negatives.
Step 6: Select the best alternative:
Once you go through from Step 1 to Step 5, this step is
easy. In addition, the selection of the best alternative is
an informed decision since you have already followed a
methodology to derive and select the best alternative.
Step 7: Execute the decision:
Convert your decision into a plan or a sequence of
activities. Execute your plan by yourself or with the
help of subordinates.
Step 8: Evaluate the results:
Evaluate the outcome of your decision. See whether
there is anything you should learn and then correct in
future decision making. This is one of the best
practices that will improve your decision-making
skills.
Conclusion
When it comes to making decisions, one should
always weigh the positive and negative business
consequences and should favor the positive outcomes.
This avoids the possible losses to the organization and
keeps the company running with a sustained growth.
Sometimes, avoiding decision making seems easier;
especially, when you get into a lot of confrontation
after making the tough decision.
But, making the decisions and accepting its
consequences is the only way to stay in control of your
corporate life and time.
Activity :- Decision Making Wheel
You are at the college campus and everyone is out for
the playing game, including the college staff. You have
to go the wash room. On the way to the wash room,
you pass your class room and notice that there is
someone in the room. You stop and peek in out of
curiosity. Just as you do, you see one student and also
your best friends reach into another student’s desk
and take something out of it. You quickly move past
the door before you are seen. Just after the game is
over, the student whose desk you saw your friend
reach into, walks up to the principal. A moment later
the principal announces that this student’s purse and
camera has been stolen. What will you do?
Discussion Questions
1. What is the problem?
2. What are the choices you have?
3. What do you think the consequences of these
choices will be
for yourself and others who are involved?
4. What values do you need to consider?
5. How do you feel about the situation?
6. Is there anything else you need to learn about it?
7. Do you need to ask for help? Who will you ask?
8. What is your decision?
9. Do you think you made the right decision? Why?
1. Better Utilization of Resources
Decision making helps to utilize the available
resources for achieving the objectives of the
organization. The available resources are the 6 Ms, i.e.
Men, Money, Materials, Machines, Methods and
Markets. The manager has to make correct decisions
for all the 6 Ms. This will result in better utilization of
these resources.
2. Facing Problems and Challenges
Decision making helps the organization to face and
tackle new problems and challenges. Quick and
correct decisions help to solve problems and to accept
new challenges.
3. Business Growth
Quick and correct decision making results in better
utilization of the resources. It helps the organization
to face new problems and challenges. It also helps to
achieve its objectives. All this results in quick business
growth. However, wrong, slow or no decisions can
result in losses and industrial sickness.
4. Achieving Objectives
Quick and correct decision making results in better
utilization of the resources. It helps the organization
to face new problems and challenges. It also helps to
achieve its objectives. All this results in quick business
growth. However, wrong, slow or no decisions can
result in losses and industrial sickness.
Poor decision:-

Poor Decision
5. Increases Efficiency
Rational decisions help to increase efficiency.
Efficiency is the relation between returns and cost. If
the returns are high and the cost is low, then there is
efficiency and vice versa. Rational decisions result in
higher returns at low cost.
6. Facilitate Innovation
Rational decisions facilitate innovation. This is
because it helps to develop new ideas, new products,
new process, etc. This results in innovation.
Innovation gives a competitive advantage to the
organization.
7. Motivates Employees
Rational decision results in motivation for the
employees. This is because the employees are
motivated to implement rational decisions. When the
rational decisions are implemented the organization
makes high profits. Therefore, it can give financial and
non-financial benefits to the employees.
How can you drop a raw egg onto a concrete
floor without cracking it?
Concrete floors are very hard to crack!
If it took eight men ten hours to build a wall,
how long would it take four men to build it?
No time at all, as it is already built
If you had three apples and four oranges in one hand and four
apples and three oranges in the other hand, what would you
have?
Very large hands
How can you lift an elephant with one
hand?
It is not a problem, since you will never find
an elephant with one hand.
How can a man go eight days without
sleep?
He sleeps at night.
If you throw a red stone into the blue sea
what it will become?
It will get wet or sink.
What can you never eat for breakfast?
Lunch & Dinner.
Bay of Bengal is in which state?
Liquid
Thank You Future of the nation...
For twisting your Brain
We look forward to contribute
in your success journey