Rational Decisions Model
a) Almost every individual that breathes makes decision in their day to day living. For an instance, what I want to wear, what food I want to take, what movie I want to watch and so on and forth.
Managers at all levels in an organization too live by making decisions. A decision is always a choice from two or more alternatives. Managers in all organizations make decisions that will affect not only their sub ordinates but affect them as well and the organization as a whole.
The eight steps in decision making are as follows :-
i) Identifying A Problem
First and foremost, a manager must effectively identify a problem that exists in his organization or department. A problem is a discrepancy between an existing and desired state of affairs. A manager must be aware if there is a problem, act accordingly to resolve it and must have the resources to take action immediately.
ii) Identifying Decision Criteria
Once a manger has identified a problem, the next thing that needed to be done is the decision criteria. A decision criteria is criteria that defines what is relevant or appropriate in a decision making. A manager has to assess what are the factors that are relevant to his decision. Identifying decision criteria will eventually guide a manager to make decisions.
iii) Allocating Weights to the Criteria
After identifying decision criteria, a manager must weight the items and set the criteria based on priority. A manager must make a list and the criterion that sits on top the list must be given the most important attention.
iv) Developing Alternatives
The fourth step will be for a manager to list viable alternatives that could resolve a problem. The more alternatives a manager could have, the better he can work towards resolving it. By having a list of viable alternatives a manager can approach the problem from different angels and...