Contact Us
Sign In / Sign Up for FREE
Go to advanced search...

Managerial Decision Making - Essay Example

Comments (0) Cite this document
Power obviously is a pervasive variable in the managerial process of all modern-day organizations.(Kanter, 1979) Managers regularly acquire and utilize power to achieve specific work results and to strengthen their own personal position within the organization. Logically, it…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.3% of users find it useful
Managerial Decision Making
Read TextPreview

Extract of sample "Managerial Decision Making"

First Last NUMBER Managing the Three R’s Power obviously is a pervasive variable in the managerial process of all modern-day organizations.(Kanter, 1979) Managers regularly acquire and utilize power to achieve specific work results and to strengthen their own personal position within the organization. Logically, it can be rationalized that every interaction and every social relationship in an organization involves some direct exercise of power. The process of how power is utilized in most organizations can best be summed up by the three R’s of management: retribution, reciprocity, and reason.(Schermerhorn, 1985)
Retribution: The first R is by far the most detrimental; the managerial application of retribution is little more than threatening. Managers in some situations resort to direct threats of punishment to create coercion. They may also utilize indirect threat’s to create an implied rather than stated punishment or coercion; this is a common form of intimidation. The major pros to utilizing retribution are the immediate effect and delivery of the manager’s task as specified. On the Con side retribution almost always creates resistance, resentment, & alienation. It also within the organization stifles innovation. Effective managers should very rarely resort to retribution as a tool; it should be reserved for crisis situations where direct action is required.
Reciprocity: By definition reciprocity is nothing more than compliance by satisfying the needs of both parties. Reciprocity allows the manager to get results without creating resentment. The major pros revolve around mutual benefit. This enables the manager to achieve objectives without having to bargain or justify the objective with the employee. The Cons are the very basic prerequisite of trust and the inevitable negotiation process with the employee. From the stand point of the organization reciprocity undercuts group commitment. From the management standpoint it takes time to initialize and cannot be used effectively in a crisis situation.
Reason: Reason creates a rational articulation of the management concept; subordinates recognize the value of the plan and are more supportive and positive about the manager’s task. The pros are seen as a higher group compliance and greater commitment to team principle. While reason is the most positive management tool it takes the longest period to initialize and requires the cohesion of a unified group trust and belief in the individual manager. Superiors usually rate managers that utilize reason as highly effective. Unfortunately, reason cannot easily be applied to most mundane job tasks as the amount of input does not justify the output. Reason is the preferred managerial tool for long term strategic tasks and projects.
In conclusion, managerial success translates into stronger power bases with greater opportunities to lead through the exercise of power. Conversely, power misuse and abuse consistently lead’s to heighten and unproductive diversity and strain that destroys team cohesion. (Kanter, 1979) Effective managers understand and utilize the three R’s to achieve the optimum level of productivity without generating heightened friction with their employees.
Works Cites
Rosabeth Moss Kanter, Power Failure in Management Circuits, Harvard Business Review, July–August 1979, 65.
John R. Schermerhorn Jr., James G. Hunt, and Richard N. Osborn, Managing Organizational Behavior (New York: John Wiley and Sons,1985), 445. Read More
Cite this document
  • APA
  • MLA
(“Managerial Decision Making Essay Example | Topics and Well Written Essays - 250 words”, n.d.)
Managerial Decision Making Essay Example | Topics and Well Written Essays - 250 words. Retrieved from
(Managerial Decision Making Essay Example | Topics and Well Written Essays - 250 Words)
Managerial Decision Making Essay Example | Topics and Well Written Essays - 250 Words.
“Managerial Decision Making Essay Example | Topics and Well Written Essays - 250 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Managerial Decision Making

Managerial decision making process

...?Running Heading: Managerial Decision Making Process Managerial Decision Making Process CRITERIA for performance appraisal of an individual Performance evaluation is an important task in any organization because by evaluating the performance the productivity level of an individual is measured. Promotion, salary packages, increment in compensation and growth of the individual are also based on the performance evaluation therefore organization must ensure that they have proper performance evaluation method that considers important characteristics and traits of the individual so that right candidate is promoted and get his reward of hard work. Also by promoting the right individual, his motivation level would also increase thus it would...
7 Pages(1750 words)Essay

Managerial Decision Making

...should be to advise the best practices that are being followed in relation to classification, recording and reporting of financial information so that these are adopted without delay for the good of the organization (Kaplan & Atkinson, 1998). References Anthony, R. N & Reece J. S (1995). Accounting Principles, 6th ed. Homewood, Illinois: Richard D. Irwin. Bazerman, M.H & Moore, D.A. (2008). Judgment in managerial decision making, 7th ed. Wiley Publishers. Heitger, L. & Matulich, S. (1990). Managerial Accounting. New York: McGraw Hill. Horngren, C. (1994). Principles of Financial and Management Accounting. Prentice Hall Inc, Englewood Cliffs, New Jersey. Kaplan, R. & Atkinson, A. (1998). Advanced Management Accounting, 3rd Ed. Prentice...
5 Pages(1250 words)Essay

Managerial Decision Making

...Managerial Decision Making Introduction Management decision making will be based on the objectives of the company. Objectives themselves will depend on the individual perceptions of every stake holder. It is, therefore, pertinent that all the stake holders to any complex problem are consulted and the objectives fixed before going on for making analysis. In the case of a marketing decision, the objectives are mostly profit centered though there is always a possibility that decisions are made based on the long term profitability of the company. Secondly, most of the problems need to be broken down into smaller constituent parts that will help in easier analyzing and decision making (Goodwin & Wright, 2004). While analyzing any complex...
12 Pages(3000 words)Essay

Managerial Decision Making

...Managerial Decision Making Introductory note: This paper seeks to delineate impact of good decision making upon growth and well being of corporate organizations in this country. At a higher level, it evaluates the keen thought processes involved in crucial decision making especially when the result of the project is dependent upon business acumen and perspicacity of use of effective accounting package resources like SAP. ” That’s why SAP offers a portfolio of integrated business management solutions tailored to the diverse needs of a company like yours.” (Try our best-fit solution adviser tool today, n.d, para.1). 1.1. Defining the problem: The problems arouse due to the negative flows of cash flow. Sometimes inflows were delayed...
2 Pages(500 words)Assignment

Managerial Decision Making

...., & Moore, D. A. 2013. Judgment In Managerial Decision Making. New York, Wiley. Bruijn, J. A. D., Heuvelhof, E. F. T., & Veld, R. J. I. . 2010. Process Management Why Project Management Fails In Complex Decision Making Processes. Berlin, Springer Verlag. Carroll, N. V. 2008. Financial Management For Pharmacists: A Decision-Making Approach. Baltimore, Lippincott Williams & Wilkins. Oxelheim, L., &Wihlborg, C. 2008. Corporate Decision-Making With Macroeconomic Uncertainty: Performance And Risk Management. Oxford, Oxford University Press. Parnell, G. S. 2011. Decision Making In Systems Engineering And Management. Oxford, Wiley. Teale, M. 2003. Management Decision Making: Towards An Integrated Approach. Harlow, Essex, Pearson...
8 Pages(2000 words)Term Paper

Managerial Decision Making

... are good in solving negotiations that have reached a stalemate.   References Bazerman, M., & Moore, D. (2009). Judgment in managerial decision making. Hoboken, NJ. Foreman, E., & Selly, M. (2001). Decision by objectives: How to convince others that you are right. River Edge, NJ: World Scientific Publishing Company. Frame, J. (2012). Decision-making that accounts for irrationality, people and constraints. Somerset, NJ: John Wiley & Sons.... Managerial Decision making Managerial Decision making Question Eventually, the United s and Iran will have to sit down andnegotiate the use of nuclear power. Discuss the issues that could be involved...
7 Pages(1750 words)Assignment

How Does Branding Affect Buyers Purchase Decision

The scope of the study covers all kinds of buyers with different behaviours making buying decisions with regard to different brands. There is also a detailed study of the Consumer Decision Process. There is a good enough introduction on consumer buying process besides an extended and detailed introduction on Branding and Marketing emphasizing the difference between the two and how the concepts are different from each and in what way there can be a delineation between the two. There is an explanation on the different stages of Consumer Buying Behaviour, namely Need Awareness, Information Search, Checking Options, Purchase Decision, and Post Purchase Behaviour. There is also a detailed explanation on Types of Consumer Buying Behavio...
44 Pages(11000 words)Research Paper

Limitations of Managerial Perceptions

In On Heroes, Hero-Worship, and the Heroic in History, Thomas Carlyle1 explicated how a leader or the one in a controlling position (like the manager) is the stereotype of authoritative power and employees always tend to see him as the archetypal person from whom power originates. Such confusion in a socio-cultural and historical base of knowledge of a person combined with his/her personal mental bent may lead to a lot of fallible ideas about one’s own manager, who similarly may be thwarted from taking an effective action due to his own mental blocks. This is the problem of perception.
The perception of a person (in an organization) may be defined as a cognitive information processing process that enables us to interpre...
13 Pages(3250 words)Assignment

Recognized and Unrecognized Managerial Leadership

The changing roles of management in the current era of rapid globalization has been succinctly articulated in the two articles: ‘Recognized and unrecognized managerial leadership’ by S. Sjostrand and M. Tyrstrup; and ‘Why hard-nosed executives should care about management theory’ by Clayton M. Christensen and Michael E. Raynor.
 Leaders create visions and goals whereas the managers and administrators work towards achieving them.

Organizations are characterized by the unique culture that is inherent in the overall working of the organization. Discussion of leadership with reference to a large organization is as important as that of a small one for the simple reasons that the leaders with...
6 Pages(1500 words)Report

Managerial Prerogative and Protection of Employment

On the other hand, the change in the forms of employment has led to a decrease in employees’ performance in the high percentage of organizations internationally. Towards this direction, McGovern et al. (2004, 225) stated that ‘the rapid growth in nonstandard forms of employment toward the end of the 20th century has fuelled claims about the spread of "bad jobs" within Anglo-American capitalism; research from the United States indicates that such jobs have more bad characteristics than do permanent jobs after controlling for workers’. In other words, the bad conditions in the workplace – lack of communication and cooperation among the employees - but also between the employees and the firm’s owners - l...
13 Pages(3250 words)Term Paper

The Act of Storing Food and Making Food

When corn was first discovered, people fell in love with how available it was, and how simple it was to just pick, husk, and eat. They were also pleased that they could store it and use it as needed when they needed to. It was a perfect grain for traveling pilgrims during those times. Without humans, corn could not survive, as it needed to be husked to drop its seeds.
In chapter two, it is learned how important the workings of a farm are to food production. Everything from the soil that plants and grains are grown in, to the machines used to produce items for cooking play huge roles in the larger scheme of things. Even the grain that is fed to the animals has to be the best kind, to produce the best meat for sale. Everything...
14 Pages(3500 words)Literature review

Contemporary Managerial Issues in Accounts and Finance

Political theorists like Veblen argued that the separation of corporate ownership from control generates a transfer of power from a minority of stockholders to a group of decisive owners who have the control over the way of access to credit and finance (Roe, 1994, p. 5).
However, contemporary analysts of corporate power contested that dominance and ownership in modern corporations have shifted to a property-less group of managers. Consequently, this current shift of power and control in large modern corporations could usher in ultimate preoccupation over profit rather than non-financial motives. Furthermore, the separation of power and ownership will lead to the destruction of the traditional legal theory of property which en...
23 Pages(5750 words)Literature review

Managerial Economics and Business Environment

Once the above said subject matter is clearly sorted out, the next emphasis would be on the concepts like the opportunity costing, incremental principle, marginal principle, discounting principle, the principle of time perspective, and calculation of economic profit as the guidelines to the scope of managerial economics. (Surender. V, 2008).
To start with, we consider a firm for which different processes have to be carried to achieve its objectives of profit maximization (assuming that all the organizations work with the view to maximize profits). If firms from different sectors are identified simultaneously, then the working of the economy as a whole could also be analyzed which in turn is useful in the decision-making proce...
15 Pages(3750 words)Assignment

Decision Making in Health and Social Care

...DECISION-MAKING IN HEALTH AND SOCIAL CARE: ECONOMICS a) Why are market forces unsuitable for health service resource allocation? Refer in your answer to the problems of consumer sovereignty, agency, and health outcome measurement. Market forces, demand and supply, move in opposite directions with respect to price changes. When the price of a good is high the demand for it is less while the supply of it is greater. This is economic sense but nevertheless this positive economic statement about the predictable behavior of the consumer does not hold true when the demand patterns for Giffen and inferior goods are factored in. For instance when income, of the individual consumer, rises his demand for inferior goods such as potatoes...
8 Pages(2000 words)Case Study

Decision Making and Problem Solving Skills

The Emerald article Developing Competent Managers, written by Tom Kilcourse argued that competences of managers are specific to organizational culture, and the individual needs to develop in parallel with the organization (Kilcourse, 1994). Decision Problem Solving, Interpersonal Skills, Performance Management, Personal Organisation, Stress Management, etc are generally accepted as the necessary skills for a competent manager. This paper is focussing only on the decision making and problem-solving skills of a manager in order to analyze the competencies of a manager.

Management is a process that requires rapid decision-making abilities. Logical and effective decisions making abilities are essential for an effective mana...
5 Pages(1250 words)Assignment

Strategic Management Systems in the Decision Making of an Organization

He will change his brand as soon as he realizes that his needs might be catered in a better way by some other brand. This creates the need for efficient planning tools and updated information.
An important aspect here is that the management system should work in accordance with the vision of the organization. It is only one of the reasons for the failure of a system. There are several more causes that shall be investigated.
It shall be investigated as to how strategic management systems assist in identifying the strengths and weaknesses of a company (Hitt 2009). It gives the company an opportunity to make their products and services better for their customers.
Strategic management systems can be defined as the proce...
10 Pages(2500 words)Assignment
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Managerial Decision Making for FREE!

Contact Us