Perception and Decision Making - Essay Example

Perception and Decision Making 1. Describe the decision that Dave Armstrong faces. Use the PrOACT approach presented in Smart Choices to analyze his decision. Briefly state how each of the eight elements apply to Dave’s decision Perception and decision making are two terms that have been interlinked together due to their applicability in different context both from the personal level up to organisation level. Perception entails a process by which an individual are group of people understand, interpreted and give meaning to their surrounding using their sensory.

Various factors tend to affect individual perception. Some of those factors include but not limited to the situation under which one is. For example, in the case of Dave Armstrong a twenty nine years old graduate who had been admitted to pursue a Master degree in Business Administration was faced by three alternative jobs to choose. Based on the case of Armstrong (A), it can be observed he was faced by the three decision problems. The first decision problem was job A. Under this job, Dave Armstrong was supposed to have a large capital outlay.

The job also had a lot of untapped potential returns. In addition, Dave perceived that this is a kind of job that he would like to do but his wife was against his idea because it involved a lot of risk. The second job, B, Dave did not like it thought it had better returns. In addition, this job was to last for only two years. The third job, C, was involving though it had better returns compared to A and B (Steven, paras.3-6). Based on this case, it can be observed that perception may be affected by the situation under which one is operating in.

The situation may in turn affect the cause of action to be undertaken. For instance, if among the three jobs could mean a perceived losses will be incurred; Dave Armstrong may make his decision based on the situation he was going through. Whereby, they make an optimal decision that will remedy the situation based on their perception. Secondly, perception may be affected by the person interest, motives, experience and attitude and anticipation. PROACT approach may be used to analyze Dave Armstrong decisions.

The first element in this approach involves problem identification and making right decision based on that problem. The second element entails objective definition, this involve gathering the necessary information and determining the right course of action (Steven, paras.1-5). The third element of PROACT approach entails evaluating the three alternatives prior making the right choice. The forth element entails determining the consequences of each course of action that Dave is looking forward to undertake.

The fifth element entails evaluating the trade-off between the various objectives available. This may help to sacrifice some objective and take the objective that will deliver maximum benefits. The sixth element of PROACT approach entails assessing the readily available alternatives to determine their presence and impact. The seventh element of PROACT should be involved in the analysis is the tolerance to risk (Steven, paras.1-5).2. Which elements are MOST relevant for Dave’s decision problem?

The most relevant elements for Dave decision problem are actions/decision that Dave should undertake. The second element involves uncertainty in decision making and finally the impact/consequences of decisions made. In order to make smart choice, Dave should employ PROACT approach discussed to come up with the most feasible job/course of action to undertake (Steven, paras.8).3. What advice would you give Dave that would help him make a smart choice? I would advice Dave to use PROACT approach discussed to assess each alternative job available in order to make the right decision.

This means that Dave should take job that he can be able to sustain loss in case risk occurs. In this case, PROACT approach indicate that the third job, C, may be less risky as compared to job, A and Job B. Therefore, it is advisable for Dave to take job, C. 4. Why is the decision facing Dave Armstrong a difficult one? The decision facing Dave Armstrong is difficult ones because they involve opportunity cost. This means that Dave must have to chose the best alternative, job, and forgo the rest available alternatives of which both have risk and benefits (Steven, para, 12).

Works CitedSteven Kerr. BUAD 304 Organizational Behaviours’ and Leadership.USC University of Southern Califonia.2014.print.