Nobody downloaded yet

The importance of analysis and analitical skills to the manager making decisions in business - Essay Example

Comments (1) Cite this document
Summary
This study seeks to discuss the importance of analytical skills in decision making by managers in the business sense. To meet this aim, this study will review two analytical approaches to decision making; project plan and modelling, in terms of their underlying concepts, pros and cons…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER98.5% of users find it useful
The importance of analysis and analitical skills to the manager making decisions in business
Read TextPreview

Extract of sample "The importance of analysis and analitical skills to the manager making decisions in business"

Download file to see previous pages The success of organisations heavily relies on the decision making processes undertaken by managers. Organisations are complex, and thus present complex problems or contexts in which the manager makes decisions. Monahan argues that sound decision making brings positive results while poor decision making can prove deleterious to an organisation. The author also states that although management involves a variety of functions, decision making is a central managerial function as all others entail its use. A good decision making process will result in good decisions and thus success in business, while a flawed process underlying conception of decisions will have the opposite effect.The use of these decision making approaches together will be analysed in terms of how managers apply them in an integrated manner.
Managerial Decision Making, Problem Solving and the Structured Analytical Approach
According to Yates, a decision refers to the act of making a commitment to undertake an action that will yield satisfactory results to the beneficiaries of that action. From this definition, it is clear that a decision has three fundamental aspects. First is the resolution to execute an action, deliberateness/intention-where the manager purposefully decides so as to achieve specific objectives, and lastly, the satisfaction of those affected by the decision-the beneficiaries. Decision making, thus, implies the process used to arrive at a decision which translates to the different approaches adopted by different business managers. Russell-Jones argues for the importance of the underlying decision making process, stating that a robust, consistent and analytical approach leverages the elements of complexity, uncertainty, objectives, trade-offs., consensus and flexibility among others. This results in the making of sound decisions that can consistently bring about business success. On a closely related note, managers increasingly find themselves having to undertake problem solving. Hicks (2004, p. 8) details the concept of problem solving, explaining that it entails the manager seeking ways to move from a present situation to a more desirable one. A problem arises when a there is a disparity between what is and what should be. It also represents a situation in which the decision making individual- manager- has alternative courses of action, all with significantly different effects and thus accompanied by doubt about the best choice (9). A number of approaches can be adopted to make managerial decisions and/or solve problems. Monahan (2001, pp. 2-3) explains the dynamics that affect decision making processes; including availability of information, scarcity of resources, and psychological factors. The author also discusses uncertainty in the process of decision making. Deterministic models of managerial decision making activities are used in the absence of uncertainty, while probabilistic models are for cases where business decisions have to be made under uncertainty. One of the most highlighted approaches to effective decision making is the structured analytical approach. Saaty and Vargas (2006, p. 258) explain that structuring the process through analogies and attribute association helps establish a new perspective to a problem and create an environment in which controllable and distinct alternatives can be generated. Gustafson (2006, p. 12) states that an analytical approach to decision making deconstructs a problem into logical, sequential and distinctive elements which can be assessed separately before recombining the components to arrive at ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“The importance of analysis and analitical skills to the manager making Essay - 1”, n.d.)
Retrieved from https://studentshare.org/management/1394214-management-decision
(The Importance of Analysis and Analitical Skills to the Manager Making Essay - 1)
https://studentshare.org/management/1394214-management-decision.
“The Importance of Analysis and Analitical Skills to the Manager Making Essay - 1”, n.d. https://studentshare.org/management/1394214-management-decision.
  • Cited: 0 times
Comments (1)
Click to create a comment or rate a document
gu
gusikowskitierr added comment 1 year ago
Student rated this paper as
I had an issue with a essay types of works. All until I came across this website and this particular essay. Even though "The importance of analysis and analitical skills to the manager making decisions in business" is far from my studies, the structure is so great that I use it all the time as an example for my own works.

CHECK THESE SAMPLES OF The importance of analysis and analitical skills to the manager making decisions in business

The importance of analysis and analytical skills to the manager making decisions in business

...? Managing Decisions The importance of analysis and analytical skills to the manager making decisions in business Table of Contents 0.Introduction 3 1.0.Project planning 3 2.0.Financial modelling 5 2.1.Cash flow analysis 5 2.2.Sensitivity analysis 6 3.0.Diagrammatic Representation 8 3.1.Influence diagram 8 3.2.Decision graphs 9 4.0.Conclusion 10 References 12 1.0. Introduction The importance of analysis and analytical skills to the manager making decisions in a business cannot be refuted. This is more so in today’s rapidly changing business environment and the availability of “too much” information due to the convergence of information technology, media and telecommunications. This report looks at some of the techniques available... for...
10 Pages(2500 words)Essay

The importance of analysis and analitical skills to the manager making decisions in business

...?Running head: The importance of analysis and analytical skills to the manager making decisions in Business The Importance of Analysis and AnalyticalSkills to the Manager Making Decisions in Business Insert Name      Insert Grade Course Insert Tutor’s Name 31 December 2011  The Importance of Analysis and Analytical Skills to the Manager Making Decisions in Business Introduction Managers...
10 Pages(2500 words)Essay

Making business decisions and ethics

.... In the business world opportunity costs is a constant variable that affects the decisions managers make. The reason this occurs is because companies have limited resources. For example the human resource department has a budget of $50,000 for training and development. The firm has to decide which employees to spend the money in. If the firm orders training for the engineers, there is an opportunity cost because the firm could have chosen another group of employees to invest in training such as the accountants.... Ethics involves making decisions between right and wrong. Following all the rules and regulations is a good thing for a business enterprise, but it does not mean that a person is...
3 Pages(750 words)Essay

Making Decisions

... and its process of decision making are important for deciding on optimum solution in least time. Leader should be able to identify each group members’ thought process and intention before deciding on any particular solution. Further, arriving at a common consensus remains a challenge in group decision making process. References Kinicki, A and Kreitner, R. (2009). Organizational Behavior: key concepts, skills and best practices. New York: TataMcGraw Hill Inc.... , complexity of the issue, uncertainty, time available, information available etc. Because of these restrictions, decisions are taken based on what is immediately appropriate rather than the best possible action. Hence, all possible alternatives are not evaluated...
2 Pages(500 words)Essay

The Importance of Analysis and Analytical Skills to the Manager Making Decisions in Business

...or considering different valuation approaches (122). Risk analysis serves as an extension to sensitivity analysis as it involves not only assessing the potential occurrence of outcomes but also their likelihoods (133). The advantages of such analyses lies in their clarification of the decision making process as details of cash flows and uncertainties are analysed. One of the drawbacks lies in the considerable accounting skills needed to generate and comprehend the analyses. This means such models of decision making may not be applicable to the range of businesses where the individual in the...
8 Pages(2000 words)Essay

Nurse Manager Skills Inventory

...grounds and work for welfare of my patients. My understanding on my future helps me in making better and more productive decisions. Moreover, I can use my council management skill in improving the workplace in general but using my leadership qualities and ensuring that all the concerns in a team are properly dealt with which can bring about a very positive change in working environment as a whole. Personal Goals and plan for its achievement Professional nursing life has taught me that I am weak at emotional side and most of the time act as a rigid person when it comes to my ideas and this is something that greatly hampers my leadership skills. Gladly, I...
3 Pages(750 words)Essay

Analitical skills

...of those powers (Benwell and Gay, 2011; Pg. 34). It is for Parliament to make new laws and to amend old laws, including the common law. It is for the courts to interpret and enforces the law. It is for the government to govern within the law. Each in their own sphere is supreme’’ (Calers, 2012; Pg. 89). These comments came at a time when the governance structure in the UK lacked a clear separation of powers in all the three state bodies (Benwell and Gay, 2011; Pg. 59). Apparently, Lord Donaldson had observed the missing links in the attainment of checks and balances thus leading to the creation of appalling policies, legislation, and decisions, which undermined the authority of other branches of the...
8 Pages(2000 words)Essay

Making decisions in business

...? Making decisions in Business Introduction Research scholars such as Saunders, Lewis and Thornhil (2009) pointed out that business reach is important part of strategic decision making for companies. Sekaran and Bougie (2009) also supported the fact that business decision makers need to analyze the past data in order to make valid future forecast. With the growing of technology and software classification, companies have started making decisions by optimizing historical data (Gray, 2009). Hence, the business world is...
12 Pages(3000 words)Essay

Making decisions

...Political decisions in Ukraine Samson Varghese Political decisions in Ukraine Political decision making in Ukraine is a great dilemma. Ever after the separation from the former Soviet Union though Ukraine tries to follow the democratic methodologies, much of the recent happenings in Ukraine questions their awareness about democracy. The competition between judiciary and legislature seems to be immense in Ukraine. “The political system of Ukraine, which is to much larger extent dominated by personal decision-making than by institutions, is not only a source of instability, but also a structural problem for the integration of Ukraineís”...
2 Pages(500 words)Essay

Using Your Manager Skills

...MEMO: RISK ASSESSMENT FOR ENVIRONMENTAL CRISIS al affiliations Shep Howard Risk Assessment Manager 4th March 2015 SUBJECT: Risk Assessment for Environmental Crisis In response to a request to analyze the company’s need for outside counsel, accusations of the environmental group against the company are hereby assessed. The following report will provide details on the assessment and illustrate that our company does not violate the clean water act or the solid waste disposal act. The clean water act prohibits any person from discharging any pollutant in the U.S navigable waters from any point source unless he or she receives approval for compliance laws to release the pollutants. There are two key factors in interpreting...
4 Pages(1000 words)Research Paper
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 The importance of analysis and analitical skills to the manager making decisions in business for FREE!

Contact Us