Decision Making in Organizations - Report Example

Decision Making in Organization’s Name Institutions Date Introduction Basically, organizations are social systems. For administrators to manage an organization, he/she should understand how the organization is run. Organizations join science and individuals; technology and humanity. Unless the organization has administrators with the necessary skills to design and employ organizational techniques, techniques alone cannot give the desired outcomes. To some extent it is difficult to understand human behavior. The unpredictability results because of the individual’s deep-seated requirements in addition to value systems. Nevertheless, this can be solved by understanding the structure of behavioral science, administrations and other disciplines (Herbert, 2008). Monitoring of the business structures and processes in which organizational decisions are made along with employee involvement and effective communication is the foundation of a successful organization. Organizational Mechanistic Form An organization is distinguished by high degrees of complexity, formalization as well as centralization. An organization that is highly mechanistic is typified by a centralized decision making at the top, an inflexible hierarchy of influence. However, it has intently defined job responsibilities in particular at the lower levels, as well as wide-ranging rules and regulations that workers are openly informed via written communication (West, 2009). In such an organization, labor is split and sub-divided into numerous extremely specialized responsibilities (high complexity); employees are given restricted discretion in carrying out their responsibilities and rules and processes are cautiously characterized which means their high formalization. As a result, there is restricted employee participation within decision making since decision making is done at the utmost levels of administration high centralization (Herbert, 2008). Management Functions The key management functions include; planning, organizing, commanding, coordination in addition to controlling. Planning entails what is to be done and how is should be done. The planning procedures comprise four steps namely: goal establishment, defining of the organizational current situation, identification of aids and hindrances to the goals and develop a plan to search the goal. Organizations refers to the way in which the organizational work is organized among the employees so that the organizational goals can be accomplished while commanding is the procedure of influencing a group towards the accomplishment of organizational goals. On the other hand, controlling entails measuring comparing as well as taking managerial action (Hartnett, 2011). Establishing Integrated Performance System An organization should establish a performance measurement system. The system succeeds when the strategy of an organization as well as performance measures correspond and when the administration convey the organizational mission, vision and planned guidelines to the employees and external stakeholders as well. The performance measures provide life to the mission, vision and strategy through giving a focus that enables all employees to know how they take part in the organizational success as well as its stakeholders’ measurable anticipations. Integration enables performance measures to be effective instruments for change within an organization. If the measures enumerate outcomes of an activity, the administration should compare the measured information with the desired organizational objectives to know if actions are required (Herbert, 2008). Key Business Processes Business processes along with their activities are the ways of accomplishing business results. Normally, there are numerous procedures and activities in an organization and each requires performance measures. The secret to an effective integrated performance measurement system is to clearly establishing the key business processes within an organization; this means the processes that influence the success or failure of the objectives of an organization. The main goal is supposed to be to maintain several key business processes to a controllable and functional level. In order to understand the organizational key processes, the administration should map the organizational process to identify the aspects and relationships of the functions and systems needed in developing and delivering products as well as services to clients. This includes the requirement of the stakeholders, involvement of senior management, employee involvement as well as organizational communication system (Christian, 2008). Management Management refers to the process in which individuals, technology, job responsibilities in addition to other resources are joined and coordinated in order to efficiently accomplish organizational goals. A process is a group connected to activities that contribute to a larger action. Management functions are founded on a common approach. The management functions centre on the following; Establishing and clarifying organizational mission, policies and goals Developing formal and informal organizational systems as a way of allotting authority and sharing responsibilities Identifying priorities and evaluating and adjusting organizational goals in terms of changing demands Maintaining efficient communication in the working group, with other groups as well as with the larger society Choosing, motivating, training and assessing organizational employees Being accountable to employees, the larger venture and also to the society at large (Kaner, 2011). Organizational Members’ Participation Individuals make up the organizational internal system. They comprise of people and groups, including the big and small groups. Generally, employees are the living and thinking feelings being who create and establish the organization. The organization exists in order to for the employees to accomplish their organizational goals. It is therefore important to effectively manage the workforce. In the management of the workforce, the administrators should handle: Individual workers who are anticipated to carry out all the tasks assigned to them Dyadic relationships, for instance superior-subordinate communications Groups working as teams and are responsible for ensuring that the organizational tasks are performed. Individuals outside the organization structure, for example clients and government officers (Ferry, 2008). In order for an organization to integrate an effective performance measurement system, the employees should be involved within the entire process. This is because the organizational employees contribute directly to the input, output, results, performance, process in addition to all other elements of the organizational operation. Involving employees is one of the most efficient means of establishing a positive culture in an organization. The extent as well as the timing of workers involvement is supposed to be individually customized depending on the organizational size and structure (Kaner, 2011). The following factors should be taken into consideration when involving the workers; Employee involvement develops ownership and therefore increases both loyalty and commitment which elevates accountability and responsibility among employees. Employee involvement keeps the employees happy and consequently satisfied and happy employees contribute to the organizational success as this increases employee’s productivity. This is the reason all successful organizations measure the level of employee satisfaction. Organizational workers will perform in accordance with the performance metric. This means that the performance metric will compel the behavior of the workers. This is why it is prudent to give the employees an opportunity to contribute in the development of a system that compels their performance. The administration should involve all the employees who are being impacted by the organizational decisions as well as the employees involved in employing the organizational changes and decisions as well. Additionally, it is important to ensure that the employees understand the level of their involvement as well as the Passignment”. Finally, the administrators should establish the gaps within knowledge and experience and give the appropriate and timely training to handle these (Redding, 2005). Communication Communication within an organization is important in developing and sustaining performance within an organization. Organizational communication is supposed to be multi-directional: communication should be operated top-down, bottom-up and horizontally in and across the organization. Successful organizations communicate internally by way of: Interactive and group oriented means; this includes holding hall meeting, business update meetings in addition to focus groups. Different types of print media, for example newsletters, reports and publications Using advanced communication technologies, for example e-mails, video-conference along with on-line internet and intranet systems. Other highly visible ways, for instance the routine placement of progress charts within suitable work areas (Dennis, 2005). Effective communication within an organization enables the administrators to carry out their fundamental management functions, this includes, planning, organization, leaderships as well as controlling the organizational activities. Communication assists the administration to carry out their tasks and duties. Communication is the basis for effective organizational planning. The managers should be informed regarding all the fundamental information who then communicates the plans to execute them (West, 2009). In order for the administrators to effectively organize the organization, there should be efficient communication with others regarding their job responsibilities. Accordingly, leaders as mangers are supposed to communicate efficiently with their subordinates as this will facilitate accomplishment of team goals. Furthermore, controlling the organizational employees and activities can only achieved with efficient oral and written communication (Herbert, 2008). As a result, administrators should dedicate a great portion of their time in communication. They are supposed to spend time on face to face or phone communication with their superiors, juniors, colleagues, clients or even their suppliers. Administrators should utilize written communication, for example letters or memos in situations where oral communication is not practical. For that reason, it is in order to say that effective communication is a building block for a flourishing organization (Joseph, 2006). The significance of effective communication within an organization can be summed up as below: Effective communication motivates the employees through informing and shedding light on the employee’s duties, how they should carry out their duties and on how to improve their performance. Communication provides the information regarding where the organization should base its decision making processes since information is important in the identification as well as evaluation of alternative course of actions. Moreover, communication is important in changing individual’s attitudes. This means that an administrator and employees who is well informed has a better attitude as compared to the ones who are not informed. Organizational journals, meeting and other different means of oral and written communication assist in molding the attitudes of the employees. Communication is also crucial in socializing within the organization. This is because people foster communication amongst each other and also human beings cannot survive without communication. Lastly, communication is very important in organizational controlling process. Communication assists in controlling the behavior of employees in different ways, there are different levels of hierarchy and some principles and rules that employees are supposed to follow within an organization. Employees should comply within the policies in the organization, carry out their duties effectively and communicate any grievances and problems their encounter while working to their superiors. Therefore, communication is crucial in controlling management function (Cheney, 2004). Conclusion A successful and efficient communication system entails managerial proficiency in the delivery and receiving of organizational messages. An administrator should identify diverse communication barriers, investigate the reasons for the presence of these barriers and take preventive actions to steer clear of the communication barriers. Therefore, the main responsibility of an administration/management is to establish and maintain efficient communication system within the organization. The role of the administration to manage an organization is determined by how effectively a manager communicates. Communication failure within an organization results in misunderstanding and also poor performance, low employees morale among others which eventually leads to decreased organizational productivity (Herbert, 2008). References Hartnett, T. (2011). Consensus-Oriented Decision Making. Gabriola Island, BC: New Society Publishers. Ferry, J. F. (2008). Controlling the Behavior of Employees. Journal of Management. Vol. 2/1. Herbert, S. (2008). Organizations. Effective Performance Measurement System. Vol. 5/2. Joseph, T. (2006). "Psychological Science in a Postmodern Context." American Psychologist. Vol. 56/10. Redding, W. (2005). Stumbling Toward Identity: The Emergence of Organizational Communication as a Field of Study" in McPhee and Tompkins. Organizational Communication: Traditional Themes and New Directions. Vol. 1/3. Dennis, K. (2005). Engaging Organizational Communication Theory and Research. Thousand Oaks, CA: Sage. Cheney, G. (2004). Organizational Communication in an Age of Globalization: Issues, Reflections, Practices. Long Grove, IL: Waveland Press. Christian, D. (2008). Creating a Life Together: Practical Tools to Grow Ecovillages and Intentional Communities. Canada: New Society Publishers. Kaner, S. (2011). Facilitator's Guide to Participatory Decision-making. San Francisco, CA: Jossey-Bass. West, M. (2009). Impact of People Management Practices on Business Performance. Issues in People Management. Vol. 15/27. Read More