Management Decision Making - Coursework Example

Running Head: MANAGEMENT DECISION MAKING Management Decision Making Questions & AnswersMANAGEMENT DECISION MAKING 2 Management Decision MakingQuestions & AnswersQ1. Why is decision making often described as the essence of a managers job?A. Because decision making is involved in all four managerial functions. Whether it is identifying a problem, analysing the alternatives or making final choices, managers’ decision making skills determine the success of an organisation.Q2. How might an organizations culture influence the way managers make decisions? A. The extent to which an organisation’s culture delegates authority, takes risks and accepts new ideas, affects managers’ decision making capabilities.

Managers offered with limited liberty might not try new strategies or defer all their decisions to top management. Q3. All of us bring biases to the decisions we make. What are some of the drawbacks of having biases? Could there be any advantages to having biases? Explain. What are the implications for decision making? A. Biases may lead to self assumed and irrational analysis of situations thereby resulting into superstitious decisions. When identified and understood, biases may help managers analyse and select various inputs from individuals/groups.

Biases tend to limit the thought process of managers thus jeopardising their decision-making skills. Q4. Would you call yourself a systematic or intuitive thinker? What are the decision-making implications of these labels? What are the implications for choosing an employer? A. I would call myself an intuitive thinker. Systematic decision-making approach results in more robust solutions. Whereas, results based on pure intuitions might save on time but can be misleading. Latter approach may, however, prove more creative.

Organisations need bothsystematic and intuitive thinker because both the approaches tend to complement each other.MANAGEMENT DECISION MAKING 3Q5. How can managers blend the guidelines for making effective decisions in todays world with the rationality and bounded rationality models of decision making-or can they? Explain. A. In today’s world of technological advancements where business has gone borderless and complex, it is humanly not possible to adhere to the conventional model.

It is, therefore, economical to simplify the situation using bounded rational model and then follow the steps of rational model for making decisions which can give fine solutions, if not optimal.Q6. Why do good managers sometimes make bad decisions? How can managers improve their decision-making skills?A. Good managers make bad decisions when they let their personal biases uncontrolled or restrict their decision making skills because of organisation’s culture. Identifying and controlling biases, staying focused on objectives, overcoming inertia against change, and staying on guard against ‘Yes Man’ trap are few ways to improve decision making skills.