Decision making process is an important part of new era management. This is the main function of management where the manager responsibility to make a best decision. Efficient decision making involve a series of steps that require the input of information at different stages of the process, as well as a process feedback. According to the rational model, the decision making process can be illustrate into six steps.
The first component of decision making process is recognizing the requirement of decision. The requirement can be as a problem or opportunity. A problem can be occurs when the organization performance are below their target and unsatisfied. An opportunity will occur when the manager see the good potential to make their achievement exceed their target. Effective leaders would recognize problem situation and play a vital role in coming up with the best possible solution in the decision making process. The process of identifying problems requires to be alerted and pay attention towards the internal and external environment, that would be affect the organization directly or indirectly. The external environment would be provided the information towards organizations in assessing their strengths and weaknesses of the organization along with the opportunities and threats in the external environment. Problem situation plays a major role in subsequent steps, thus managers must determine and define the problems situation specifically in achieving the desired outcomes. Besides, managers need to recognize the conflicts happened in the organization promptly to makes the effectiveness of management decision making by take in account the element of the internal and external environment. Problem situation plays a major role in subsequent steps, thus managers must determine and define the problems situation specifically in achieving the desired outcomes.
After recognized the problems in organization, the second step is generate the alternatives of the recognized problems. This actually can be done by brainstorming. One of these techniques in brainstorming process is brain writing in which group members wrote their ideas on a piece of paper and passed them on to the next group member, who read the ideas, added his or her on idea and passed the paper on. However, there are a few other techniques that can be used in order to accomplish brainstorming process such as mind mapping, restating purposes and weaving points across topic. The more important the decision toward the organizations, thus it would be lead the more in developing alternatives in achieving the solution of the recognized problems.
Third step in decision making process is evaluates the alternatives in achieving the organization desired outcomes. This step is important to choose the best alternative. In this step, management can rate their alternative and analyse the alternative of causes and effects of choosing among these alternatives. The alternative that is chosen must be acceptable to those who must live with the consequences of the decision.
The fourth step is choosing an alternative. Managers would evaluate the requirements and generate alternatives in achieve the desired organization’s goal. The basic judgment should be close to the outcomes or the consequences of the alternative come to achieve the desired goals of company. Normally, manager was choosing the decision with the least amount of risk and uncertainty.
The fifth step in decision making process is implementing the alternative. Implementing the decision making process is to transform an abstraction into a reality operation in achieving the outcome. A sound decision can fail if implemented poorly. This is the process where the management apply the alternative to their staff or subordinates. All staff who was involved with this decision must know their role to make the best outcomes. To make the employees understand their roles, managers must explain the procedures, rules and the detail about their objective to help them to participate in the problem solving decision.
Evaluating decision effectiveness in decision making process is the final step. The implementing of alternative had to be monitored. An outcome is a consequence of decision making in choosing the given alternatives. It is normally involve significant change in organization and may be also affects it stakeholders. An evaluation step should provide feedback on how well the outcome of the decision is being implemented, and the necessary adjustments are required to align with the organization desired goals. Manager should gather the information to determine the successful or effectiveness of the decision. The evaluation is important because decision making is a continuous, never-ending process.
As the conclusion, decision making is a process involving choices. The process generally consists of several steps: identifying problems, generating alternatives, evaluating alternatives, choosing an alternative, implementing the decision, and evaluating decision effectiveness. Every step in decision making process is important and managers have to consider it. This is because management goals or targets cannot be achieved without proper decision making process.