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    Ch05 - Problem Solving and Decision Making PDF

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    Ch05 - Problem Solving and Decision Making PDF

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    Ch05_Problem Solving and Decision Making.pdf

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    Ch05 - Problem Solving and Decision Making PDF

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    Iis Merly

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    of 14

    PROBLEM SOLVING

    AND
    DECISION MAKING

    Rima Midiyanti, SST., M.Sc


    2019
    Contents
    • Non-programmed vs Programmed Decisions
    • Steps in Problem Solving and Decision Making
    • Bounded Rationality and Infuences on Decision Making
    • Group Problem Solving and Decision Making
    • Creativity and Innovation in Managerial Work
    • A problem is a discrepancy between ideal and actual
    conditions.
    For example, a hospital might have too many beds
    unoccupied when the ideal is to have an occupancy rate of
    90 percent or greater.

    • A decision is choosing among alternatives, such as


    affiliating with more doctors so as to receive more patient
    referrals.
    Non-programmed vs Programmed Decisions
    • A problem that takes a new and an unfamiliar form or one
    that is complex or significant calls for a nonprogrammed
    decision
    • Programmed decisions are repetitive, or routine, and
    made according to a specific procedure. Procedures
    specify how to handle these routine, uncomplicated
    decisions
    Steps in Problem Solving and Decision Making
    Bounded Rationality and Infuences on Decision Making
    • Bounded rationality means that people’s finite (somewhat
    limited) mental abilities, combined with external
    influences over which they have little or no control,
    prevent them from making entirely rational decisions.
    • People making decisions do the best with what they have.
    Often decision makers do not have the time or resources
    to wait for the best possible solution. Instead, they search
    for satisficing decisions, those that suffice in providing a
    minimum standard of satisfaction.
    A host of influences on the decision-making process
    contribute to bounded rationality :
    1. Intuition : An experience-based way of knowing or
    reasoning in which weighing and balancing evidence are
    done unconsciously and automatically
    2. Personality and Cognitive Intelligence
    3. Emotional Intelligence : The ability to connect with
    people and understand their emotions
    4. Quality and Accessibility of Information
    • Political Considerations
    • Degree of Certainty
    • Crisis and Conflict
    • Values of the Decision Maker
    • Procrastination= To delay in taking action without a valid
    reason.
    • Decision-Making Styles
    Decisive (one option, less information), Flexible (many options,
    less information), Hierarchic (one option, more information),
    Integrative (many options, more information)
    Group Problem Solving and Decision Making
    • Group decisions result when several people contribute to
    a final decision.
    • Group decision making is often used in complex and
    important situations such as developing a new product or
    recommending employees with the best potential for
    promotion.
    Advantages of Group Decision Making
    • The quality of the decision might be higher because of
    the combined wisdom of group members
    • A by-product of the first
    • Group decision making is helpful in gaining acceptance
    and commitment.
    Disadvantages of Group Decision Making
    • The negative aspects of groupthink can often be avoided
    if the team leader encourages group members to express
    doubts and criticisms of proposed solutions.
    • It is helpful to show by example that you are willing to
    accept criticism.
    • Because group decision making takes more time and
    people than individual decision making, it should not be
    used indiscriminately. Group decision making should be
    reserved for complex decisions of reasonable importance.
    Creativity and Innovation in Managerial Work
    To be creative is to see new relationships and produce
    imaginative solutions. Creativity can be defined simply as
    the process of developing novel ideas that can be put into
    action.
    - The creative personality
    - The necessary conditions for creativity
    - The creative organization
    - Creativity programs
    - Suggestions for becoming more creative
    Reference

    Dubrin J., Andrew. 2011. Essentials of Management. Nineth


    Edition. South-Western College.
    - Terima Kasih -

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