1. Compare and contrast programmed and nonprogrammed decision-making in organizations and give two realistic business examples of each of these two types of decision-making. Programmed decision are decisions that have been made so many times in the past that managers have developed rules or guideline to be applied when certain situations are expected to occur. Programmed decision making is used when an inventory manager of mc Donald's decides to order beef patty stocks because the stocks are three-quarters empty. Programmed decisions making are a routine that you make every time so that the organization run smooth. Managers can develop rules and guidelines to regulate all routine organizational activities. Most decisions are related to …show more content…
This will affect mc Donald's revenue and profit. If the error is caused by programmed decision making, the lost is not big compared to nonprogrammed decision making. Lets say that the big mac that mc Donald's cooked exceed the supposed number. That means extra big macs and they can't sell these big macs tomorrow morning. So there might be some lost there but the employees can still take it home after closing. Programmed decision making are always used in daily routine to keep the organization running smooth. That is why they have rules and guidelines to make a decision. Nonprogrammed decision making are not always used but it will give impact to an organization's effectiveness. This decision is made on reasonable judgment and the circumstances if we proceed with the decision. 2. There are two important techniques that managers can use to promote creativity in group decision-making situations As we discussed , we have decided to choose between three of these restaurants to open in a centrally located shopping center in Shah Alam. We have decided to open either a fast food franchise , an Italian fine dining restaurant or a family friendly restaurant that servers Kelantan cuisine. The pros for fast food franchise is kids love fast food. So these kids will drag their parents to our fast food restaurant for sure. But on the other hand the cons is , parents don't love fast food because it is unhealthy. For people that are on
Some decision that need to be made in a hurry, so I have no time to think carefully and do some researches, so I would turn my decision style to automated decision style.
Managers within organizations are faced with the challenges daily of making excellent decisions. In everyday life we are challenged in making sound decision, decision that will last for a life time. Folk often wonder after making a decision if it was the right choice, will it affect the people around me, was this a good choice for my family, and will the decision affect them. In order to be an effective manager you have to possess the skill of outstanding decision making skills. In order for one to be successful within their personal life they may also need to possess an understanding of effective decision making. The decision- making process should be one that makes a positive change. Can the decision making process work
Decision making in a casino environment can differ amongst each department and its specific tasks. For instance, the accounting department would be more of a programmed decision making process than that of the lower departments that work directly with the customers. These lower departments would be most beneficial in using a less programmed and more divergent thinking process.
1. In the start-up of Globalive and WIND mobile, CEO Anthony Lacavera was faced with many decisions, most of which can be classified as non-programmed decisions. This is due to many reasons, one of them being the fact that Lacavera stated, “I didn’t know anything about telecommunications”. This means that he had no prior knowledge for all the telecommunications decisions he was making, therefore making them non-programmed decisions.
Decision-making in the workforce is a process of responsibilities used by upper management to implement, enforce rules, regulations, and maintain a successful environment. Decision-making implemented more effectively by making a plan, thinking it through, accepting more than one opinion and determining what is best. However, decision-making often utilized more effectively by opening doors of opportunities for a suggestion, question, discussion, and feedback. Although, more involvement helps improve understanding, utilize behavior skills and present opportunities for better communication. Everyday life consists of decision-making, the right decision may not always be applied, but ensure room for improvement and opportunity. Individuals approached decision-making in many different ways. As stated by (Jones, Graham, & Bateman, 2006) decision making is a procedure used to recognize a problem, weigh the alternatives and evaluate a solution in which, certain situations will require different approaches to become effective.
Decision-making is critical to a business helping mitigate risk and requires good judgment, considering social, humans, and ethical values before final decisions are made. Additionally, making good decisions enables organizations to identify and resolve problems, also providing organizations with the ability to identify and exploit opportunities.
As a result of this decision environment it can be concluded that the decisions made in the start up of Spin Master were non-programmed decision types. A programmed decision uses a solution from a past experience to resolve a routine problem. A non-programmed decision uses a unique solution that is created for a new or unusual
Discovery Communication’s decision to open an on-site childcare facility for its employees is an example of a non-programmed decision for the following reasons. First, the company had to identify numerous factors before committing to a decision. Second, the company had to obtain information from its employees, and last, it had to think consciously. In compliance with the text, the aforementioned explanations coincide with the definition of a non-programmed decision, which states: “Unique, nonroutine, and important. These decisions require conscious thinking, information gathering, and careful consideration of alternatives.” In addition to opening an onsite childcare center, Discovery Communications could also accommodate working parents
Alan Joyce has been the CEO of Qantas since 2008. During this time he had to make many tough decisions. He shut down the airline in the industrial dispute, laid off many of Qantas employees, was involved in government negotiations and restructured the airline (Collins B, 2014). The CEO wasn’t face with the problem of selling Frequent Flyer program before therefore his decision would be a non-programmed one. Non-programmed decisions involve situations that are most important, new, complex, unstructured, and there is no proven correct answer to use to solve the problem (Rao S, 2010). When making a non-programmed decision, there are no rules to follow. There is a risk that will need to be taken make the decision. However Joyce knows the
Decision making is defined as "the cognitive process leading to the selection of a course of action among alternatives" (Decision Making, 2006, para. 1). Decisions are made continually throughout our day.
As stated by Prasad (2008), the managers should identify the different choices available in order to get most acceptable outcome of a decision. From searching different alternatives the managers can evade blocks in operations as choices are suitable if a particular idea goes wrong. Khanka (2000) expresses the view that selections can developed from in many ways such as can get from sources like experience, do training other organizations, and take others ideas and suggestions related in problems. Furthermore to improve alternatives solution the managers may investigation the signs of a problem for clues or fall back on intuition or result that stated by Griffin and Moorhead (2010). For an example in marketing department a non-programmed decision is compulsory the manager have to produce alternatives for raise market share. As McShane and Von Glinow (2000) pointed out that in a programmed decision is a standard operations is not to generate choice but can take out from the documented that already saved. Next an organizer should search the mission of a decision. In other words they need to define what is to be accomplished by it (Quick & Nelson, 2013). The decision criteria are important as mentioned by Dubrin (2002). The several criteria are consumers must aware of varies in quality of products, there not happen inflation, workers must consider the quality of improvements and lastly job satisfaction should not be reduce.
Making a decision is one of the main activities of a leader. Wren and Voich (Wren and Voich, 1994) believe that decision making is mandatory for successful execution of any managerial function.
Simon presented the bounded rationality as a result of human and organization constraints. He sees that the managers would not achieve the requirements of rational behavior. He observed that different types of decisions can be processed in different ways, namely: programmed decisions and non-programmed decisions. The programmed decisions category included decisions that occur frequently. Managers are used to these types of decisions and they already have developed some kind of protocols and procedures for making them. These decisions usually are left for the lower posts in the organizational hierarchy.
It is fairly difficult to define precisely the word decision but everybody agrees to have experienced the concept. Every human being thinks, rightly or wrongly, that in many occasions he has made a choice between different alternatives. The natural notion of human free will in choosing between various alternatives will be discussed in my paper. On the other hand, Ai (Artificial Intelligence) is the ability of a machine to think or act humanly or rationally. There are at least two basic views about AI. The first one states AI as ‘sciences of the artificial’ (Simon, 1969), or the science of developing machines performing human tasks. The view of AI has relatively few link with decision making to the extent that a machine cannot make a decision until and unless it has been programmed to do so. In other words, the concept of
Programmed decisions are type of decisions which are routine and repetitive, of which are within the frame work of organization policies and rules. Such polices rules are established in advance to solve a re- occurring problems within the organization. Such programmed decisions are usually taken at lower management level and tends to have a short-run impact on organization.