Decision Making

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Decision Making

• GXEX1406
• Thinking and Communication Skills

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Decision Making

• Definition
• The process for arriving at a decision.
• Decision making ? an everyday task!
• Focus on
• What is the process/procedure that makes a good
  decision making?
• What are the tools/techniques to aid decision
  making process?

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Decision Making Process

• 1. What is the problem/decision to be made?
• Problem definition?
• Objectives to be fulfilled?
• Problem boundaries?
• Example Decide whether extra work hour should be
  encouraged?

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Cont.

• 2. What are the possible options/ alternatives?
• Look for new alternatives/options/ideas or
  courses of action.
• Available technique
• PMI (Edward De Bono)
• It is a powerful thinking tool for the generation
  of alternatives, options or courses of actions.
• P Plus or Good Points
• M Minus or the Bad Points
• I Interesting or the Interesting Points

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Cont.

• PMI technique begins with the Plus followed
  by the Minus and finally the Interesting
  points (attention directing tool)
• The interesting point consists of neither
  positive nor negative reasons/ideas etc. It
  explore possibilities that may be outside the
  usual realm of pro or con.
• Example
• P What if extra work hour is encouraged..?
• M What if extra work hour is discouraged..?
• I What if extra work hour is normal?

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Cont.

• 3. What options/alternatives are best?
• Using generated options/ alternatives, do
• a) consequences of each option/ alternative
• Make predictions as to the consequences of each
  option or course of action, i.e. what if extra
  work hour was encouraged or discouraged?
• Support each prediction with credible evidence,
  i.e. what evidence do I have that extra work hour
  should be encouraged or discouraged?
• Support with statistic, survey, expert opinion etc

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Cont.

• Available technique
• The ALU (Scott and Donald)
• It is a technique for idea finding.
• A Advantages
• L Limitations
• U Unique Connections

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Cont.

• ALU technique
• Advantages From the list of possibilities ask
  what advantages does each alternative offer? What
  are its strongest points? What makes it
  attractive or appealing?
• Limitations Next ask, what limitations are
  there? Are there obvious flaws or weaknesses to
  be overcome if we work with this alternative/
  course of action? Are there possible trouble
  spots?
• Unique Connections Finally, ask yourself. Does
  this alternative/idea suggest any new or unusual
  connections I was not aware of before? Are there
  any hidden potentials here?

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Cont.

• b) value of each consequence
• Rank each consequence according to priority based
  on a value system.
• 4. Selection of best option
• Compare the various options/ alternatives based
  on their consequences.
• Decide which is the best option/ alternative.

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Cont.

• 5. How to implement the decision?
• Establish what is need to implement the decision
  (resources allocation).
• List action steps for implementation (including
  people involved)
• If possible, include contingency plans for known
  risks.

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Summary

• Decision making process
• 1. What is the problem/decision to be made?
• 2. What are the possible options/ alternatives?
• 3. What options/alternatives are best?
• 4. Selection of best option.
• 5. How to implement the decision?