The main stages of management decision-making

Any decision – that is the responsibility and decision-making – it is the responsibility doubly because of management decisions depends on the efficiency of the whole organization and the people working in it. The decision-making process – the whole complex of works. The decision must go through several stages of preparation to be accepted to execution. The main stages of management decision-making:

1.The collection and analysis of information on situations requiring decisions. You should try to collect the most accurate and complete information, using multiple sources. Then the quantitative component of the total volume of information it is advisable to turn into qualitative ones.

2. The specification of goals. An experienced Manager should be able to identify priority goals, in accordance with which further highlighted the tools, resources and factors that affect the situation.

3. The stages of managerial decision-making would be incomplete without the development of the evaluation system. Each head their approach  to the assessment of the situation and their criteria for management decision-making based on experience and knowledge.

4. Analysis of the situation allows you to set certain factors that have influence on this situation

5. Diagnosis of the situation. This stage sometimes includes as a component of the situation analysis. This step determines the importance of the problem, the possibility of the influence of this problem on production processes. For making the right management decisions, this diagnosis must be adequate.

Recommended

Staff evaluation: system and methods

Personnel Assessment allows you to identify how competent the employees involved in the enterprise, and it is the performance of their work – the most significant factor affecting the efficiency of the company. To clarify the impact of performa...

How to start your own business: important aspects.

Many people, tired of working for someone else, are increasingly thinking about how to start your own business. Someone wants to open a salon, someone store, and someone enough and vegetable stalls. Before you throw in the pool with his head, it is i...

Business activities. its essence and basic functions

The Entrepreneurial activity of the citizen – is undertaken at your own risk and independent activity, which aims to systematically profit through the sale of works, goods, services, use of the property. The citizen engaged in such activities, ...

6. Create a forecast of future developments. All the stages of managerial decision-making in varying degrees, depend on the ability of the head to predict the further development of the situation. Forecasting of the situation allows you to define multiple solution options.

7. What happens at the seventh stage, namely the generation of alternative solutions. All previous stages of managerial decision-making should serve as the basis for this stage.

8. The choice of management option impacts and weeding unnecessary. After the culling of inefficient or ineffective options, left one, maximum two options for further exposure.

9.  Develop prospective scenarios of the further development of the situation. After making any management decisions, the situation will evolve rapidly, so rapid response to changed circumstances, you need to identify the main trends of its development in time.

10. Expert assessment of the likely impact of management options. This assessment will allow managers to rank the impact of subject evaluation system is to identify the level of expected goal achievement, assess the material costs that will ensue as a result of the anticipated scenarios.

11. Collective expert assessment is recommended when decision making. They allow you to bring a reasonable basis for effective decision-making.

12. The development plan allows to develop a complex of measures on implementation of administrative decisions in life.

13. Monitoring solution allows you to monitor further developments and respond quickly to any emergency deviations from the adopted scheme.

14. Analysis of the obtained results enables to evaluate the effectiveness of the decision and possible development potential of the organization.

All these stages of decision-making is preceded by a phase of managerial influence. What better and more efficient managerial influence, the more efficiently the organization operates in economic terms. On the basis of the evaluation and analysis of economic indicators to assess the efficiency of the head.