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THE DECISION MAKING PROCESS

THE DECISION MAKING PROCESS. by Andrea Martone. Definition. The decision making process is the individuation of the alternative solutions to achieve the right solution. 2. Models of decision. Rational Normative-heuristic Garbage can Unconscious – intuitive. 3. Rational model.

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THE DECISION MAKING PROCESS

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  1. THE DECISION MAKING PROCESS by Andrea Martone

  2. Definition The decision making process is the individuation of the alternative solutions to achieve the right solution 2

  3. Models of decision Rational Normative-heuristic Garbage can Unconscious – intuitive 3

  4. Rational model Pareto 4

  5. Rational model According to this model the decision-makers are completely objective and have all the information 5

  6. Logic sequence PROBLEM IDENTIFICATION The real situation and the wished one don’t match ALTERNATIVE SOLUTION RESEARCH Find and evaluate the different possibilities in terms of costs, risks and benefits SOLUTION CHOICE Choose the best solution Create the condition to a real realization of the decisions CHOICE IMPLEMENTATION 6

  7. Essential requirements The problem is clear and not ambiguous A single well-defined goal can be identified All the alternatives are known (and the consequences) The preferences and the needs are clear, recognized and immutable Time and sources are numerous and acceptable The decision will be implemented with everyone’s support 7

  8. Heuristic-normative model Simon 8

  9. Heuristic-normative model Bounded rationality Satisficing Heuristics 9

  10. Limitated rationality The amount od information that the decider can elaborate is limitated Aiming to a manageable amount of information (suboptimal). 10

  11. Satisficing Adoption of a satisfying alternative 11

  12. Euristic presence Empiric rules or short-ways used to riduced the needs of infamation elaboration Representativeness Heuristic Avaliability Heuristic 12

  13. Euristic … some experiments

  14. Garbage can model M. Cohen G. March J.P. Olsen 14

  15. From problems in search of solutions To solutions in search for problems

  16. Garbage Can Model The model is formed by 4 elements Solutions (different from the problems) Problems to solve Choice among the solutions Partecipants in process and their priorities 16

  17. Unconscious – intuitive model Dijksterhuis 17

  18. Unconscious – intuitive model There are some decisions the you make without thinking In the more complex decisions, instinctivity is more succeded 18

  19. Decision making…a case of literature 19

  20. INDIVIDUAL DECISIONAL STYLES GROUP INVOLVEMENT, PARTECIPATION and DECISION TECNIQUES Type of decision model

  21. Tha valutation of the group process • Dissense • Partecipation • Satisfaction

  22. Some points on the decision making • The dissent must be encouraged because the comparison must be true; • The decisions are only a little part of the final result; • The decision making has a strong characterization of creativity • The quality of the decision must be tested in the long period

  23. Some points on the decision making • The main mis-understanding on the decision making is about that it is considered as an individual process • The key-point is precising that the decisor not always have all information to make the best possible decision

  24. The more common tactic errors • Persuasion: using the expert’s opinion to convince your co-workers on a already-made decision The abuse of persuasion modify the perception of the actions until the manipulation • Order: guidelines that announce decisions regarding something on which the co-workers haven’t been consulted The abuse of orders weaken the social credit acquired through positive and proper behaviors

  25. Factors that influence the decisions • The decisions are affected by the individual features • The group members make sometimes decisions that couldn’t make individually • The group discussions tend to encourage the individuals to take extreme positions; • The problem of much cohesive group is, instead, determined by the fact that they focus on the research of consensus, rather that on the identification of the better decision

  26. Factors that influence the decisions • The group thought can be avoided if: • The member have been encourage to show dissent; • During each meeting, somebody play the role of the devil lawyer; • There’s the effort to understand the others’ points of view; • Experts are invited; • There’s add time to express the last doubts. • Other solutions can be: • Working simultaneously on the positive image of the group and on the research better performances; • Drawing procedures to encourage the members to develop discussions and alternative hypothesis.

  27. Factors that influence the decisions • The negative feedback not always represent a deterrent for individual and groups that support bad decisions; • The escalation of commitment, indeed, is the process finalized to the investment of further sources on the same bad decisions; • In these cases, the solution is located in the ability of developing an objective analysis taking the distance from those elements that previously have lead to take that kind of solution.

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