Depending on the situation, programmed and non-programmed decisions can be distinguished in the personal decision framework. On the one hand, the former has an applied rule of dealing with recurring problems. On the other hand, the latter are unstructured, made on poorly defined challenges, and likely cause important consequences. Therefore, programmed decisions are made in certainty because all information is available, unlike non-programmed language that is faced with the uncertainty of the amount and value of available information.
Generally, decision-making models are divided into two groups: ideal, or rational, and political. The ideal, rational model of decision-making is aimed at achieving pre-determined goals for the problems defined, and information and alternatives are extensively evaluated in this model. In contrast, managers who choose political models have distinct interests and hence the need to build a coalition to agree on a specific decision. Due to the diverging interests, information may be ambiguous and incomplete.
Effective decision-makers engage a six-step process to ensure the successful outcomes of the process. The first step is the identification of the decision requirement by highlighting the opportunity or challenge to be addressed. After identification, external and internal analysis of the causal factors to produce alternatives is applied. Further, the alternatives are compared and evaluated by assessing and anticipating the possible solutions (Abdel-Basset et al., 2019). The most suitable option is then selected after comparing the different outcomes. The chosen decision is implemented, and the relevant administration, management, and infrastructure are allocated. The final step is decision evaluation by gauging the feedback and comparing the results with the prospected outcomes.
High ambiguity, overconfidence, and the influence of first impressions are risk factors that cause managers to make bad decisions. Uncertainty makes managers take uninformed decisions on investment and priorities, which leads to losses and failures. Brainstorming, evidence-based management, and after-action reviews are innovative methods aimed at preventing managers from poor decision-making. Generally, brainstorming is used to generate ideas, and after implementing this technique, managers have a more complex understanding of the problem following the contributed ideas. Evidence-based management relies on multiple sources of researched information and empirical evidence, thus having a higher likelihood of inducing more accurate results than brainstorming. Finally, after-action reviews allow analyzing the causes and effects of problems or solutions and then discussing what went well or should be changed in the future.
Abdel-Basset, M., Manogaran, G., Mohamed, M., & Rushdy, E. (2019). Internet of things in smart education environment: Supportive framework in the decision‐making process. Concurrency and Computation: Practice and Experience, 31(10), e4515. Web.