Question 3 OR (a)

Stages in the process of decision making, with an example

9 marks

Time to write
About 18 minutes
Topic
Decision-making
Notes
Crux notes

Question

Question 3 OR (a) · 9 marks

In the process of decision-making, what are the various stages? With the help of an example, discuss.

Reworded from the university paper; the task is the same. The original paper belongs to the University of Delhi. See DU's question bank.

Before you write

Read off the question and its marks

18 minfor 9 marks

Read from the question

  • exampleExamples are asked for: one short example with each point.
  • processA process: the steps in order, one heading each.

Write it in this order

  1. Read; underline the asks; jot your points 1 min
  2. 1 Meaning of decision making 1 mark 1 min
  3. 2 Stages, each explained 5 marks 9 min
  4. 3 Example applying the stages 2½ marks 5 min
  5. 4 Conclusion ½ mark 1 min
  6. Check: every ask answered, key terms underlined 1 min

Easy marks

  • Meaning of decision making (step 1, 1 mark): a definition in one or two lines. It opens the answer, so it takes a minute or two.

Short on time? Keep step 1 short. Trim steps 2 and 3 evenly rather than skip one: each is capped at its own marks. End with step 4 in a line or two.

Try it first. About 18 minutes for 9 marks. Write it out, then open the solution.

Solution

Hover or tap a marked figure, like 72,000, to see how it is made and where else it appears.

Meaning of decision making

Decision making is the process of choosing the best course of action from among alternatives to achieve an objective or solve a problem. It is at the heart of all managerial functions. Rational decisions follow a sequence of stages, which ensures that problems are understood, alternatives are considered and choices are carried out and checked.

Picture itStages in the process of decision making, with an example

1Stitching looks slow, but Kavita traces the pile-up back to the undyed fabric itself.

Pinning down the real problemThe real problem is found to be delays in fabric dyeing, not in stitching.

2Across the table the options go down on cards: new plant, outside unit, extra shift, buy ready-dyed.

Listing the optionsSeveral possible courses of action are listed.

3Handshake at the dyeing works—a second unit takes a share of the job.

ChoosingContract a second dyeing unit for 40 per cent of the work.

4Van loading on time, clipboard ticking—she tracks the shipments month by month.

Checking the resultsOn-time shipments are tracked monthly.

Stages in the decision-making process

  1. Pinning down the real problem. Something is not as it should be: sales are slipping, complaints are rising. The manager's first job is to say exactly what is wrong, because a symptom treated as the problem leads to the wrong cure.
  2. Gathering the facts and the limits. The manager gathers the records, figures and views that bear on the problem, finds out what is causing it and notes the limits of money, time and policy within which a solution must fit.
  3. Listing the options. Several possible courses of action are listed, using experience, research and creative techniques such as brainstorming; a decision with only one option is not really a decision.
  4. Weighing each option. Each option is tested against the same yardsticks, cost, benefit, risk, practicality and fit with objectives, with numbers wherever they can be had.
  5. Choosing. The option that does most for the objective within the limits is chosen. In practice, with limited time and information, managers often settle for the first option that is good enough, which Herbert Simon called satisficing.
  6. Putting the choice into effect. The decision is communicated, resources are allocated, responsibility is assigned and the people affected are prepared, so that the decision is accepted.
  7. Checking the results. Results are monitored and compared with expectations; if the decision is not working, corrective action is taken or the problem is redefined.

Example: the stages applied

A garment exporter faces frequent late deliveries to overseas buyers.

  1. Problem: shipments miss deadlines; the real problem is found to be delays in fabric dyeing, not in stitching.
  2. Information: records show the outside dyeing unit is overloaded and the firm has no backup supplier.
  3. Alternatives: (a) find a second dyeing unit; (b) set up an in-house dyeing section; (c) negotiate priority with the existing unit at a higher price; (d) buy pre-dyed fabric.
  4. Evaluation: (b) is costly and slow; (d) limits design choice; (c) gives no backup; (a) is affordable and spreads risk.
  5. Choice: contract a second dyeing unit for 40 per cent of the work.
  6. Implementation: purchase and production staff draw up the schedule; quality checks are agreed with the new unit.
  7. Follow-up: on-time shipments are tracked monthly; delays fall from one in four orders to one in twenty.

Conclusion

Following the stages systematically improves the quality of decisions. In practice, managers face limited time and information, so they must balance thoroughness with speed, but even then the sequence keeps decisions logical and accountable.

Where the 9 marks sit

#ComponentMarks
1Meaning of decision making1
2Stages, each explained5
3Example applying the stages2.5
4Conclusion0.5
Total9
Keyboard: ← → previous and next question, / search

Report a problemopens an email to admin@getkunji.com with the question ID201-Q3aORalready filled in.