Basic Techniques for Decision-Making
Decision-making is a commitment actually, motivation, preparedness and determination to distribute resources persons, goods or equipment, money, time that cannot be redone. Between what you want to accomplish and decisions Clarification of lying problems.
- Uncertainty factors: All future is uncertain
- Alternative: Always consider multiple options
- Value judgment criteria: value trade-off is the responsibility of decision maker
It is also equally important to know the major advantages and disadvantages of decision-making.
Decisions that are highly satisfactory and logical
In strategic decision-making, it is necessary to think separately from "decision (decision)" and result or outcome. The decision is what we can control. On the other hand, outcomes actually occur as a result, and it is impossible to control the future uncertainty fully. We always want to get good (desirable) outcomes, but as long as there is the uncertainty of the future, there is always a danger of becoming a bad (undesirable) outcome.
The way we should take here is to devise measures to make the probability of becoming a good result as large as possible or making good decisions with a clear recognition of the balance between opportunities and risks, that is good results and bad consequences, that’s what it means. Good decision-making means "judgment criteria of value owned by the company, information about the future, judgment of the future, constraints of management resources and the probability of obtaining best results in the light of the skills held by the company, High-level decision making ".
Strategic management with emphasis on decision making
When deciding the direction of business or life in strategic management, the method called "quick trajectory correction" does not apply. It is because most of the cases that it takes too long to fix the results, and if the results are unfavourable, correct it if the result is not available, it is too late to make corrections. Also, the negative impact caused by the hand that struck in the form of "tentative" is too great. Therefore, here, it is important to decide the strategic direction, that is, the work to increase the quality of decision making itself. While it can be said that operational management is "management with emphasis on results", strategic management can be said to be " management with emphasis on decision making ".
Definition and essence of strategy
Finally, I would like to define the "strategy" when saying "strategy management". In decision management, since the essence of strategic management is considered decision-making, the base of the definition of the strategy is decided and defined as follows. Strategy is the gross body of decision (s) that will have a major impact on the long-term performance of the business or company.
Logical thinking is essential as a business skill. However, there are certain issues in business that cannot be solved by them alone. How can we identify these issues and how should we resolve them? Decision-making power cannot be brushed, but decision-making power is trained
When we hit the task which I could not solve with logical thinking last time, we introduced about ripening thinking that even ordinary people can find the solution.
As we read it, it was to follow the next three steps.
- First Step: Setting
The Time Limit First set the time limit of the decision. It does not mean that you can think about drowning even though it is thoughtful. There are two major ways to decide the deadline. One thing is to think until the very moment that "the value of the options now on board will drop greatly after this deadline." Secondly, I think to the point that the quality of thinking is judged to have no room to rise any further.
- Second Step: Framing the Problem (Framework Setting)
Next, framing the problem. Whether you are an individual or an organisation, "When will you be happy?", Think about what happiness will happen, and list and organise tournaments and concerns for that, grab the full picture of the task. There may be more than one "happy figure" at this time, and in fact, there are many such cases.
- Third Step: Extraction of Study Elements In
Addition, I will wash out the specific options of "What should I do to realise the appearance that I will be happy when that happens?" Furthermore, consider the uncertainty that "When choosing that option, at what probability will it be so?" Furthermore, we will clarify the value judgment scale of "Is it happy for me?" And measure the relative joy in the light of the value judgment scale for each scenario of options and uncertainty. Give them all and make a final decision. The examination is done so far; the last is to choose according to your own heart.
In the third step of ripening thought, there is the last thing to make a "decision". The determination power and decision-making power are different things.
If you say the ability to make decisions, you will have an image that the top decides at a certain moment with heroic leadership. However, in fact, there is not much that can be done at the moment of decision. Matters to consider, such as the purpose and choice of the decision in the first place, have been sorted out before that. Even if there are multiple choices, talk about deciding either. It is because there are merit and a disadvantage in either way. Decisions can be said to be done in extremely low degrees of freedom.
However, it is cool to have a confident full-faced look and answer before and after the decision. We acknowledge that the performance showing such determination will be effective at the later stage of implementation. "When deciding properly", everyone is consciously convinced, but only in a certain sense is saying what is commonplace.