Psychology Presentation on Decision Making.

1. Presented by:
Malik Ahsan Nadeem (01-171212-038)
Ahmad Kamal (01-171212-044)
Aynur Malik (01-171212-014)
Amna Zafar (01-171212-078)
Saara Sohail (01-171212-060)

2. What is Decision Making?
 In its simplest sense, decision-making
is the cognitive process of choosing
between two or more courses of
action.
 In the wider process of problem-
solving, decision-making involves
using intuition or reasoning to
choosing between possible solutions
to a problem.

3. Intuition
Reasoning
 Intuition is using your ‘gut
feeling’ about possible courses
of action.
 It is worth taking your intuition
into account, because it reflects
your learning about life.
 It is, however, not always based
on reality, only your
perceptions, many of which
start in your childhood.
 Reasoning is using the facts
front of you to make decisions.
 Reasoning has its roots in the
here-and-now, and in facts.
 It can, however, ignore
emotional aspects to the
decision, and in particular,
issues from the past.

4. Problem solving Decision making
Problem solving vs. decision making
 Problem solving is a
complex analytical process
used to identify a possible
solution to the situation at
hand.
 Making decisions is a part
of problem solving.
 It is a choice made by using
one’s judgment.
 You may need to make
numerous decisions as part
of the problem-solving
process.

5. Cognitive thinking stages
 Psychologist Jean Piaget (1896-1980), divided cognitive
thinking skills that include decision-making and problem-
solving into 4 stages:
 He made the division according to age groups.
 We will observe how decision making is done at every stage.

6. Cognitive thinking stages
1. Sensorimotor (Birth to 2 years)
 Infants and toddlers make decisions based on
their senses (taste, feel, look, sound, and smell).
 Did it work the last time, or not?
2. Preoperational (2–7 years)
 Preschoolers make decisions based on how it
will affect them.
 No real experience to rely on and cannot see
another person’s point of view. (Egocentric)
 Curiosity leads to natural problem solving.

7. Cognitive thinking stages
3. Concrete Operational (7–11 years)
 The school-age child is now capable of
logic.
 Capable of thinking from different
perspectives.
 However decisions are still based on what
they have previously observed and
experienced.
4. Formal Operational (12+ years)
 The middle and high school child moves
toward a more abstract type of thinking.
 Imagination and intuition play a huge role.
 They don’t need to experience something
in order to understand it.

8. Cognitive thinking stages
5. Post-formal thinking
 Adult thinking is logical like formal
operational thinking
 But is more personal, integrative and
practical,
 So every factor (Intuition, Experience,
Emotion) goes into the decision
making process.

9. Types of Decision-Making Styles
 Directive
 The directive decision-making style
uses quick, decisive thinking to come
to a solution.
 A directive decision-maker has a low
tolerance for unclear or ambiguous
ideas.
 They are focused on the task and will
use their own knowledge and
judgment to come to a conclusion.

10. Types of Decision-Making Styles
 Analytical
 Analytical decision-makers carefully
analyze data to come up with a solution.
 They are careful and adaptable thinkers.
They will invest time to glean information
to form a conclusion.
 These decision-makers are task-oriented,
but have a high tolerance for ambiguity.

11. Types of Decision-Making Styles
 Conceptual
 These people are big picture thinkers who
are willing to take risks.
 They evaluate different options and
possibilities with a high tolerance to
ambiguity.
 Their conclusions come from visualizing
different opportunities and outcomes for
the future.
 They are strong in making long-term
decisions.

12. Types of Decision-Making Styles
 Behavioral
 A behavioral style of decision-making focuses
on relationships more than the task.
 These decision-makers rely on information
from others to guide what they choose.
 Their decisions are often based on how the
choice will impact relationships.

13. Steps in Decision Making
Step 1: Identify the decision
 You realize that you need to make a
decision.
 Try to clearly define the nature of the
decision you must make.
Step 2: Gather relevant information
 Collect all the pertinent information before
you make your decision.
 This step involves both internal and
external “work.” internal is gained through
self-assessment, while external comes
from people, internet, books and other
sources.

14. Steps in Decision Making
Step 3: Identify the alternatives
 As you collect information, you will
probably identify several possible
paths of action, or alternatives.
 In this step, you will list all possible
and desirable alternatives.
Step 4: Weigh the evidence
 Draw on your information and
emotions to imagine what it would be
like if you carried out each of the
alternatives to the end.
 As you go through this difficult
internal process, you’ll begin to favor
certain alternatives.
 Finally, place the alternatives in a
priority order, based upon your own
value system.

15. Steps in Decision Making
Step 5: Choose among alternatives
 Once you have weighed all the
evidence, you are ready to select the
alternative that seems to be best.
 You may even choose a combination
of alternatives.
Step 6: Take action
 You’re now ready to take some
positive action by beginning to
implement the alternative you chose.

16. Steps in Decision Making
Step 7: Review your decision & its
consequences
 In this final step, consider the results of
your decision
 Evaluate whether or not it has resolved the
need you identified in Step 1.
 If not repeat certain steps of the process to
make a new decision

17. Factors affecting decision making
 Personal factors
 Personal Demographics: age, gender, stages in
life cycle, education, occupation, economic
position, etc.
 Personal psychographics: includes lifestyle,
attitudes, self-concept, concern about status,
value systems, beliefs etc.

18. Factors affecting decision making
 Cultural factors
 Culture: combined resulted of factors like
religion, traditions, taboos, language, education,
upbringing, established pattern of social
behavior, values (core & secondary)etc.
 Sub culture: caste or social class: education
level, wealth, occupation, profession &
designation, location of residence, and values.

19. Factors affecting decision making
 Information
 Too much information or information
over-load creates confusion & delay in
decision making.
 Too little information creates doubts and
insecurity.
 Information, should be authentic and
adequate and must be available at time.

20. Factors affecting decision making
 Psychological factors
 Motivation: it all begins with needs
 Emotion: too much emotional attachment or
detachment has far reaching consequences
 Memory Process: include past experiences
even the hearsay experiences. People do
change their beliefs, faiths, likes & dislike which
happens through learning .

21. Video
https://www.youtube.com/watch?v=XtMMX4jZs2k