Decision making involves selecting between two or more alternatives based on criteria. It is a creative process that requires applying intelligence and experience to identify and solve problems. The key aspects of decision making are: 1) Identifying problems and collecting information on available alternatives. 2) Analyzing the alternatives using principles like marginal theory and considering limiting factors. 3) Selecting the best alternative and implementing the decision while monitoring its effects. Good decisions are action-oriented, goal-directed, and efficiently implemented. Common challenges include ensuring accuracy, effective communication, participation, and timely implementation. Decisions can be programmed, non-programmed, major, minor, operative or organizational.

1. Decision making
PRESENTED BY:
VISHWANATH IYER
VINKAL PATHAK
VAIDEHI PATEL
DIPALI CHAMPANERY
HETVI VORA
KAVISHA SHAH
ASHUTOSH VYAS

2. Decision Making
 ‘‘Decision making is the selection based on some criteria from two or more possible
events.’’
- George R. Terry
 “It is a process involving information, choice of alterative actions, overcoming it is
his mission. Whether outcome is a consequence of luck or wisdom, the moment of
decision making is without doubt the most creative event in the life of the
executive.”
- John Mac.donald

3. Characteristics of Decision Making
 It is a selection process
 Decision making is the end process.
 It is the application of intellectual abilities to a great exist intelligent man alone can take
good decision.
 It is a situational.
 Decision making is a dynamic process.
 Decision is taken to achieve the objective of the organization.
 Decision making involves evaluation of available alternatives.
 A decision may be both positive or negative.

4. Elements of Decision making
 A problem is fully analyzed and the available alternatives are considered before taking
decision.
 The best decision making requires intelligence, experience and insight in to problem
 A decision is taken according to environment of business.
 Centralization and decentralization affect decision indirectly.
 The psychology of an individual involved in decision making .
 A decision discloses the preference, intellectual maturity, experience, educational standard,
social and religion attitude, optimism or pessisum and status of decision maker.

5.  Decisions are taken when they are needed.
 As soon as the decisions are taken, they must communicated to the concerned persons.
 Employees are also involved in decision making process.
 Political and social environment of business affect the decision making.

6. Decision making process
Identification of
problem
Diagnosing the
problem
Collection and
analysis of
information
Discovery of
alternative
course of action
Analyzing the
alternatives
Screening of
alternatives
Selection of
best alternatives
Conversion of
decision into
action
Implementation
and verify the
decision

7. Principles of decision making
 Marginal theory of decision making
 Mathematical theory
 Psychological theory
 Principle of alternatives
 Principle of limiting factors
 Principle of participation

8. Characteristics of good decisions
 Action orientation
 Goal direction
 Efficiency in implementation

9. Problems in decision making
 Accuracy
 Environment for decision
 Timely decision
 Communication of decision
 Participative decision making
 Implementation

10. Types of decisions
 Programmed decisions
 Non-programmed decisions
 Major decisions
 Minor decisions
 Operative decisions
 Organizational decisions

12. THANK YOU…!!..