For BCA and BBA Student

1. Simon Model Of Decision Making
Saumya Som
BWU/BCA/17/207
BCA-D(1st Semester)
Teacher- UTTIYA BASU

2. Brainware University

3. CONTENTS
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Decision Making
Effective Of Decision Making
Importance Of Decision Making
Simon's Model
Steps Of Simon's Model
Conclusion

4. Decision Making
Decision Making Is The Process Of Making A Choice Between A
Number Of Options And Committing To A Future Course Of
Actions.
"Decision-making Is The Selection, Based On Some Criteria From
Two Or More Possible Alternatives.“- George R.Terry
"A Decision Can Be Defined As A Course Of Action Consciously
Chosen From Available Alternatives For The Purpose Of The
Desired Result" -J.L. Massie

5. IDENTIFY THE DECISION
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3
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GATHER RELEVANT
INFORMATION
IDENTIFY THE
ALTERNATIVES
WEIGH THE EVIDENCE
CHOOSE AMONG
ALTERNATIVES
REVIEW YOUR DECISION
& ITS CONSEQUENCES
TAKE ACTION
EFFECTIVE
OF DECISION
MAKING

6. IDENTIFY THE DECISION
YOU REALIZE THAT YOU NEED TO MAKE A DECISION.TRY
TO CLEARLY DEFINE THE NATURE OF THE DECISION YOU
MUST MAKE. THIS FIRST STEP IS VERY IMPORTANT
03
GATHER RELEVANT INFORMATION
COLLECT SOME PERTINENT INFORMATION
BEFORE YOU MAKE YOUR DECISION: WHAT
INFORMATION IS NEEDED,THE BEST
SOURCES OF INFORMATION, AND HOW TO
GET IT.
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02
IDENTIFY THE ALTERNATIVES
AS YOU COLLECT INFORMATION,YOU WILL
PROBABLY IDENTIFY SEVERAL POSSIBLE
PATHS OF ACTION, OR ALTERNATIVES.
EFFECTIVE OF DECISION MAKING

7. 04
CHOOSE AMONG ALTERNATIVES
ONCE YOU HAVE WEIGHED ALL THE EVIDENCE,YOU ARE
READY TO SELECT THE ALTERNATIVE THAT SEEMS TO BE
BEST ONE FOR YOU.
TAKE ACTION
YOU’RE NOW READY TO TAKE SOME
POSITIVE ACTION BY BEGINNING TO
IMPLEMENT THE ALTERNATIVE YOU CHOSE
IN STEP 5
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REVIEW YOUR DECISION & ITS CONSEQUENCES
IN THIS FINAL STEP, CONSIDER THE RESULTS
OF YOUR DECISION AND EVALUATE
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.
07

8. A
BETTER UTILISATION
OF RESOURCES
B FACING PROBLEMS
AND CHALLANGES
C BUSINESS GROWTH
D ACHIEVING OBJECTIVES
E INCREASES EFFICIENCY
F FACILITATE INNOVATION
G MOTIVATES EMPLOYEES
IMPORTANCE
OF DECISION
MAKING

9. 03
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02
IMPORTANCE OF DECISION MAKING
BETTER UTILISATION OF RESOURCES
DECISION MAKING HELPS TO UTILISE THE
AVAILABLE RESOURCES FOR ACHIEVING THE
OBJECTIVES OF THE ORGANISATION.
FACING PROBLEMS AND CHALLANGES
DECISION MAKING HELPS THE ORGANISATION
TO FACE AND TACKLE NEW PROBLEMS AND
CHALLENGES. QUICK AND CORRECT DECISIONS
HELP TO SOLVE PROBLEMS AND TO ACCEPT
NEW CHALLENGES
BUSINESS GROWTH
QUICK AND CORRECT DECISION MAKING RESULTS IN
BETTER UTILISATION OF THE RESOURCES. IT HELPS THE
ORGANISATION TO FACE NEW PROBLEMS AND
CHALLENGES. IT ALSO HELPS TO ACHIEVE ITS
OBJECTIVES. ALL THIS RESULTS IN QUICK BUSINESS
GROWTH

10. 04
05
06
07
ACHIEVING OBJECTIVES
RATIONAL DECISIONS HELP THE
ORGANISATION TO ACHIEVE ALL
ITS OBJECTIVES QUICKLY
INCREASES EFFICIENCY
RATIONAL DECISIONS HELP TO INCREASE
EFFICIENCY. EFFICIENCY IS THE RELATION
BETWEEN RETURNS AND COST
FACILITATE INNOVATION
RATIONAL DECISIONS FACILITATE
INNOVATION.
MOTIVATES EMPLOYEES
RATIONAL DECISION RESULTS IN MOTIVATION
FOR THE EMPLOYEES.WHEN THE RATIONAL
DECISIONS ARE IMPLEMENTED THE
ORGANISATION MAKES HIGH PROFITS

11. Herbert A. Simon developed a model of
decision making.The model consisted of
three steps, intelligence, design, and choice.
In the intelligence phase, the problem is
identified, and information is collected
concerning the problem.This can be a long
process, as the decision to be made comes
from the information.The design phase
develops several possible solutions for the
problem. Finally, the choice phase chooses
the solution.
SIMON'S MODEL

12. THE INTELLIGENCE PHASE
THE DESIGN PHASE
THE CHOICE PHASE
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03
02
Simon’s Model Of Problem Solving

13. SIMON'S MODEL
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THE INTELLIGENCE PHASE
THE DESIGN PHASE
THE CHOICE PHASE
The intelligence phase consists of finding,
identifying, and formulating the problem or
situation that calls for a decision. This has
been called deciding what to decide
The design phase is where we develop
alternatives
In the choice phase, we evaluate the
alternatives that we developed in the
design phase and choose one of them

14. CONCLUSION
ALL DECISION-MAKING INVOLVES ELEMENTS
OF RISK AND REWARD. FOR EVERY DECISION
THERE ARE RISKS. MANY ORGANISATIONS ARE
STRUCTURED SO THAT MAJOR DECISIONS ARE
TAKEN AT THE HIGHEST LEVELS. THIS IS
BECAUSE DECISIONS AT THE TOP CAN HAVE
MAJOR EFFECTS FOR THE WHOLE
ORGANISATION. AT THE TACTICAL AND
OPERATIONAL LEVELS, THE RISKS ARE
SMALLER.