Decision-making is crucial in business management across all organizational levels and involves choosing alternatives based on values and preferences. The document outlines different types of decisions, factors affecting decision-making, the importance of planning, and strategies for effective decision-making. Key recommendations include training, responsible risk-taking, and the need to analyze information to enhance decision quality.

1. •Decision-making is a vital part of business
organization and management.
•Decision-making and Risk-taking happens
to all levels of the organizational hierarchy.

2. • Information
• Alternatives
• Criteria
• Goals
• Value
• Preference
• Decision Quality
• Acceptance

3. • Decision-making is the study of identifying and
choosing alternatives based on the values and
preference of the decision maker.
• Decision-making is the process of sufficiently
reducing uncertainty and doubt about alternatives
to allow a reasonable choice to be made from
among them.

4. • Programmed Decisions
• Non-programmed Decisions
• Strategic Decisions
• Tactical Decisions
• Operational Decisions

5. • Decisions Whether
• Decisions Which
• Contingent Decisions

6. – yes /
no, either / or decision that
must be made before we
proceed with the selection
of an alternative.

7. –
involve a choice of one (1) or
more alternatives from
among a set of possibilities.

8. –
decisions that have been
made but put on hold until
some conditions are met.

10. 1. Be honest
2.Accept the responsibility
3.Use time wisely
4.Have confidence

11. 1. Have unrealistic
expectations
2.Make “snap” decisions
3.Take unnecessary action
4.Fool yourself

13. 1. Continuous training and
development of managers in
decision-making skills.
2. Complete good information
about the problems and
alternatives.
3. Management skills in analyzing
information and handling its
shortcomings.

14. 4. Experience and natural
ability in decision-making.
5. Risks and attitudes to risk.
6. Human factors.

15. Internal Constraints
External Constraints

16. 1. Availability of funds and
resources.
2.Existing Business Policy.
3.People’s Abilities and
Feelings.

17. 1. Constitutional mandate, laws,
rules and regulations
2. Competitors
3. Lack of technology
4. Economic climate / condition

18. 5. Legislations
6. Lack of supplies (material
and manpower)
7. Lack of manpower
.
Lalic, Jennyleen B.

20. (1) Size up the situation
(2) Set goals and priorities

21. (1) Considered your option
(2) Don’t make unnecessary
decisions

22. (1) Use your time
wisely
(2) Seek advice
(3) Use all resources

23. (1) Be open
(2) Don’t judge
(3)Record your ideas

24. (1) Think Ahead
(2) Be Practical
(3)Be Creative

25. (1) Take action
(2) Inform others
(3) Follow up your plan

29. (1) Free discussion
(2) Developmental
discussion

31. 1. Recognize the problem
2. Analyze the problem

32. 3. Consider your goals
4. Look for alternative

33. 5. Select the best alternative
6. Put your decision
into action

36. 1.Become aware of your own and family’s values.
2.Develop sensitivity to the individual responses of
persons affected by the decision.
3.Be objective in viewing the problem that demands
decision.

37.  Decision that is REVERSIBLE- practice
making quick decisions when the
outcome involves only small changes.
 Decision that is NOT REVERSIBLE-
allow time to thoroughly consider all
alternatives.

38.  There are four major Benefits of Planning:
1. Planning allows the establishment of independent
goals.
2. Planning provides a standard of measurement.
3. Planning converts values to action.
4. Planning allows limited resources to be committed
in an orderly way.

40.  Only the risk takers are truly free.
 There is really no such thing as permanent
security in anything on earth.
 You are supposed to be afraid when you risk.
 Risk taking normally involves a degree of
separation anxiety.

41. 1. Decide whether the risk is necessary or desirable.
2. Risk for the right reasons and when you are calm and
thoughtful.
3. Have a goal.
4. Determine the possible loss as well as the gain.
5. Try to make an accurate estimate about the probability of each
case.
6. When possible, take one risk at a time
7. Use imaginary role playing to work through the various
possibilities, so that you will be mentally prepared for any
outcome.
8. Use a plan.
9. Act decisively.
10. Don’t expect complete success.

42. 1. Dismissing extremely remote or
unrealistic possibilities.
2. Insofar as possible, avoid catastrophes.
3. Recognize the tradeoffs.
4. Maximize expected values.