Influencing and Making Decisions: Reflective Analysis
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This study covers the range of decision-making tools, self-reflection of personal decision-making skills, and the different styles, methods, concepts, and models of decision-making. It also includes the levels of rationality and intuition utilized in the reflective section.
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Running head: INFLUENCING AND MAKING DECISIONS Influencing and Making Decisions [Assessment 1: Reflective Analysis] Name of the student: Name of the university: Author note:
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1INFLUENCING AND MAKING DECISIONS Executive summary This study is aimed at understanding the decision-making process from the range of styles, models, concepts, and theories of decision-making. A decision-making capability is indeed important for managers to tackle the types of circumstances they are explored to. The paper explains the types of styles, methods, concepts, models etc. to explain the range of available options for managers in regards to decision-making. The paper also covers my personal experiences of decision-making. My style of the decision process is being compared with styles which are popularly known in the context of managers. The report folds up by highlighting the levels of rationality & intuition being utilized in the reflective section and a conclusive section at the end.
2INFLUENCING AND MAKING DECISIONS Table of Contents 1. Introduction..................................................................................................................................3 2. Body.............................................................................................................................................4 2.1 Usefulness of a range ofdecision making tools....................................................................4 2.2 Self-reflection of decision making.........................................................................................8 2.3 Finding stylesof decision making.......................................................................................10 2.4 Comparison..........................................................................................................................11 2.5 Respective levels of rationality andintuition utilized.........................................................13 3. Conclusion.................................................................................................................................14 References......................................................................................................................................16 Appendix........................................................................................................................................19 1. Myers-Briggs Type Indicator (MBTI)...................................................................................19
3INFLUENCING AND MAKING DECISIONS 1. Introduction Most recently so many talks and studies have started pouring into to identify and understand how managers, in particular, make the decisions. It actually means studying the ways which probably encourages managers to make decisions. The classical view supported by a rational decision-making model is useful; however, it fails to explain the whole process involved and how managers make decisions. Decision making is much more subjective which follows tacit knowledge, intuition, a combination of judgments and heuristics (Karimi, Papamichail & Holland, 2015). Decision making of managers has often been the influence of the deliberative mode of decision making. A deliberative mode uses the explicit knowledge from various resources. However, the decision-making styles have changed in the 21stcentury. Managers in the 21st century are much more inclined to an intuitive mode of decision making. An intuitive mode of decision making follows the implicit knowledge. Intuitive managers unconsciously access to information or knowledge stored in memory for a long-term. It is commonly being found that managers are not very honest with one particular mode of decision making. They rather gravitate betweendeliberativeandintuitivemodeofdecisionmakingdependingontheirmoods. Managers are deliberative when they are not in good mood. On the other hand, managers are intuitive when they are happy and have everything going right for them (Carter et al., 2015). This study is aimed at understanding the usefulness of the range of decision-making tools. It also covers a self-reflection of the personal decision-making skills. Personal decision making requires an understanding of the self-capabilities which anyone can know provided that they refer to Myers-Briggs Type Indicator (MBTI). MBTI is a theoretical guide to conduct a
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4INFLUENCING AND MAKING DECISIONS personality test under the number of variables. Those variables in the MBTI are set in the form of questionnaires indicating the different psychological preferences. 2. Body 2.1 Usefulness of a range ofdecision making tools DecisionscanbecategorizedintotwocategoriessuchasprogrammedandNon- programmed decisions. Programmed Decisions: Such decisions are made repetitively on a routine basis. In cases where programmed decisions are useful, there is no need to think of other ways. Procedures to make decisions in case of programmed decisions are on most occasions already laid out. Examples for programmed decisions include but are not limited to such as pricing standard, customer orders, noting down the office supplies and deciding the billing dates (Osunlana et al.,2015). Non-programmed Decisions: These are such decisions which are novel or new. Such decisions cannot be made based on the established models or tools. This is because it follows new circumstances which had never occurred before. Definitely, the decision-making process for such cases will involve a very complicatedprocessandareverypronetorisk&uncertainty.Itactuallyrequiresthe entrepreneurial skills in managers to construct a robust decision which is benefitting to the company and to the stakeholders & shareholders also. Examples include such as entering a new market, technological advancement and changing the strategic directions.
5INFLUENCING AND MAKING DECISIONS There are different types of models, techniques, and concepts of decision making are available. Following is the list of such models, techniques, and concepts: Rational Model: This is presumably good for unambiguous and clear problems. The model assumes that single and well-defined goals can be made with this model. It also considers that the entire alternatives are known and that there cannot be the best model than this. It assumes that the model will deliver the clear and stable preferences. The model does not produce any constraints in terms of cost and time. The model assumes that decisions made with the help of this model will maximize the payoff (Lent et al., 2017). Criticism:According toShepherd, Williams & Patzelt (2015), the rational model does encourage all the decisions being made on a rational basis. The model does not also make the preferences clear. Most problems and goals are not well defined with this model. It is totally unpractical to know all the alternatives. Cost and time constraints are integral to decision making and do exist in all practical problems. In most cases, results are not that maximum as the model assumes. Bounded Rational Model: The model does not require too much of ideas; it rather requires a very limited set of criteria. The model assumes that there are possibly a very limited number of alternatives. Alternatives are accessible one at a time till the moment a convincing alternative is identified. It also assumes that politics does influence the commitment and acceptance of decision (Govindan et al., 2015). Nominal Group Think: The concept facilitates and encourages all team members to take part in the decision making process. However, team consensus is still maintained during such times. The technique involves a structured decision making which means that it deals with
6INFLUENCING AND MAKING DECISIONS planned problems. Since the decision making is structured, so, every member of the different teams is asked to contribute with their list of comprehensive ideas. The techniques ensure that all members are equally involved in the decision-making process (Lent et al., 2016). Delphi Technique: This is very much the similar technique as that of Nominal Group Think. However, an utmost reliance over the group is avoided in this model. The model encourages the members for their comprehensive ideas. However, decisions are made on logical conclusions only. The approach is quite similar to NGT in many respects; however, it differs remarkably in regards to the meeting of decision-makers. One of the greatest advantages of the Delphi technique is that it avoids a number of biases. It also helps to avoid the number of obstacles which are associated with meeting face-to-face (Costanzo & Di Domenico, 2015). Stepladder technique: This is really useful in cases where group members are not uniformly united in the decision making process. The technique rather encourages an unequal participation of groups. However, the technique is made efficient by classifying based on the set variables and allocating any new entrant in the most deserving core group (Mardani, Jusoh & Zavadskas, 2015). The technique helps all to participate and produce the valuable outputs. Deliberative, Intuitive and Considerative modes of decision-making: Managers before the 21stcentury were much more reliant over“Deliberative Mode”of decision making. This consumes a less time and is based on explicit knowledge (Williams, 2017). Such managers make a good analysis of the available resources before coming to a conclusion. The mode was long considered as the preferred way of making the decisions. However, the needs for a fast processing of ideas and the decision-making process were felt by managers in the 21stcentury. Therefore, Intuitive mode of decision making came into the existence.
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7INFLUENCING AND MAKING DECISIONS “IntuitiveMode”followstheimplicitknowledgetoencouragetheunconscious cognition in managers. Decision-making in such a way does not take too much of time to happen. Contemporary managers normally have access to fewer data only. On the other hand, they are pressurized for making rapid decisions. They are not privileged to use the deliberative mode which encourages a proper case-analysis before coming to the solution. Problems have become more complex and the demands to get the solution fast have both been the worries for managers. Surprisingly, managers are both deliberative and intuitive depending on their moods. They are deliberative when they are not satisfied with something and are in bad mood. They follow the intuitive way to make decisions when they are happy and in good mood (Child & Hsieh, 2014). “Considerative mode”can help in analyzing the outcomes of the decision. It does not only enable managers to identify the probable impacts of the decision but also maintains a balance between deliberative and intuitive mode of decision-making. The considerative mode can be used along with deliberative and intuitive modes in situations that are highly complex and contextualized also (Costanzo & Di Domenico, 2015). In such cases, social values have an important role to play. Moreover, this is the one case where all Deliberative, Intuitive and Considerative modes can be used. Myers-Briggs Type Indicator (MBTI): It is a theoretical assessment of self-personality in the form of set of questions which mainly covers the different forms of variables. Anyone can appear for an online MBTI test. Notably, its results are held valid and reliable as well. This is indeed a good way to know oneself and to identify where the one is standing in terms of decision-making (Sample, 2017).
8INFLUENCING AND MAKING DECISIONS GaryKlein’sNaturalisticDecisionMakingModel:Themodelinvestigateshow naturallythedecision-makingskillsareborninpeoplewhoworkunderchallenging circumstances. It means how people such as fire-fighters, nurses, military commanders, pilots, design engineers, and petrochemical unit managers make the kinds of decisions and utilise their experiencetocopewiththecircumstances.Challengingconditionscanincludesuchas uncertainty,time-pressure,highstakes,vaguegoals,teamcoordinationrequirementsand organizational constraints (Klein, 2015). 2.2 Self-reflection of decision making On looking to the various styles of decision-making techniques and modes, I could realize that I could have effectively handled the situations in past had these techniques and modes were known to me. My life has taught me quite a good thing. I wanted to become a doctor to help those who are not able to access medical treatments due to their socio-income status. The decision had risks and I had no idea of where I will land a few years down the line. Additionally, no one at my home belongs to that background. This was an additional fear to me that whether I will be able to break the trend. During my entire career from schooling to the graduate college and to become a professional doctor, I have remained associated with quite a number of decisions. Some of the decisions were good while others were not. One of the biggest challenges which I faced was when I had needed to select the best degree college to pursue the medical studies. I did not make an extensive research and just on the basis of the few comments from my friends, I decided to take the admission into a medical college. Later on, I came to realize that the college is not that good and will not prove to be a profitable factor for my career. In just a few times, I decided to apply to another college which
9INFLUENCING AND MAKING DECISIONS was far much better than I was into. My decision was very much an intuitive not the deliberative and Considerative. According to the MBTI test, I am more an intuitive than a deliberative and a Considerative. The deliberative method could have encouraged me for an extensive research whereas Considerative method could have informed me of its outcomes. I failed to appropriately handle the entire circumstances. According to the Naturalistic Decision Making Model, I lacked those skills which experienced decision-makers utilise to cope with challenging circumstances. Vague goals and coordination of the Naturalistic Model appear were probably the two prominent challenges (Klein, 2015). I have made some successful decisions also. The decision to switch to another college straightaway after realizing the need for the change was one of the successful decisions which I have made so far. The decision was full of risk and could have also failed to deliver. However, I had made a lot of studies prior to relocating to the other college. The deliberative mode of decision-making has helped me immensely. I can say that the deliberative mode of decision- making is a potential option in cases where data matters the most. My incident was about readmission to another college. Things to consider prior to an admission in a college are the fees structure, the reputation, and the infrastructure. I did analyze all these factors and was able to reach a conclusion that I should move to the other college. I did the specialization course after completing the medical studies. I was pretty sure on what could be a better career for me and for the purpose that I carry into my mind. I had always wanted to serve the community around me with good quality treatments. This is never possible with just a medical degree and no other specialization being attached to it. The decision was successful as today I am able to effectively treat the needful people. Moreover, there will be more others who will follow me and would come to the same profession. Hence, the productivity
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10INFLUENCING AND MAKING DECISIONS of quality of doctors will also grow. The decision which I took is not just helping me to enjoy a good career but has actually opened up ways for others to walk on. 2.3 Finding stylesof decision making There are a number of decision-making styles which are normally being practiced. Below is the description of all such styles (Rezaei, 2016): Directive: Autocratic leaders do use the directive style of decision making. Such leaders have their tendency to behave aggressively. They are so much aggressive that they build upon the decision making just by basing a minimal amount of information. Leaders following the directive style of decision process do have a less tolerance for even a small amount of vague information. Conceptual: It is suitable for managers or leaders who rely much on data. They need the extensive data to actually reach a conclusion. It is very time-consuming. The type of decision- making process is important for leaders who need to prove their position and establish an identity. Hence, by doing a thorough analysis of the available data such leaders craft the decisions which are productive and valuable as well. Managers in this pattern of decision making are very creative and innovative as well. Analytical: The kind of decision making is possessed by managers who have a very high tolerance for vague information. They also research the extensive set of data. In cognitive terms, these managers will be called as complex. It is also a very time-consuming process. A huge amount of time is consumed in analyzing the extensive set of data.
11INFLUENCING AND MAKING DECISIONS Behavioural: Managers who follow the behavioral style of decision making are very characteristic in nature and have democratic relations with peers. They make decisions while also keeping a note of its outcomes. It means that they take full care of the fact that employees are not hurt. They try to manage a balance between the staffs and the management. 2.4 Comparison As mentioned earlier in the reflective section, I am intuitive in the context of decision making. An intuitive person is a fast decision maker. The person does not even make a lot of research on the data before the commencement of the decision. They just react to the implicit knowledge to make a decision. Comparing with the directive style of decision-making: In the directive style of decision-making, managers are autocratic in nature. They are very aggressive at work. They make decisions just on the basis of a very minimal amount of data. I also seem like possessing the very same character as evidenced by the reflective section on my own experience of decision-making. The examples of my failure and success reveal both my characteristics of getting involved in both short-term and long-term research works. There were instances as such as the case when I preferred a not so very competitive college for my medical studies. However, the decision to switch to the specialization course post completion of the medical course does reflect a deliberative mode of decision-making in me. I had researched extensively and then decided that the chosen field is a potential option both for my personal satisfaction and for the wellbeing of the community. The directive style of managers is very less tolerant of vague information. I do also have the similar kind of nature as at times I am not very patient with vague information.
12INFLUENCING AND MAKING DECISIONS My style versus conceptual style: These managers are very keen on gaining an organization-wide recognition. This is the reason they are very conceptual in their decision-making approach. They make a lot of research to identify the best feasible decision. They want to ensure that their decisions receive less criticism, so that; they are able to build up the trust. To fulfill the needs, they also make extensive research. On the other hand, I have a very different style of approach to decision- making. I normally do not make a lot of research. In some cases, I prefer to make a good research at times such as when I did it to select a specialization course after a bachelor in medical studies. I am also not in a state to prove anything to others. I just trust my work & the potentials and that according to me matters the most in making the most of the difference. Comparing my style with analytical style: These managers are very complex according to cognition. They conduct an extensive research for making the decision and also have a high tolerance for vague information. Such managers are very complex according to cognition. Decision-making in this way will be a time- consuming process. I am personally not in a favor of such kind of decision-making capabilities. I am very less tolerant of vague information which means I do not entertain even a bit of mistake. Extensive research is also not a part of my life. I sometimes do it; however, the rate of occurrence of such a decision-making process is not very high. Managers with such decision- making approach follow largely the deliberative mode of the decision process. My style and behavioral style of decision-making: Behavioral managers in terms of decision-making are very different from conceptual, analytical and directive managers. The difference is in regards to the decision-making process as
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13INFLUENCING AND MAKING DECISIONS well as in the thought process. Managers who follow this approach are also very good with its peers. Such managers give preferences to groupthink. Moreover, decisions are made in a way that there are no disturbances or troubles are caused to employees. It means that these managers are focussed on the outcomes also while they are crafting a decision. Managers who follow the behavioral style of decision process do also follow the considerative mode of decision making. I am also very keen on making decisions after when I am fully satisfied with it. In most instances of my decision-process, I usually identify the probable outcomes. Hence, I am to some extent very similar to these kinds of managers. 2.5 Respective levels of rationality andintuition utilized Decision-makingcouldbebothrationalandintuitionalsodependingonthe circumstances. The rational approach is more about following a sequential process for decision- making whereas intuition is just based on feeling and cognition. In practicality, managers are needed to be intuitive at times. This happens when irregular or unplanned problems occur. In such cases, managers are not left with any other option than to go with intuition style of decision- making.Judgmentisanimportantpartofdecision-process.Managersareneededtobe judgemental and decide the best approach to reach the conclusion (Adam Cobb, 2016). They cannot be scripted at all the time. On some occasion, they rather need to be creative and innovative in their approach to the decision process. Judgments can be affected by the range of factors such as values, experiences, emotions, and attitudes. Judgment heuristic decision making governs some simple rules and probable shortcuts to guide managers arrive at valuable decisions. It helps to cut the excessive information which certainly delays the process.Heuristic decision making must also introduce the elements of bias, so that, effective outcomes are attained. The following list of bias can be considered (Hoefer & Green Jr, 2016):
14INFLUENCING AND MAKING DECISIONS Representative heuristics Availability heuristics Anchor heuristics Decisions can be made both with the help of rational and intuition style of decision-making. The rational approach follows an analytical way derived from sequential steps. On the other hand, intuition follows an emotion or personal temperament based approach. The reflective section covered in this report on my role in the decision-making process is a mixture of both intuition and rational approach. I was rational when I decided to switch over to another college finding the existing as incompetent. On the other hand, I was intuitional when I decided to pursue a specialization course after a bachelor in medical studies. I was rational again when I made a good picture of how to head for the dream destination. In was intuitional when I relied upon the comments from my few friends regarding the college to pursue the medical degree. At that time, I was required to behave rationally, so that, effective analysis on colleges is done prior to taking the admission. 3. Conclusion In summary, this can be said that there is the number of concepts, models, techniques and styles which can be used to craft the decision-making. On a broader note, decision-making can be divided into two categories such as ‘Rational’ and ‘Intuition’. Decision-making is coverable with three different styles which vary with the types of managerial skills and are “Deliberative”, “Intuitive” and “Considerative”. I am, as a decision-maker, a mixture of both deliberative and intuitive style of decision-process. “Directive”, “Conceptual”, “Analytical” and “Behavioural” are the four different styles followed normally by the types of managers. My characteristic in the
15INFLUENCING AND MAKING DECISIONS reflective section has displayed both the ‘Rational’ and ‘Intuitive’ types of decision-process in me.
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16INFLUENCING AND MAKING DECISIONS References Adam Cobb, J. (2016). How firms shape income inequality: Stakeholder power, executive decisionmaking,andthestructuringofemploymentrelationships.Academyof Management Review,41(2), 324-348. Carter, J. W., Falco, M. H., Chopko, M. S., Flynn Jr, W. J., Wiles III, C. E., & Guo, W. A. (2015). Do we really rely on fast for decision-making in the management of blunt abdominal trauma?.Injury,46(5), 817-821. Child, J., & Hsieh, L. H. (2014). Decision mode, information and network attachment in the internationalization of SMEs: A configurational and contingency analysis.Journal of world Business,49(4), 598-610. Costanzo, L. A., & Di Domenico, M. (2015). A Multi‐level dialectical–paradox lens for top management team strategic decision‐making in a corporate venture.British Journal of Management,26(3), 484-506. Govindan, K., Rajendran, S., Sarkis, J., & Murugesan, P. (2015). Multi criteria decision making approaches for green supplier evaluation and selection: a literature review.Journal of Cleaner Production,98, 66-83. Hoefer, R. L., & Green Jr, S. E. (2016). A rhetorical model of institutional decision making: The role of rhetoric in the formation and change of legitimacy judgments.Academy of Management Review,41(1), 130-150.
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