Factors Affecting Decision Making in a Firm

This presentation discusses the different internal factors that affect decision making in a firm. It explores the influence of experience, qualification, internal obstacles, innovative thinking, duration, performance, direction, individual concept, and social factors on the decision-making process. The presentation also highlights the impact of these factors on the business environment and the overall performance of the firm.

TASK 4

INTRODUCTION
Every individual has difference in their thinking and
behaviour as well as in the way of doing. Hence, there will be
influences of various kinds of internal factors which are
affecting the decision making of the firm. Thus, these are as
follows:

EXPERIENCE AND
QUALIFICATION:
 In accordance with the operational activities in ford motor
co.
 there is need to various qualified employees who would
have the technical knowledge.
 The educational level of such employees and their
supervisors varies as well as it reflects in the work
performed by them.

INTERNAL OBSTACLES:
 There has been various conflicts between employees or the
managers which may be their personal issue of work
related obstacles.
 There will be requirements of the quality in Leaders to
handle such sort of interpersonal problems as well as they
must make effective decision to overcome such situations.

INNOVATIVE THINKING:
 If a leader is to creative and having the ability to
implement such innovation in the operational activities of
business than the Ford Motor Co. will be beneficial in
attaining the goals.
 These helps in motivating the workforce to use such
valuable ideas into the work performances as well as
implement changes in the operational activities of entity.

DURATION:
 Leaders must obtain the ability to make quick and
adequate decision making. This can be beneficial for Ford
Motor Co.
 if they face any problem or obstacles in the operational
activities which in turn will be sort out by the managers in
context with achieving the targets.
 Thus, the delay in taking necessary steps as to overcome
such problems will create more problems as well as
distract the workforce to make qualitative performances.

PERFORMANCE AND DIRECTION
 A poor direction as well as less effective performance of
workforce which in turn affects in appropriate decision
making.
 Hence, it can be said that there will be need of proper
guidance which in turn beneficial for workforce in having
the adequate work environment.
 If profitability of Ford Motor Co. do not meet any
operational expense as well as results the poor
performance of the business there is need to make the

INDIVIDUAL CONCEPT:
 There has been variation in the individual aspects and way
of handling any task.
 A leader cannot implement his ideas and thoughts over the
individuals without knowing their view and ideas.
 Thus, this will create non-satisfaction in employees
towards Ford Motor Co. and that will result in less
operational efficiency of the firm.

SOCIAL FACTORS:
 The decision making will be affected by variations in the
social and cultural aspects.
 Hence, if the employees do not able to understand the
language than he will not be able to understand his duties
which affects delays in the work.

M4 Analysing how such factors affects
business environment
 To have effective decision making in the premises as well
as have adequate leadership guidance than it will be
beneficial for Ford Motor Co.
 in motivating the workforce to make valuable efforts.
Hence, such operational variations will affect business
environment as well as which reflects in poor work
management and unfavourable outcomes.

REFERENCES
 Fransen, K. and et.al., 2017. Is perceived athlete leadership
quality related to team effectiveness? A comparison of
three professional sports teams. Journal of Science and
Medicine in Sport
 Strömgren, M. and et.al., 2017. Leadership quality: a
factor important for social capital in healthcare
organizations. Journal of Health Organization and
Management. 31(2). pp.175-191.