Problem solving vs decision making – what is the difference?

Running head: PROBLEM SOLVING AND DECISSION MAKING
PROBLEM SOLVING AND DECISSION MAKING
Name of Student
Name of University
Author’s Note

PROBLEM SOLVING AND DECISSION MAKING
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ABSTRACT
This report is based on the problem solving and decision making in operation management. In
order to prove the decision making and problem solving skills this report reflects the significance
of the decision making and problem solving. The report also provides the steps that a manger
needs to take in order to complete the decision making process. How to analyse the problem in
the company are also being provided. The models that can be used to mitigate such problem are
also being highlighted in this report.

PROBLEM SOLVING AND DECISSION MAKING
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Table of Contents
INTRODUCTION:..............................................................................................................4
IMPORTANCE OF DECISSION MAKING:.....................................................................5
STEPS FOR DECISSION MAKING AND PROBLEM SOLVING:................................5
 Analyse the Problem:.................................................................................................5
 Gather Information:...................................................................................................6
 Weigh Pros and Cons:...............................................................................................6
 Decide of the Solutions:.............................................................................................7
OPERATION MANAGEMENT:........................................................................................7
OPERATION DECISION MAKING:................................................................................8
SIGNIFICANCE OF DECISION MAKING IN OPERATION MANAGEMENT:..........9
 Pervasive Functions:..................................................................................................9
 Indispensable Component:.........................................................................................9
 Successful Operations of the Business:.....................................................................9
CHALLENGES OF DECISSION MAKING:...................................................................10
 Information Overload:.............................................................................................11
 Insufficient Information:..........................................................................................11
 Misidentifying the problem:....................................................................................11
 Overconfidence in Outcome:...................................................................................12
 Impulsiveness:.........................................................................................................12

PROBLEM SOLVING AND DECISSION MAKING
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 Options and Objectivity:..........................................................................................12
 Failed to Follow-up:................................................................................................12
SIGNIFICANCE OF PROBLEM SOLVING:..................................................................13
 Define the Problem:.................................................................................................13
 Generate Alternative Solutions:...............................................................................13
 Evaluation:...............................................................................................................13
 Implementation:.......................................................................................................14
DECISION MAKING MODEL:.......................................................................................14
 The Vroom-Yetton-Jago Decision Model:..............................................................14
 Decision Quality..................................................................................................15
 Subordinate commitment:....................................................................................15
 Time Constraint:......................................................................................................15
CONCLUSIONS:..............................................................................................................16
REFERENCES:.................................................................................................................17

PROBLEM SOLVING AND DECISSION MAKING
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PROBLEM SOLVING AND DECISSION MAKING
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INTRODUCTION:
In the business world the most important stakeholder for any company is the customer.
Meeting the customer expectations is one of the most important priorities for every business
entity. In order to meet the customer’s expectations the companies around the world perceives to
increase the degree of quality of their products and services. Quality of the product or service is
perceptual, conditional and subjective in nature. As per American Society for Quality, quality
can be defined as the ability to satisfy the needs of the consumers.
In order to perceive the quality of any product and service different processes are used.
Quality planning is the process of identifying the quality standards that are associated with the
products and services delivered by the organizations. It mainly determines the policies, standards
and many more in order to identify the quality gap. Organizations often go for quality assurance
after quality planning. In this process the quality of the products and services are being compared
with the quality standards. Organizations uses quality control process in order to move out the
products and services from the production line that does not performed as per the mentioned
standard. In order to improve the total quality of the products and services total quality
management is very much required. In order to manage the total quality of the organizations the
management needs to conduct the quality improvements programme that are done in planning,
training, field testing and auditing process of the product.
Problem solving and decision making are considered as the fundamental of total quality.
The right decisions are the key to solve the existing problems that nearly deteriorates the
performance of the organizations. There is a direct relationship between the decision making and
the quality of the products. If the management failed to take proper decisions then the quality of