Analysis of Managerial Decision Making Process: A Business Perspective

This report delves into the managerial decision-making process, highlighting its significance in business operations and success. It explores the process itself, emphasizing the need for careful examination of various business aspects before decisions are made. The report discusses the challenges faced by managers, such as communication gaps, time constraints, and resource limitations, and their impact on decision-making. It also examines the effectiveness of the decision-making process in achieving better results and increasing productivity. Furthermore, the report provides examples of common managerial decisions, particularly in competitive environments, where strategic planning and market research are crucial. The report concludes by emphasizing the importance of effective decision-making in navigating business challenges and achieving organizational goals.

PRINCIPLES OF
MANAGEMENT

Table of Contents
Managerial decision making process ..........................................................................................3
Greater challenges for using managerial decision making procedure.........................................3
Effectiveness of decision making process ..................................................................................3
Common managerial decision......................................................................................................4
REFERENCES................................................................................................................................5

Managerial decision making process
Managerial decision making procedure is one of the most difficult action or function of
manager, in which they need to examine each and every single aspects of business before
arriving to any decision because it directly impacts on business growth and success. All the
operations and structure of company depend on logical and effective decisions made by the high
authorities (Al-Kassab and et.al., 2014). Each and every person has to aware about the concept of
managerial decision making and its procedure that help to get the better outcomes, it is very
useful in current trends like, entrepreneurship, e-business world, globalization etc. Decision
making is process of identifying or finding any definite opportunity or problem in order to solve
them professionally through right ways. In other words, making decision is planning for
applicable actions. In filed of management, it is known as cognitive method which outcomes in
collection of set of activities form present multiple alternatives.
Greater challenges for using managerial decision making procedure
In the process of decision making manager face greater challenges due to communication
gap, lack of time, lack of resources and other.
Communication gap make difficulties in the procedure of decision making by
management authorities. In workplace without effective communication manager cannot make
any judgment and get positive outcomes. It is one of the greater challenge that influence upon
business productivity and profitability the most.
Lack of time make difficulties and make complex situation for management of business,
it occurs decision making process. This will pose most hard barrier for manager however, they
have to go through these times. Manager cannot give time to other activities of business which
affect on their productivity and profitability.
Lack of resource is one of the biggest challenge which has been faced by the manager of
company when they need to accomplish projects on time. They find it difficult to make decisions
due to lack of time, equipment and staff.
Effectiveness of decision making process
Managerial decision making procedure will use for taking all business decision because it
gives better results and increase productivity more than now (Nummela and et.al., 2014). This
process is very essential in business and can use in each decision for getting better outcomes.

With the help of this method, manager bring new ways to deal with issues and resolve conflicts
among workers and employee at workplace.
Common managerial decision
Common managerial decision for example, in context of competitive environment, In
business world competition environment get rise more and more in which each and every
organizations make some changes in their businesses structure and some of the companies make
effective decision that helps to run business effectively and remove all the barriers. In
competitive environment manager or high authority make their plans and strategies which help to
beat existing and new rivals and raise their position in marketplace at high platform. Manager
analysis external situation and conduct market research before reaching any decisions in
company.

REFERENCES
Book and Journals
Al-Kassab, J. and et.al., 2014. Information visualization to support management
decisions. International Journal of Information Technology & Decision
Making. 13(02). pp.407-428.
Nummela, N. and et.al., 2014. Strategic decision-making of a born global: a comparative study
from three small open economies. Management International Review. 54(4). pp.527-
550.
Tjader, Y. and et.al., 2014. Firm-level outsourcing decision making: A balanced scorecard-based
analytic network process model. International Journal of Production Economics. 147.
pp.614-623.
Online
Managerial Decision Making and Its Process, 2017.[Online].Available
through:<http://www.businessstudynotes.com/hrm/managerial-decision-making-and-its-
process/>