Posturparcel: Business Decision-Making Analysis & Solutions

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This report provides an analysis of business decision-making within Posturparcel, a UK-based delivery company. It examines the context and characteristics of decision-making problems, identifies issues in complex decision-making (including ethical aspects), and explores quantitative and qualitative decision-making models. The report utilizes the Vroom-Yetton-Jago Decision Model to assess decision quality, team commitment, and time constraints. Data collection methods, including questionnaires for primary data and literature reviews for secondary data, are described. The report identifies issues such as bounded rationality, escalation of commitment, time constraints, uncertainty, biases, and conflict. A qualitative methodology is employed for data analysis, with survey results presented and interpreted. SWOT analysis is used to evaluate Posturparcel's decision-making process, considering strengths, weaknesses, opportunities, and threats. The report also includes a competitor analysis and proposes problem-solving techniques and solutions to enhance Posturparcel's decision-making effectiveness.
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Business Decision Making
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TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Business decision making model...........................................................................................3
1.2 Plan of collecting data and issues in making complex decision-making...............................5
1.3 Selecting and using appropriate methodology for analysation of data..................................7
TASK 2..........................................................................................................................................11
2.1 Analysation of data gathered for the decision-making process for the consideration of the
compete......................................................................................................................................11
2.2 Business decision-making model.........................................................................................13
TASK 3..........................................................................................................................................14
3.1 Problem solving techniques and proposed solutions...........................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................17
APPENDIX....................................................................................................................................19
Questionnaire.............................................................................................................................19
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INTRODUCTION
Business decision-making is the process which is considered to be the step by step
process that allows the professionals to be able to solve problems with the help of examination
the alternatives and choosing the path that is able to define the process of an opportunity for
reviewing the decisions. In this project the given case study is about the Posturparcel which is
delivering company in the UK market. This project is going to be able to understand the context
of the business decision-making and characteristics of the decision-making problems. This
project will also be able to identify the issues that are involved in the making of complex
decision-making as an ethical aspect of the comparative values such as quantitative and
qualitative decision-making models. The needs of business problems for solving the problems
with a critical analysis will be explained. This project will be able to utilize the different
methodologies, tools and techniques for the analysation of the data and presentation of the
professional report.
TASK 1
1.1 Business decision-making model
The Vroom-Yetton-Jago Decision Model is a model that is considered to be the most
effective way of designing the ways in which it is going to be helpful for the identification of the
best decision-making approaches and leadership. This is also considered to be the model which
explains that there is no single process that is considered to be very fit for the making the
decision for an organization. However, this model has been able to explain the following factors
that needs to be kept in mind during the decision-making such as,
Decision quality :
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It can be said that the decision-making of the organization is depended on the large
number of resources that are considered to be informative in nature and are also able to ensure
the large number of actions. This is able to ensure the organization about their actions and also
be able top manage the quality of the decision-making (Lührs and et.al., 2018).
Team Commitment :
The actions which are related to the decision-making in the organization are known as the
impact that the team is able to make and also be able to manage the unnoticed factors which are
likely to impact the team. This is the factor that comes under the collaborative process that is
needed for this delivering organization to maintain the quality of their decisions.
Time constraints :
According to the operations of the organization the management of the time is very
important factor in the role of the financial decision-making (Field, 1979). This is considered to
be the areas which are included in the management of the factors that are able to boost the time
that is limited with the organization and is able to develop the strategies that has a limited
performance that needs to be undertaken.
In this model there are five different decision-making process that are explained with the
help of this diagram and the code A1, A2, C1, C2, or G2,
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Source : The Vroom-Yetton Decision Model, 2022
Autocratic A1
It is the stage in this decision-making tree in which the information has been already been
made for the decision-making for requiring the further input from the team of the organization.
Autocratic A2
For this the consultation with the team is needed and can also be able to obtain the
specific information about the needs of the financial decision-making of the organization (Jago
and Vroom, 1980).
Consultative C1
This is the stage in which the information of the team is able to analyse the situation that
then is able to ask the individuals about the group together for a discussion towards the financial
decision-making.
Consultative C2
It is also the factor that is able to analyse the group discussion about the issue that is able
to analyse the suggestion about the final decision that is able to manage the performance of the
information.
Collaborative G2
It can be said that the team is able to reach a group consensus that is considered to be the
factor that is responsible for the facilitation for of the teamwork and also helping the team
members for decision-making for the agreeing to all the operations.
1.2 Plan of collecting data and issues in making complex decision-making
The collection of the primary and secondary data for this business in order to make better
decisions will include the following,
PRIMARY DATA
Preparing Questionnaire:
The first step to collect the primary data would be to create questionnaire that is going
ask the survey respondents questions related to the business.
Survey Questions:
This will be a group of questions which are made for the respondents to respond upon.
This is going to help the business to gain the required responses for the researcher to record the
operations (Agénor and et.al., 2020).
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Statistical Interpretation:
The results that will be derived from the primary data will be able to manage and create
the information related to the study will be able to be analysed and presented in the statistical
form in order to be understood and made sense from.
SECONDARY DATA
Finding sources:
For the secondary data the collection of the sources of these data is very important for the
study and is going to be able to collected and gather information with related to the organization.
Reading and collecting information:
Collection of the information is considered to be the way in which it is responsible for the
organization to create new strategies that can develop the literature. In this step the researcher
will study the sources and recognize the key information related to the business (Rocque and
et.al., 2019).
Interpreting the information with support to the literature:
The information collected from these resources will be interpreted with the related to the
organizational operations and supported with the sources from which they will be collected.
ISSUES IN BUSINESS DECISION-MAKING
Following are the issues faced by an organization in the decision-making,
Bounded rationality
This is the issue the leaders face when they are incapable of understanding of the
alternative decision-making.
Escalation of commitment
It is the issue which arises with management or the leaders tend to remain loyal to the
poor decision-making and is hard for them remove themselves from the already bad decisions
taken.
Time constraints
It can be said that the little time is used for the collection of time and information for the
selection of the rationality and an effective decision-making in the organization.
Uncertainty
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This is the factor which is responsible to belief the outcome which is able to gain the
vision that is helpful for learning and being able to manifest the prospectives of the students (Cui
and et.al., 2019).
Biases
This issue occurs when the business is constantly trusting over the poor decisions that
they are making.
Conflict
In this issue there is conflict between the poor decisions that occur during the
organization that is related to the differences and in the personal and superior solutions.
1.3 Selecting and using appropriate methodology for analysation of data
The methodology that is selected for this report is going to be Qualitative Methodology.
In this methodology the investigation includes the collection and analysation of the existing
texts, including archival information from letters, diaries, newspapers articles and journals. It is
helpful for obtaining data though open-ended and conversational communication.
Data analysis :
For this methodology the data analysis is going to be done through the method of survey
for which the respondents will be selected randomly (Auslander and et.al., 2019.).
Data collection :
The data will be collected in both the primary and secondary forms. For the primary data
the survey questions will be prepared for the analysation of the information that will help in
highlighting the information.
Sampling :
For this research the random sampling method will be selected in which around 20
respondents are going to be selected
PRIMARY DATA
Data Analysis
Theme 1 The decision-making of Posturparcel is Transparent.
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It can be considered that the employee believe that the decision-making of this
Posturparcel is transparent in nature hence, it can be said everyone in the organization is able to
understand the decision, and they are made after considering everyone's interest.
Theme 2 This organization is always open to alternative decision-making.
Yes it can be said that this organization has been able to understand the better alternatives
if they are presented to this organization.
Theme 3 Culture of this organization is responsible for decision-making
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The culture of this organization has been considered to be the factor responsible for the
making of decision and can also be considered to be the factor that is responsible for influencing
the people involved in the decision-making.
Theme 4 Yes, this organization underestimates some factors before making decisions
This results shows that Posturparcel is considered to be the organization does not
consider all the factors while making the decisions.
Theme 5 The decision-making in the organization is in favour of the employees.
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The decision-making process of the organization is favouring the employees which is
good for being able to manage the performance.
Theme 6 No employees have no contribution to the organization
The finding from this survey questions explains that the employees does not have a say in
the decision-making of the organization. This is the factor which is considered to have negative
influence on the operations.
SECONDARY DATA
Literature Review
Close and et.al., (2019) explained that customers services is the first and more important
logistics operations. Hence, the customers decision-making of the organization is generally in
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related to the customers services. The strategy of the business depends on the decision-making. It
is considered to be applicable for the marketing and completing of the approaches. Panwar and
et.al., (2019) added that the purpose of the defining the customers services is the strategy which
impacts the influencing that is provided by the business. The determination of the customers
services is the standard of the performance that is helpful in the measuring of the performance
and its impacts.
According to Garg, (2018) involving the decision-making with employees is very
beneficial aspect for the business as it help the employees to contribute their understanding and
knowledge with the operations. This is the factor which is essential for the management of the
input. This is the factor that helps the business in the final decision-making of the organization.
Jussupow and et.al.,(2021) is also able analyse that the employees which are involved in the
decision-making in the decision-making making is able feel the contribution of their value. This
is the process that is able to manage the discussion that is helpful for working for fostering the
sense of teamwork and improving the relationship between the workers and themselves.
TASK 2
2.1 Analysation of data gathered for the decision-making process for the consideration of the
compete
The SWOT analysis will help in analysing the decision-making process of Post-ur-parcel,
Strengths The transparency that has been found in the decision-making of
this organization is the key factor to its strengths. This
organization making decision for the favour of the employees is
also helpful for this company.
Weaknesses Lack of role that the employees have with the decision-making of
this organization is a weakness that gives it lacks reliability in the
decision-making.
Opportunities Due to the transparency in the decision-making which is more or
less consistent the business will be able to gain growth in the
future.
Threats Not being able to understand the areas which needs to be
improved in the decision-making of the organization is facing
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major issues.
COMPETITORS ANALYSIS
The market of this Post-Ur-parcel is very competitive. The most popular delivery
company in UK is the Royal Mail which captures 52% of the market. There are other
organization such as DPD group, Hermes and others.
Market trends :
The growing e-commerce has been fueling the growth in the cross border parcel volume
for the proportion of UK adults that has been purchasing the online cross border has also
increased. Increase in the e-commerce has brought the company effective and popular parceling
of the delivering related to the growth of their operations (Spitz and et.al., 2018). Each day in
UK the delivery industry is making 14 million parcel delivery.
COST AND PROFIT
POSTURPARCEL
INCOME STATMENT
PARTICULARS AMOUNT
SERVICE REVENUE 75000
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LESS TRANSIT EXPENSES 40000
LESS SALARIES 3000
LESS OTHER EXPENSES 2000
NET INCOME 30000
2.2 Business decision-making model
The Rational decision-making model is the method that the organization, business and
individuals are used for making the bet decisions (Rational Decision-Making Model: Meaning,
Importance And Examples, 2021). This is the factor which is considered to be rational decision-
making one of the many decision-making tools that helps in making the most of the suitable
course action. For this organization this model success the following steps,
Understanding the defining the scope :
In this step the decision-making model suggests the business the gather the data of the
problem that has arisen in the organization.
Research and get feedback :
This next step decision-making model is to delve into the problem, for finding the factors
that are causing problems. It will help in finding solutions to the problem.
Listing choices :
Before making any decision it is important for the organization to understand the
different choices that the organization has for the problem that has been identified.
Analysation of options :
All the options that the organization has needs to be analysed carefully in order to
understand their effectiveness (Mwambi, Bijman and Mshenga, 2020).
Understanding wanted results :
For a business better decision can be made only when there is proper understanding of
the results which the business requires.
Backup plan :
One of the options needs to be kept as a backup plan which will help the business in the
realization of the organizational operations. This will mitigate the risk of a failed decision-
making.
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Implementation :
In this set the importance needs to be given to the process that will be used for the
implementation of the options that has been chosen as the solution for the problem (Chiheb,
Boumahdi and Bouarfa, 2019).
TASK 3
3.1 Problem solving techniques and proposed solutions
According to the above research it has been found that the issue in Posturparcel is related
to the decision-making of this organization. The competition in this organization's market does is
very high and the organizations decision-making toward it is not effective. In order to solve the
problem faced by this organization the problem-solving process will be used,
Defining the problem :
The problem this business is facing is the lack of involvement of employees in the
decision-making is the reason for poor competitive advantage. Hence, importance of employees
in the decision-making is important to gain competitive advantage. The employees when are
involved in such decision-making are able to feel more valued and recognized. This makes the
employees more engaged and productive as well therefore is more effective for the
organizational competition (Ershadi,, Aiasi and Kazemi, 2018). This problem is very big for the
organization as it can affect the employee retention practices.
Generating alternative solutions :
As the business is not able to involve the employees in all the decision it makes, the best
strategy would be to try to provide the organization with alternative solutions that are helpful for
the business to manage both privacy and employee engagement. Therefore, the business needs to
conduct surveys and collect feedbacks before making a critical decision in the organization to
gain competitive advantage. Encouraging teamwork will also be an effective solution to mitigate
this issue (Basuhail, 2019). Effective leadership can help the organization to provide the
employees the motivation that they need for gaining the success in the highly competitive
market.
Evaluate and select an alternative :
The evaluation of the selective alternative of the organization is considered to be the way
in which the business will be able to mitigate the issue of high competition. In this consideration
of the organization it will be focusing on the ways in which they can enable the operations of the
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organization towards the practices that bring competitive advantage. Hence, making the
employee more engaged will be the way in which the business would not have to engage the
organization in multiple practice yet be able to bring the organization competitive advantage.
This will provide the employees with motivation and also strategies for growth.
Implementing the follow-up solution :
The implementation of the solution of the business will be related to the factors that can
increase the employee engagement. For this getting to know the employees is considered to be
the way to get them engaged towards the operations of the competitive environment. In this
study the operations will also include the factors such as the providing them with the tools that
can help them improve the productivity. Supporting the employees financially is the factor that
can help them gain the recognition and also a level of value which is helpful for the encouraging
the employees and their operations. This is going to be very helpful for the organization to gain
competitive environment.
CONCLUSION
With the help of this project it can be concluded that the decision-making of Posturparcel
has been analysed as transparent and less effective due to the poor consideration of employees in
their decision-making impacting its competitive advantage. In this project the Vroom-Yetton-
Jago Decision Model for the identification of the key problem in the business has been used.
This project has explained with a plan the ways in which the primary and secondary data are
going to be used. This project has selected qualitative method and utilized the tools and
techniques required for the analysation of the information. In this project the data has been
gathered for the decision-making process is considered to be the factors which is able to
highlight the strengths, weaknesses, opportunities and threats. This project also analysed the
competition of the business. The rational business decision-making model has also been used for
this organization. This project has also said for identification of the problems such as lack of
practices to gain competitive advantages.
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REFERENCES
Books and Journals
Agénor, M., and et.al., 2020. Contraceptive beliefs, decision making and care experiences among
transmasculine young adults: a qualitative analysis. Perspectives on Sexual and
Reproductive Health, 52(1), pp.7-14.
Auslander, B.A., and et.al., 2019. A qualitative analysis of the vaccine intention–behaviour
relationship: parents’ descriptions of their intentions, decision-making behaviour and
planning processes towards HPV vaccination. Psychology & health. 34(3). pp.271-288.
Basuhail, A., 2019. e-Learning Objects Designing Approach for Programming-Based Problem
Solving. International Journal of Technology in Education. 2(1). pp.32-41.
Chiheb, F., Boumahdi, F. and Bouarfa, H., 2019. A new model for integrating big data into
phases of decision-making process. Procedia Computer Science. 151. pp.636-642.
Close, E., and et.al., 2019. Doctors’ perceptions of how resource limitations relate to futility in
end-of-life decision making: a qualitative analysis. Journal of Medical Ethics. 45(6).
pp.373-379.
Cui, B., and et.al., 2019. Chinese poultry farmers' decision‐making for avian influenza
prevention: a qualitative analysis. Zoonoses and public health. 66(6). pp.647-654.
Ershadi, M.J., Aiasi, R. and Kazemi, S., 2018. Root cause analysis in quality problem solving of
research information systems: a case study. International Journal of Productivity and
Quality Management. 24(2). pp.284-299.
Field, R.G., 1979. A critique of the Vroom-Yetton contingency model of leadership behavior.
Academy of Management Review. 4(2). pp.249-257.
Garg, H., 2018. Linguistic Pythagorean fuzzy sets and its applications in multiattribute decision‐
making process. International Journal of Intelligent Systems. 33(6). pp.1234-1263.
Jago, A.G. and Vroom, V.H., 1980. An evaluation of two alternatives to the Vroom/Yetton
normative model. Academy of management journal. 23(2). pp.347-355.
Jussupow, E., and et.al.,2021. Augmenting medical diagnosis decisions? An investigation into
physicians’ decision-making process with artificial intelligence. Information Systems
Research. 32(3). pp.713-735.
Lührs, N., and et.al., 2018. How participatory should environmental governance be? Testing the
applicability of the Vroom-Yetton-Jago model in public environmental decision-
making. Environmental management. 61(2). pp.249-262.
Mwambi, M., Bijman, J. and Mshenga, P., 2020. Which type of producer organization is (more)
inclusive? Dynamics of farmers’ membership and participation in the decision‐making
process. Annals of Public and Cooperative Economics. 91(2). pp.213-236.
Panwar, D., and et.al., 2019. Consumer decision making process models and their applications to
market strategy. International Management Review. 15(1). pp.36-44.
Rocque, G.B.,and et.al., 2019. What is important when making treatment decisions in metastatic
breast cancer? A qualitative analysis of decision‐making in patients and oncologists. The
oncologist. 24(10). pp.1313-1321.
Spitz, J., and et.al., 2018. The impact of video speed on the decision-making process of sports
officials. Cognitive Research: Principles and Implications. 3(1). pp.1-10.
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Online
Rational Decision-Making Model: Meaning, Importance And Examples, 2021[Online].
Available through: <https://harappa.education/harappa-diaries/rational-decision-
making/>
The Vroom-Yetton Decision Model, 2022.[Online]. Available through:
<https://www.mindtools.com/pages/article/newTED_91.htm>
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APPENDIX
Questionnaire
Q1 According to you the decision-making of Posturparcel is?
Transparent
Consistent
Both
None of the above
Q2 Do you think this organization is open to better alternatives in the decision-making?
Always
Often
Frequent
Sometimes
Never
Q3 Is the culture of the organization responsible for its decision-making?
Yes
No
Q4 Does Posturparcel underestimate some factors which affects it decision-making?
Yes
No
Q5 Is the decision-making of the organization in favour of the employees?
Yes
Sometimes
Never
Q6 Do you have a say in the decision-making of the organization?
Yes
Sometimes
Never
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