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A Decision-Making Model

Below is an example of a typical decision-making model:


Step 1 Recognition of Decision Requirement This means that you will
probably be faced
with a problem or opportunity both of which require a decision
Step 2 Diagnosis and Analysis of Causes Here you should consider what
actually occurred, why it occurred, how it occurred, to whom did it occur, what is
the urgency and how it is affecting other things. It is important that you consider
these issues before deciding to generate ideas
Step 3 Development of Alternatives Now its time for you to develop a list
of alternatives. We shall be looking at some decision-making tools later in this
topic but it is worth noting that what we call programmed decisions (i.e. those
that are easy to make) are often easy to resolve and generating ideas is easy.
Those decisions that are non-programmed decisions require a little more
creativity
Step 4Selecting an AlternativeThe best alternative you can choose is
obviously one which best fits your original objective. For non-programmed
decisions there may be some kind of risk associated with the decision and this is
sometimes referred to as the risk propensity or the risk you might be prepared
to take if there is an opportunity to gain an increased payoff
Step 5 Implementing Your Chosen Alternative This is where you have to turn
your decision into action so you need the resources and co-operation of those
affected
Stage 6 Evaluation and Feedback Once you have decided what to do and it
is turned into action, you need to gather information to make an informed
decision about whether the alternative you chose was right or not This stage will
also allow you to learn lessons from the whole process
NEC Model
1.
2.
3.
4.
5.

What is your objective?


Collect the relevant information
Generate feasible options
Make the decision
Implement and evaluate

Step 1: Define the objective


What is your objective in making this decision? What exactly are you trying to
achieve?
Step 2: Collect relevant information
Collecting and sifting relevant information can be a lengthy process, and you
may be tempted
to press on if there is information missing. However, if you do need particular
information, its
better to wait for it if you can.
Step 3: Generate feasible options

If youre brainstorming and need to help the process along, you could consider
using some
keyword triggers:
Interim what would put the situation on hold and allow some breathing space?
Adaptive how could you adapt the situation and make it normal?
Corrective how can you change things to bring plans back on track, or to
eliminate the problem?
Preventative how can you minimise risk?
Contingency what can you do to prevent a recurrence of the situation?
Step 4: Make the decision
First establish criteria to help you select your preferred option. You need to
narrow down the options to those that satisfy essential criteria, and then find
which one satisfies as many of the desirable criteria as possible. There is an
element of risk associated with any decision, and risk assessment can be a
highly mathematical process. In the main, more decisions are taken on the back
of experience than on the basis of mathematical calculation. Consider the
worst-case scenario and then look at how your options help mitigate that risk.
Step 5: Implement and evaluate
As with problem solving, you should plan carefully to introduce your decision and
then monitor and review it to make sure that its effective. Many organisations
try to encourage constructive risk taking and responsibility, but of course there
are various influences on how decision making and problem solving are managed
in practice.
Decision making Process -Hannagan

Or Robbins 2005

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