Unit III Group Dynamic

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    Decision Making

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    Meaning.

    Decision making is the process of choosing thebest from among the alternative solutions under

    a given set of circumstances.

    Decision making involves 3 aspects of human

    behaviour.Cognition Activities of mind associated with knowingConation (willingness, Desire)

    Affection (motion , temperament)

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    06/14/16 3

    Decisions and Decision Making

    Decision -choice made

    from available

    alternatives

    Decision Making the process of

    Identifying problems

    And opportunities and

    Then resolving them.

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    Goal

    Directed

    Alternatives

    Rational vs

    Judgmental

    Freedom to

    chose

    CHARACTERISTICS OFCHARACTERISTICS OF

    DECISIONS MAKINGSDECISIONS MAKINGS

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    FACTORS AFFECTING DECISION

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    TYPES OF DECISION

    Programmed and non-programmedPro

    grammed and non-programmed

    Programmed:-Programmed Decisions are

    ro!ine and repe!i!i"e and are made #i!$ !$e%rame#or& o% organi'a!iona( po(icies and r(e)

    Non- Programmed:-Non- programmed

    decisions are re(e"an! %or so("ing ni*e andnsa( pro+(ems in #$ic$ "arios a(!erna!i"escanno! +e decided in ad"ance) E"a(a!ion o%A(!erna!i"es are no! possi+(e %((,)

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    Programmed "s) Non-programmed Decisions

    C$arac!eris!ics Programmeddecisions

    Non-programmeddecisions

    T,pe o% pro+(em Structured nstructured

    Manageria( (e"e( !o"er #e$e# %%er #e$e#

    Fre*enc, Re%etiti$e Ne"&unusua#

    In%orma!ion Readi#' a$ai#a(#e A)(iguous orinco)%#ete

    Time %rame %orso(!ion

    S*ort Re#ati$e#' #ong

    So(!ion re(ies on Procedures&ru#es&and %o#icies

    +udg)ent andcreati$it'

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    TYPES OF DECISION

    S!ra!egic "s Opera!iona(S!ra!egic "s Opera!iona(

    S!ra!egic:-S!ra!egic decisions are re(a!ed !o nied.in!egra!ed and compre$ensi"e isses o% !$eorgani'a!ion) E)g di"ersica!ion. in!rodc!ion !o !$ene# prodc!)

    Opera!iona(:-Ro!ine ac!i"i!ies re(a!ed decision areopera!iona( decisions) E)g) sanc!ion o% incremen!.pa,ing o% +i(()

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    TYPES OF DECISION

    Ma/or and MinorMa/or and Minor

    Ma/or:- Decisions a0ec!ing o"era((organi'a!ion is !$e ma/or decision)

    Minor:-Decisions a0ec!ing on(, specic%nc!iona( area is &no#n as minor decision )

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    TYPES OF DECISION

    Simp(e and Comp(e1Simp(e and Comp(e1

    Simp(e:-Decisions in"o("ing (ess no o%"aria+(es !o +e considered)

    Comp(e1:-2arge nm+er o% "aria+(es areconsidered +e%ore !a&ing !$e decision)

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    TYPES OF DECISION

    2ong 3rn "s S$or!- rn2ong 3rn "s S$or!- rn

    2ong-rn:-Decisions !a&en %or !$e (ong rnp(ans) E)g Se(ec!ion o% candida!es %or !$epermanen! pos!)

    S$or!-rn:-Temporar, emp(o,ees se(ec!ionis s$or! rn)

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    TYPES OF DECISION

    Indi"ida( and GropIndi"ida( and Grop

    Indi"ida(:-Decisions !a&en +, indi"ida(se(ec!or

    Grop:-Decision !a&en +, pane(

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    C*aracteristics o, an E-ecti$eDecisionMaking

    It ,ocuses on "*at is i)%ortant It is #ogica# and consistent.

    It ackno"#edges (ot* su(/ecti$e and o(/ecti$et*inking and (#ends ana#'tica# "it* intuiti$e

    t*inking. It re0uires on#' as )uc* in,or)ation and ana#'sis

    as is necessar' to reso#$e a %articu#ar di#e))a.

    It encourages and guides t*e gat*ering o,re#e$ant in,or)ation and in,or)ed o%inion.

    It is straig*t,or"ard&re#ia(#e& eas' to use& and1e2i(#e.

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    3-14

    MAKINGMAKING

    Identifying and

    diagnosing

    the prolemGenerating

    alternative

    solutions!valuating

    alternatives

    !valuating

    the decision

    Implementingthe decision

    "a#ing the

    choice

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    Approac$es !o

    Decision ma&ing

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    T*e Intuiti$e

    T*e Rationa#

    A Satis3cing

    Po#itica# 4e*a$ioura#

    Incre)enta# Mode#

    Gar(age Mode#

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    Approac$esApproac$es

    In!i!ion T*e a(i#it' o, )anagers to (e %er,ect#'

    rationa# in )aking decisions is #i)ited (',acts suc* as5

    6 Inade0uate in,or)ation

    6Ti)e and cost constraints

    6 cogniti$e ca%acit'Managers seek a#ternati$es on#' unti# t*e'3nd one "*ic* #ooks satis,actor'& rat*ert*an seeking an o%ti)a# decision.

    1$

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    intuition

    Experience-based

    Decisions

    Affect-InitiatedDecisions

    Cognitive-Based

    DecisionsSubconscious

    mental processing

    Values or ethics-based Decisions

    Their past experiences

    eelings or emotions

    S!ills"!no#ledge" and

    trainingData from

    subconscious mind

    Ethical values

    and culture

    %hat is Intuition &

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    Decision)aker takes decision (ased onintuitions "*ic* is c*aracteri7ed (' t*e use o,

    *unc*es& inner ,ee#ings or t*e gut,ee#ing o, t*edecision)aker.

    T*e decision )aker "orking on t*is a%%roac*%ractices )anage)ent in t*e ,or) o, art.

    8e %re,ers *a(it or e2%erience re#ati$e t*inkingand instinct& using t*e unconscious cogniti$e%rocess.

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    Rationa# Decision Making

    A%%roac* Decision )aker is rationa# and

    inte##igent.

    Fu##' a"are o, a## a$ai#a(#e ,easi(#ea#ternati$es to )a2i)i7e ad$antages.

    Consider a## %ossi(#e c*oices

    Decide t*e )ost o%ti)a# a#ternati$et*at can (e ado%ted.

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    ''

    Rational

    Decision

    Making

    Rational

    Decision

    Making

    An optimal decision

    is possible

    An optimal decision

    is possible

    All relevant information

    is available

    All relevant information

    is available

    All relevant information is

    understandable

    All relevant information is

    understandable

    All alternatives are knownAll alternatives are known

    All possible outcomes knownAll possible outcomes known

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    Process

    Recogni7e t*e need ,or a decision

    Esta(#is*& Rank and "eig* criteria&

    Gat*er a$ai#a(#e in,or)ation and data

    E$a#uate eac* a#ternati$e

    Se#ect t*e (est a#ternati$e.

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    '4

    Satisficing

    decisionmaking

    Satisficing

    decisionmaking

    Time constraintsTime constraints

    Limited ability to

    understand all factors

    Limited ability to

    understand all factors

    nade!uate base

    of information

    nade!uate base

    of information

    Limited memory of

    decision"makers

    Limited memory of

    decision"makers

    #oor perception of factors

    to be considered

    in decision process

    #oor perception of factors

    to be considered

    in decision process

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    CONSTRAINTS ON DECISIONCONSTRAINTS ON DECISION

    MAKERSMAKERS

    Ethical$uman

    Economical

    (onstraints

    Technical%rgani&ational

    Political

    Environmental

    Social

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    GropDecision

    Ma&ing

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    Grou% Decision Making

    7ea&nesses o%Grop DecisionMa&ing

    More ti)e consu)ing.

    Con,or)it' %ressures ingrou%s.

    Discussion can (edo)inated (' one or a,e" )e)(ers.

    Decisions su-er ,ro)a)(iguous res%onsi(i#it'.

    S!reng!$s o% GropDecision Ma&ing

    Generates )ore

    co)%#ete in,or)ationand kno"#edge.

    O-ers increaseddi$ersit' o, $ie"s.

    Generates *ig*er0ua#it'decisions.

    !eads to increasedacce%tance o, a so#ution.

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    Indi$idua# $s. Grou% Decision

    Making In establishing objectives, groups are probably

    superior to indi$idua#s (ecause o, t*e greatera)ount o, kno"#edge a$ai#a(#e to grou%s.

    In identifying alternatives, the individual eortsof group )e)(ers encourage a (road searc* in$arious ,unctiona# areas o, t*e organi7ation.

    In evaluating alternatives, the collectivejudgement of the grou%& "it* its "ider range o,$ie"%oints& see)s su%erior to t*at o, t*e indi$idua#decision )aker.

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    In choosing an alternative, groupinteraction and the

    ac*ie$e)ent o, consensus usua##' resu#t in t*eacce%tance o, )ore risk t*an "ou#d (e acce%ted(' an indi$idua#

    decision )aker.

    Implementing a decision, whether or not itwas made by a grou%& is usua##' acco)%#is*ed(' indi$idua# )anagers.

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    E2*i(it 9> Grou% $s. Indi$idua#

    Decision Making

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    Grou%t*ink and Grou%s*i,t

    Grou%t*ink

    6 P*eno)enon in "*ic* t*e nor) ,or consensus

    o$errides t*e rea#istic a%%raisa# o, a#ternati$ecourses o, action.

    Grou%s*i,t

    6P*eno)enon in "*ic* t*e initia# %ositions o,indi$idua# )e)(ers o, a grou% aree2aggerated to"ard a )ore e2tre)e %osition.

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    S')%to)s o, Grou%t*ink

    I##usion o, in$u#nera(i#it'

    Assu)%tion o, )ora#it'

    Rationa#i7ation Stereot'%ing outgrou%s

    Mini)i7ed dou(ts

    I##usion o, unani)it'

    Mind guards

    Peer %ressure

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    Mini)i7ing Grou%t*ink

    Encourage grou% #eaders to %#a' ani)%artia# ro#e.

    A%%oint one grou% )e)(er to %#a' t*ero#e o, de$i#?s ad$ocate.

    Sti)u#ate acti$e discussion o, di$erse

    a#ternati$es.

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    C*a%ter 9& Nanc' !angtonand Ste%*en P. Ro((ins&

    @*at Causes Grou%s*i,t

    Discussion creates ,a)i#iari7ation a)onggrou% )e)(ers.

    Grou% discussion )oti$ates indi$idua#sto take risks.

    Grou% di-uses res%onsi(i#it'.

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    Degree O, Partici%ation

    E2%eriences

    E2%ertise

    Nature o, Task

    Di-erence o, o%inion

    O%enness o, Grou% #eader

    Org Cu#ture

    E)%#o'ee E)%o"er)ent and ,reedo)

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    Met*ods o, Grou% Decision

    )akingT*e )a/orit' "ins sc*e)e

    T*e trut* "ins sc*e)e

    T"o t*ird Ma/orit' sc*e)e

    First s*i,t ru#e

    Status Buo Ru#e.

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    MANAGING GRO

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    Tec$ni*es in GropDecision Ma&ing

    For de!ai( &ind(, re%era!!ac$ed PDF

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    :;

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    :;

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    :;

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    :;

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    :;

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    :;

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    :;s!ica!ion o%Pre"iosDecisions

    Posi!i"e ?a(e o%E1pec!edO!comes

    ProspectiveRationality

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    :;

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    :;

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    :;

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    :;

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    :;

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    :;

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    Grou% Consensus Decision

    Making Mode# Consensus is a st'#e o, decision )aking "*ere('

    %artici%ants are a(#e to arri$e at a decision t*roug*

    discussion in "*ic*

    6 A## Partici%ants $ie"%oints are considered

    6T*e 3na# decision is agreea(#e to a## in$o#$ed

    6 No ,or)a# $ote is taken t*e a%%ro$a# is unani)ous.

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    Points to re)e)(er in

    Consensus decision )aking Eac* %artici%ant )ust *onest#' state *is *er o%inion in

    co)%#ete )anner.

    T*e ,ocus on eac* o%inion is to )ake sure it is c#ear#'

    understood (' ot*er %artici%ants. Partici%ants )ust #isten care,u##'

    Its not a "in #ose situation& ,air discussion )ust (e t*eir.

    Partici%ants s*ou#d not su%%ort an agree)ent t*at t*e'

    *a$e o(/ection to.

    T*e grou% s*ou#d not %ressure indi$idua#s o%inion.

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    Process

    Ste%s5

    . S%eci3cation o, o%inions (' a## %artici%ants

    ;. C#ari,'ing state)ents t*roug* o%en discussion andcross 0uestioning.

    >. Discussion o, ideas continues unti# so)eone t*inksconsensus *as (een ac*ie$ed.

    H. A tria# decision is stated to c*eck )e)(ers o%inion.. I, it does not ste% ; re%eated

    K. I, a## agree consensus is ac*ie$ed.

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    Consensus is $a#ua(#e (ecause it

    increases creati$it' and in$o#$es a##

    )e)(ers o, t*e grou%.

    Takes )ore ti)e u% ,ront (ut eLcient

    on#' in #ong run.

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    Ro#e o, Faci#itator in Decision

    Making

    ) ilit ti i Eff ti

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    )acilitation unnin' Effective

    .eetin'%

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    T'%ica# Meetings

    Descri(e 'our grou%?s t'%ica# )eeting in> sentences or #ess

    6 @*at?s t*e (iggest c*a##enge6 @*at ,rustrates 'ou t*e )ost

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    @*at is Faci#itation

    Process ,or running )eetings or )akingdecisions in a "a' t*at is5

    6 S)oot*6 E-ecti$e

    6 Partici%ator'

    6 De)ocratic

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    T$e Faci(i!a!or is (i&e

    an orc$es!ra (eader)S$e or $e

    ms! &eep

    FACI2ITATORS ARE

    PROCESS MANAGERS

    GOO C O S

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    K

    GOOD FACI2ITATORS ARENE

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    @*' use ,aci#itation

    To in$o#$e %eo%#e

    To )ake )eetings )ore e-ecti$e

    To increase t*e nu)(er o, )inds "orkingon a %ro(#e)

    To sta' on task

    To kee% %eo%#e co)ing (ack to )eetings

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    @*at?s t*e risk o, not using

    ,aci#itation 4rainstor)

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    Ste%s to Faci#itation Success

    . C*oose a ,aci#itator

    ;. Set or re$ie" Ground Ru#es Grou%

    Nor)s>. C*oose ot*er ro#es as necessar'

    H. Start )eeting agendaDiscussion

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    Ro#es5 Faci#itator

    Ro#e de%ends on conte2t

    6 Faci#itator is NOT in contro#

    6 Faci#itator?s aut*orit' granted (' grou%6 ee% grou% on task

    6 Res%onsi(#e ,or Process NOT Content

    6 Make sure e$er'one is *eard

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    Ro#es5 Ti)eee%er

    Makes sure t*ere is a ti)e#i)it ,oreac* agenda ite)

    !et?s t*e grou% kno" "*en ti)e is

    a#)ost u% ee%s t*e grou% on task& a$oid

    tangents

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    Ro#es5 NoteTaker

    Record o, )eeting decisions

    T'%es and sends

    )inutes to%artici%ants

    Ca%ture To Do?s Due Dates

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    Ro#es5 Ji(es@atc*er

    ee%s and e'e on t*e energ' o, t*e grou%

    @atc*es ,or tension& can ca## a (reak or ta(#e an ite)

    Deesca#ates situations

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    E2a)%#e Ground Ru#es

    Decision)aking %rocess i.e.)a/orit'& consensus& etc.

    Stack or )odi3ed stack

    8and Signa#s

    4ikerack

    Goaround

    Don?t interru%t s%eaker Sta' on su(/ect

    4e concise& don?t re%eat ot*ers

    4e res%ect,u# and %o#ite

    Directed Buestions

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    4ring t*e MAPS ,or an E-ecti$eMeeting

    Materia#s

    Agenda

    Peo%#e

    S%ace

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    Ti%s ,or E-ecti$e Meetings

    Start and end 'our )eetings on ti)e

    ee% announce)ents to a )ini)u)

    Sit in a circ#e 8a$e an agenda and set ti)e #i)its ,or

    eac* ite)

    Encourage %artici%ation

    Don?t #et an'one do)inate

    se *and signa#s

    8a$e ,ood

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    Ti%s ,or E-ecti$e Meeting cont.

    Re$ie" decisions at t*e end o, t*e )eeting

    E$er'one #ea$es "it* a task ,or ne2t )eeting

    Rotate ,aci#itators Re$ie" groundru#es at t*e (eginning

    8a$e a signin s*eet

    Introduce ne" %eo%#e P#an t*e agenda ,or ne2t )eeting (e,ore 'ou

    #ea$e

    8AJE FNQQ Socia#i7e "it* %eo%#e a,ter"ards

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    < Ti%s ,or Faci#itating Discussion

    . Para%*rase

    ;. C*eck

    >. Co)%#i)ent

    H. E#a(orate

    . Energi7e

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    < Ti%s ,or Faci#itating Discussion cont.

    K. Disagree

    =. Mediate

    . Pu##

    9. C*ange

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    A#so re,er %g no 9 to 9H in 'ourcourse %ack

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