Managers as Decision Makers

Managers as Decision Makers

1. Decision-Making Process

   • Step 1: Identifying the Problem
   • Step 2: Identifying Decision Criteria
     • Step 3: Allocating Weights to the Criteria
       • Step 4: Developing Alternatives
   • Step 5: Analyzing Alternatives
     • Step 6: Selecting an Alternative
       • Step 7: Implementing the Alternative
         • Step 8: Evaluating the Decision’s Effectiveness

2. Assumptions of rational decision making

   • Concepts of bounded rationality, satisficing, and escalation of commitment
     • Intuitive decision making

3. Intuition

   • Experience-based decisions
   • After-initiated decisions
   • Cognitive-based decisions
   • Subconscious mental processing
   • Values or ethics-based decisions

4. Types of Problems and Decisions

   • Structured Problems
   • Programmed Decision
   • Unstructured Problems
     • Nonprogrammed Decisions

5. Decision-Making Conditions

   • Certainty
   • Risk
   • Uncertainty
     • Maximax
     • Minimax
     • Maximin

6. Decision-Making Styles

   • Linear thinking style
   • Nonlinear thinking style

7. Decision-Making Biases and Errors

   • Heuristics
     • Overconfidence Bias
       • Immediate Gratification Bias
         • Anchoring Effect
           • Selective Perception Bias
             • Confirmation Bias
               • Framing Bias
                 • Availability Bias
                   • Representation Bias
                     • Randomness Bias
   • Sunk Costs Errors
   • Self-Serving Bias
   • Hindsight Bias

8. Decision

   • Choosing the best alternative,
     • -maximizing
       • -satisficing
   • Implementing
   • Evaluating

9. Practices Of Decision Making In The Arab World

   • Concept of Shura
     • consultative style

10. Guidelines for making effective decisions