Management decisions
Contents
Introduction p, 2
Management Decisions p, 2-3
Strategic p, 2
Tactical p, 2
Operational p, 2
Structured and unstructured p, 3
The decision Making process p, 3-4
Normative Model p, 3
Descriptive Model p, 3, 4
Factors Affecting Decision Making p, 5
Internal Factors
External Factors
Conclusion p, 6
Recommendations p, 6
Reference List p, 7
Appendix 1 p, 8
Appendix 2 p, 9
Introduction
Paragon is a decentralized organisation as it has relatively few layers of management, with few centralized policies and procedures. The lack of management structure within the organisation has led to a haphazard and unstructured approach to decision-making. Strategic decisions are being made by departments and are failing to consider the needs of others. Counterproductive decisions are being made in relation to the future of the business. In order to help Paragon to understand the main fundamentals of decision making, and apply it to their company this report will be looking at the different types of management structures, explaining the decision making process, and reviewing the internal and external factors that can have an impact on the decision making of an organisation.
Management decisions
There are different levels of decision making within an organisation, which include strategic, tactical and operational. (Appendix 1)
Strategic decision-making determines the goals and purpose of a whole organisation, and is concerned with the long-term overall direction. These types of decisions are normally the responsibility of top management. Decisions at this level have an effect on how a business will relate to external environments. These types of decisions are normally not very specific as they must be applied to all levels in an organisation. For Example a strategic decision might be to focus efforts on a new product or to increase production output. These types of decisions are often complex and the outcomes uncertain as the
Introduction p, 2
Management Decisions p, 2-3
Strategic p, 2
Tactical p, 2
Operational p, 2
Structured and unstructured p, 3
The decision Making process p, 3-4
Normative Model p, 3
Descriptive Model p, 3, 4
Factors Affecting Decision Making p, 5
Internal Factors
External Factors
Conclusion p, 6
Recommendations p, 6
Reference List p, 7
Appendix 1 p, 8
Appendix 2 p, 9
Introduction
Paragon is a decentralized organisation as it has relatively few layers of management, with few centralized policies and procedures. The lack of management structure within the organisation has led to a haphazard and unstructured approach to decision-making. Strategic decisions are being made by departments and are failing to consider the needs of others. Counterproductive decisions are being made in relation to the future of the business. In order to help Paragon to understand the main fundamentals of decision making, and apply it to their company this report will be looking at the different types of management structures, explaining the decision making process, and reviewing the internal and external factors that can have an impact on the decision making of an organisation.
Management decisions
There are different levels of decision making within an organisation, which include strategic, tactical and operational. (Appendix 1)
Strategic decision-making determines the goals and purpose of a whole organisation, and is concerned with the long-term overall direction. These types of decisions are normally the responsibility of top management. Decisions at this level have an effect on how a business will relate to external environments. These types of decisions are normally not very specific as they must be applied to all levels in an organisation. For Example a strategic decision might be to focus efforts on a new product or to increase production output. These types of decisions are often complex and the outcomes uncertain as the