Are Just-In-Time Decisions the Best Decisions - Essay Example

ARE JUST-IN-TIME DECISIONS THE BEST DECISIONS Introduction Decision making is one of the most important functions of any management. It is the factor that may make an organization prosper and at the same time it may make an organization to lose its credibility and underperform. Decision making is the art of deciding when faced by options. Decision making involves assessing a situation and making a judgment on the course of action that is to be taken. A manager is given the duty of making decisions for the company and hence one should be able to decide between different options and follow the one that will lead the organization to prosperity. Therefore in making decision, there are many considerations that a manager makes. In their day to day work, manager is faced by various situations where they have to make a decision. Managers should rise that they are making that particular decision for the whole organization and not for themselves alone. This makes the magnitude of the decision made to be large same as the implications of this decision. As such manager must have the ability to think wide and compares options in order to make a decision. One of the most important skills that are needed for the manager as they go up the organization ladder is to have conceptual skills that can help them make abrupt decision for the organization. In this regard managers must have a higher degree of conceptual skills compared to other staff. It has been found out that technical and human skills though important in management are not enough to make an effective manager. Effective manager have been found to be those who can make abrupt decision for their organizations which are made with small error margin. (Ken 2007, p. 143) This paper will look closely at the kind of decisions that a manager need to make. It will look at the just-in-time decision of decisions that are made over a long time. This paper will also look at how the process of decision making impact on the management and how managers choose the mode of decision making to use. This paper will review the process of decision making considering just in time decision making model and the process of main decision that wait for a long time. The process of decision making Decision making process is one of the most important processes in the organization. It has been shown that most organization depends on the decision that is made by their manager to implement strategies. In this regard the manger is given the overall role of deciding for the organization. Decision making process can be described as a process in which we make a chance from the many options that we are present with. We tend to consider a lot of things before we come up with a process that suits the best solution to the problem that we are facing. Therefore decision making is a process that involve input of many factors than at the end help us to come up with the best choice. Therefore the product of a decision making process is a choice. This choice must always be perceived as the best solution to the certain problem that we are facing. Therefore the process of decision making ends with the making of a choice among many options that we are presented with. Decisions making process can be descried as a mental pr4ocss with is cognitive in nature and which leads to making of a choice. It is a cognitive process the lead to making of a choice from the many options that we have. The final output of a decision making process is the choice they has been made by the individual. (Ullman 2006, p. 643) Taken from the cognitive point of view, decisions making process can be seen as a cognitive process that is contain in nature and it is closely associated with the environment. This means that the decision that we make is always s subject to the forces of the environment. Therefore in the organization, the decision that the manager makes will be affected by different environmental factors that will affect the decision made at the end. (Levi 2006, p. 276) From the normative perspective, decision making can be seen as a rational process that uses the individual rationality in order to come up with the bets choice. This means that it will involve a rational process where an individual will have gone considered different things in order to understand their interaction. In order to make the best decisions, an individual will have to make several considerations in order to come with the best chose for the problem that they are facing. In another angle decision making process is also a problem solving process which entail the manager coming up with the best situation that is affecting the company in this regard manager will have to make several consideration on the relationship between several factors in the organization in order to come up with the best solution to the problem they are facing. Taken as a problem solving process, therefore decision making must be able to come up with a solution that will help the organization over commend its challenges. (Virine 2007, p. 13) Methods of decision making The process of decision making varied from one organization to the other depending on the nature of the organization and the problem that the organization may be facing. In this regard, the organization will be faced by different problems at different times depending of the change in the internal and external environment. The manage is the duty of making decision for the organization. This is not only one of the most important duties of the management but it is also an important process that determines how the organization overcomes most of the challenges that it is facing. In this regard the process for decision making in the organization can be left to the manager alone or it can be shared between the manager and other staff. But in most organization it is the manager who is given the overall role for making the decision for the organization which is later approved or disapproved by the board. There are other organizations where the board does not have to veto the decision for the manager. The process that twill is followed in making a decision for the organization also varies with the nature of the decision to be made. In this regard, there are decision which required time to be made as several people have be constituted while there are other decisions which requires abrupt action. But all the decision to be made in an organization must be made following a defined frame work. (Faciione 2007, p. 241) Consultative decisions The consultative process is a decision making process where there must be consultaviate process before a decision is made. In this regard, a manager is not supposed to make the decision alone but one must consult all other people. Most of the decisions made following this process are those decisions which are not abrupt in nature and can wait for along time. In this sense, these decisions are held for time until all the concerned parties have given their input. Normally this process is slow and many make organization to lose a lot. This is because there has to be along procedure of waiting for every individual to give the suggestion and to allow for a discussion on the decision that will be reached. Decisions making process is rational process and the more the process stays the more time there is to consider so many environment factors that will have an effect on the process. However this process has been found inefficient in many instances and it has been shown that it leads delay in pursuing some opportunities. (Eisenhardt 1990, P. 78) Just in time decision making According to word by David House, who is the executive chairman of Brocade Communications Systems, "If you are not going to do anything different tomorrow by making a decision today, then don't make it today. Situations change; markets shift. That's not an excuse to procrastinate. But the best decisions are just-in-time decisions. You should decide as late as possible." This is a decision making process where decision are made as late as possible or as problem comes. In this regard the decision is made without carrying out so much research about the effect of the decision that will be made. The process is abrupt as has been said and is made to meet the needs of the situation. This theory is supported by many heuristic studies which show that the first choice that is made on option is always one of the best. It has been show that fast and frugal heuristic are simple, task-specific strategies that are use in the process or making a decision. In this regard they are a part of the cognitive strategic process that is used of solve judgmental and decision making tasks. The have been shown as simple process since they don't involve a lot of researchers on the information needed to make a particular decision. This is because they take into action the result of the process and the process itself. They are made up of simple building blocks which specify how information will be searched using the search rule, when the informant search will be halted using the stopping rule, and how the searched information will have to be integrated in the overall decision hat has been made. The process at the end will yield a decision which is ecological instead of logically constituted. In their work Gigerenzer and his co-workers had some effective definition the fast and frugal heuristic. For example they showed how fast and frugal heurist like "take the best" replace "the multiple coherence criteria stemming from the laws of login and probability with multiple correspondence criteria relating to laws of real-world decision performance". This example just give us the way into which we interpreter the replace of the logic process and probability that has influenced the way we make decision with fast and frugal heuristics. (Gigerenzerwt al, 1999, P. 22) As per this theory they showed that there are two requirements for the process of decisions making to be rational enough and in order to be made in the most accurate way possible. First it shows that the decision must be bound in their irrationality. This rule is frugal in the sense of what they try to take into account and hence they are fast in their operation. The second requirement is that the rules are ecological adapted to the surrounding environment. This means that they have to fit the reality of the situation. Therefore the decision we make must be made in much faster and also meet the requirement of the surrounding environment. This process can be illustrated by the following diagrammatical representation of the decision making process. Adapted from: Faciione, P 2007, Thinking and reasoning in the organisation, Willy, New York The above diagram represents the Bertralnd example. It can be applied in their ways using the Lapllace's principle. This can be well understood through the following question. What is the chance that the straw will interest the triangle equilaterally as shown As can be seen that fist distribution will give same weight to all the intersection point following the line OA. The sector distant will give an equal probability in the angel of intersection in the circular for the straw which is angle O, while the third will an equal possibility to each area in the inner of the circle. All the above lead to different dancer to the same question which are 1/2, 1/3, and . The above ideas repress an important process that can be sued to make decision through a retinal process. They are useful consideration that can help and individual come up with the best decision especially in mange since it will take care of the process that is used and the outcome of the process. It will be a form of using rational consideration in order to come up with the best decisions that will help the individual to solve the problem that they are facing. Thereof just in time decision making process can be conserved to be the best process in making decision for the organization since it is likely to take in the factor of time and environmental factors. Pilot survey The following surfer was carried out among 30 manager in differ organization. The survey was carried out among the origin which have been recording impressive magnet record and also among eth which have been facing problem on management. Aim of the survey The aim of the survey was to collect data which could be used to study different decision making models that are employed by different managers in their organization. This survey was aimed at correcting the different methods that are being employed by different organization in order to come up with the best method that is employed these mangers in making decision for their organizations. Objectives of the survey The following were the objectives of the survey To understand the decision making process in different organizations To understand the impact of different decision making models in these organization To come up with the best decision making model that can be used for making decisions Introduction The model that is used by an organization to make decision is very important in the process of ensuring that the organization takes action in solving many of the challenges that it is facing. An organization can be using just-in-time decision making model or it can sue any other model to make decision. In this regard this will depend by the kind of management style that is employed by the organization. Literature reveals that decisions that are just made in time are the best decision and they have less likelihood of making many errors. But there are some contentious issues that still surround the issue of making decision on time as challenges arise. Are these the best decision to make Do they give same results as other models of decision making Which method of decision making is preferred by many managers Methodology In this survey data was collected from the primary and the secondary sources. There was a review of literature of many data and research that have been carried out before regarding the issue of decision making models used by managers. Primary was also collected through as pilot survey that was carried by collecting the views of different managers of the best method of decision making for organizations. For the pilot survey managers were mailed a question with a set of question that they were supposed to answer. The questionnaire enquired from the managers what method they have been using to make decision in their organizations. It was also aimed at looking at the way in which the process employed by these managers has been successful in their organization and the challenge that they had been experiencing in implement the decision made using this model. The questions also asked the managers to give their view regarding the decision making model that they considered to be the best and most effectives. In this ways the questionably was structured to capturer information on the model that is mostly used by the managers and also understands the model that they prefer for making decision for the organization. This was supposed to give a picture of general agreement by all mangers of the most efficient method that they think would be appropriate for making decision and also give reason as to why they have not been using that particular model. Results One the data was colleted, it ways analyzed and the following were the result of the survey: Of all managers who were interviewed, 79% show d that they used just in time decision making model. Among the reason that were gave for the use of the mode was that they have found through their experience that this has been one of the most effectively method in making decision for the organization. Most for them indicated that compared to their method of decision making that has been the most successful method of all those they have applied. From the analysis of the survey it was found out that 56% of all the organizations in which the managers responded that they used just in time decision making model had been successful in their programs compared to 23% of the other organizations whose managers used other models of decision making. 80% of the managers however chose just in time decision making model as the best for making decision in an organization. This they attributed to the easiness of the decision making process and the accuracy that is associated with the method. However it was found out that 34% of those who had settle on the method as the most practical one did not use it in their organization due to the kind of management that was practiced in these organizations. Therefore most of them had to practice the other decision making models that we closely linked to the culture of the organizations. Discussion As it can be seen from the above analyses of the survey, most of the mange who participated in the survey agreed that jus in time decision making is one of the best decision making process that can be applied in making decisions of the organization. This has been attributed to the support that the method has been receiving in the academic world from many researches that are being conducted. Just in time decision making process is one of the model that ensure that the decision made are rational rather than being so much leaned in onto logical side. This is because if we take the rational consideration of the process, we will end up with long process which is slow incoming up tithe financial decision and which may make the organization lose a lot. Many of the organization which uses this model have been found to experience less decision making errors in their process of making the most appropriate decision. Therefore the best decision making model to use for an organization. Many of the manager show have been using this method have recorded success in their management. Conclusion Just in time decision making therefore is one of the most important decision making process that can be used by manager to achieved efficient decision making process. This is because the model is acknowledged by manager who have been practicing it in the field and hit also has the support of majority of the managers. Therefore we can conclude that the best decision are those decision which are made on time. References Decision Making , California Management Review, 32:3 (1990:Spring) p.39 Eisenhardt, M 1990, Speed and Strategic Choice: How Managers Accelerate Faciione, P 2007, Thinking and reasoning in the organisation, Willy, New York Gigerenzer, G., Todd, P. M., & The ABC Group, 1999, Simple Heuristics That Make Us Smart. New York: Oxford University Press. BD260 G45 (GT & ABC) Ken, B 2007, The advantages of decision making cycle, Oxford University Press Levi, M 2006, Composite systems decisions, Springer, New York Ullman, G 2006, Making Robust Decision, Trafford Press Virine, L 2007, Decisions making as a science, Management Concept, Vienna Read More