Decision Making in Business Organizations

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These uncertainties are too numerous to mention but to give a clear picture of what these problems are, mentioning some of them will throw more light on the above topic and these include; what to do, what to wear, what to eat, how to survive, where to go, when to marry, when to build a house, when to marry, how many children to borne and how to maintain your family, etc. Therefore, since human beings are faced with these uncertainties, business organizations are not left out in these because like human beings their total existence depends solely on that. It is from these that the issue of decision-making arose.

Decision as the name implies simply means a plan to do something. Decision-making can be defined as the act of planning to do something with a view to solving a defined problem. In most cases, the implementation is usually a big problem due to some certain issues that are very difficult to contend with. These issues, which had become a bane to decision making in business organizations had hitherto affected us in various areas of our life. These issues are usually some of those things that we pass from one generation to another in which a particular society is known at a given time. These natural issues are always difficult to break because of some superstitious belief attached to them while others are usually caused because of our interaction with people who may have a contrary view on some certain aspects of human existence.

a) Culture: Culture is the totality of the life of a group of people that come together to live within a defined area called a community at a certain period. Taking a decision to produce a new product because of innovations in technology will not go down well with some people because of their cultural heritage.

b) Beliefs: Some religious beliefs hold a different view when certain decisions are being taken in business organizations e.g. most Christians and Muslims oppose the idea of going to work on their day of worship.

c) Education: According to Peterson's principle, "Every manageable human being behaves on the level of his competence". In other words, the level of education and exposure one attains in life determines the way he behaves and reasons.

d) Peers/Unionisms: In some part of Africa for instance, a decision taken by one's peers may be seen by them as a way of trying to dominate them if they carry out the decision. These may result a stiff opposition and bring the plan to a halt. The workers Union had in one way or the other opposed some decision that did not favor them.

e) Sentiment/Affinity: Most decisions that would have brought about a positive change in business organization had been swept under the carpet because of close ties that exist between the upper and the lower cadre.

There are some certain decisions that had generated many controversies in business organizations. These decisions, mostly made by the employers for the employees to carry out, do not normally go down well with the junior workers because they believe that most of these decisions will not be in their favor.

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Decision Making in Business Organizations

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This article was published on 2010/12/06