Decision Making Model Analysis Paper
It is evidently assumed that corporate decisions are made according to the concept of rationality. The concept of rationality is defined as seeking out the objectives of a management decision and then selecting the alternative action that will produce efficient results. This approach involves optimizing the available resources and generating the optimal result. This is why the rational decision-making model is often presented as the first choice of corporate decision-making.
According to Ryan K. Lahti (1996 pg. 1), we use four decision-making models in today's business world. The four decision-making models are the rational, political, process, and garbage can models. Each of the four models has diverse advantages and barriers. However, the focal point of this paper will be on the analysis of the rational making model. The rational making model is based on the current economic aspects of decision-making. It also follows a scientific, methodical approach to decision-making methods.
English: Flowchart of Rational Planning and Decisi...
English: I myself made this figure. I guess the fi...
English: A model to use to see what the pros and c...In chapter three in the book, "Management: The New Competitive Landscape", by Thomas S. Bateman and Scott A. Snell (2004, pg.70-71) they explain that by following the six steps in the rational decision model it will help individuals make clear and precise decisions. These are the following six steps:
1). Identify and diagnose the problem.
2). Generate alternative solutions
3). Evaluate alternatives
4). Make the choice
5). Implement the decision
6). Evaluate the decision (Bateman, T.S. & Snell, and S.A. 2004)
This model follows a systematic method in which critical thinking decision makers use to solve problems. The first step is to identify and diagnose the problem that needs to be resolved.
The first step is to recognize the problem exists and how it must be solved. (Bateman, T.S. & Snell, and S.A. 2004) Although this may seem either insignificant or apparent, quite frequently it...