Decision Making: a Theoretical Review

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  • Published: 15 November 2021
  • Volume 56 , pages 609–629, ( 2022 )

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decision making essay pdf

  • Matteo Morelli 1 ,
  • Maria Casagrande   ORCID: orcid.org/0000-0002-4430-3367 2 &
  • Giuseppe Forte 1 , 3  

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Decision-making is a crucial skill that has a central role in everyday life and is necessary for adaptation to the environment and autonomy. It is the ability to choose between two or more options, and it has been studied through several theoretical approaches and by different disciplines. In this overview article, we contend a theoretical review regarding most theorizing and research on decision-making. Specifically, we focused on different levels of analyses, including different theoretical approaches and neuropsychological aspects. Moreover, common methodological measures adopted to study decision-making were reported. This theoretical review emphasizes multiple levels of analysis and aims to summarize evidence regarding this fundamental human process. Although several aspects of the field are reported, more features of decision-making process remain uncertain and need to be clarified. Further experimental studies are necessary for understanding this process better and for integrating and refining the existing theories.

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Morelli, M., Casagrande, M. & Forte, G. Decision Making: a Theoretical Review. Integr. psych. behav. 56 , 609–629 (2022). https://doi.org/10.1007/s12124-021-09669-x

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Decision Making Essay

Introduction.

Decision-making is undoubtedly a fundamental practice the management of corporations. It denotes the progression of choosing and executing options, which are in tandem with an aspiration. It also connotes a string of actions commencing with a broad objective, trickling down to generating, appraising, choosing and executing favourable options.

Decisions made in organizations may have in-depth upshots on the firm and its employees. Such judgements in organizations are distinctive in terms of the risks involved, reservations managers have on them, their importance and contribution to the attainment of the firm’s broader objectives.

Some are tricky and requires insight thought, and may include setting of new policies, reorienting firm’s purposes and objectives, and large-scale ventures with a potential to impact on the economy of the firm. On the other hand, routine decisions also form part of a firm (Martin & Fellenz 2010, p. 227).

Rational model is a conventional representation of making decisions, and it leans on realistic financial hypothesis where the concerned members think of what constitutes best way of arriving at a judgement. Managements regularly use this model to make fiscally sensible decisions, which are capable of contributing to organization’s financial growth.

The model helps delineate how managers should make decisions. In addition, it presents guidelines, which enable decision maker to reach a favourable panacea for organizational development. The mould also negates the decision makers from applying their personal interests while searching for favourable outcomes.

It is highly applicable on decisions characterised by assurances and possibilities since suitable information is accessible. Furthermore, the model exposes opportunities to computations. For instance, usage of Information Technology to automate programmed decisions such as airline companies apply it is seat bookings, flight routes, and services pricing.

It is worth noting that decision-making techniques relying on quantitative information benefit processed in computers enable the model to gain usage. The model; however, has assumptions including decision makers’ ability to fulfil goals already agreed on and setbacks critically prepared and definite.

The decision makers also aim to attain certainty and collect relevant data, options and prospective outcomes computed. Procedure for evaluating options is clear and those able to optimize fiscal returns chosen. Finally, it assumes that the decision maker is logical and can use judgment to choose options, which will optimize economic gains.

The model describes the six stages of decision making as identifying a dilemma or opportunity. Daft and Marcic note that organizations face problems when they underperform and opportunities when administrators realize potentials of improving performance past existing echelon. This becomes the initial step in decision-making and warrants company’s inner and external forces surveillance (Daft & Marcic 2010, p. 188).

The managers utilize internal fiscal reports to forecast on possible threats and openings. Information gathering is another crucial stage that follows. This normally guarantees the manager an opportunity to analyze the possible causes of problems identified. This is tenable when decision makers, through creativity, develop questions reading the problem and opportunity state (Griffin, & Moorhead 2010, p. 198)

. The third stage is to develop alternatives, which seeks to generate potential optional answers to react to the requirements of the condition and give feedback on the basic reasons. It is easy to discover realistic options within the firm’s regulations since the decision-making is based on certainties and threats.

The identified options are deemed to ease the disparities regarding current state of affairs against conditions considered necessary.

Selection of desired options becomes the fourth step, which seeks to select among the options, the most realistic alternative that can best respond to the firms broad objectives. It is imperative to assert that the best attainable option must be requiring minimal resources to attain the needed outcomes. Furthermore, decision maker selects an option with the lowest quantity of uncertainties and threats.

This would aid in avoiding errors in the process. The fifth step is implementing the selected option, which requires corporation from the organization’s stakeholders. The managers, administrators and other staff work together to implement the option.

The ultimate step is to evaluate and present feedback on the status of implementation. Decision makers collect data on the effectiveness of the option in responding to the objectives. This final step is important since decision-making is an uninterrupted cycle. Therefore, the provision of feedback forms the benchmark for future decision-making.

There are factors, which influence decision-making course thus leading to a deviation from the rational form discussed above. Individuality personality and values is one of the leading parameter that affects the process. Different attributes of people manipulate decision-making choices. It is normal to discover that various individuals become nervous, worried, and agitated while in the crucial stages of decision-making.

Such attributes normally leads to fallacious interpretation in the process. It is crucial to declare that being nervous compromises reasoning; therefore, a manager may fail to arrive at the best decision. The attitudinal traits also interfere with decision in an organization. Some managers have fixed thoughts concerning what happens at the organization.

They believe that specific employees or figures must be present whenever there is a crucial matter to make decision. This implies that they have preset minds that such individuals are the best decision makers. This normally prompts the organization to believe such people contribute, regardless of the impacts they present on the organization.

Various managers possess different personalities. Some possess elevated self-esteem, which is motivational in during decision-making. Managers with strong personalities normally dominate the discussion during the process. This may flaw the process since their juniors may fear to contribute. This offers fewer options on the best way of solving organizational problems. This is incoherent with the rational model.

Preconceived fears about the consequences of the decisions would have on the organization normally send chills in the managers, and other concerned parties. This refers to emotional attributes of an individual. Griffin and Moorhead outline that perceived impacts, as well as post resolution effects may impair decision-making.

Furthermore, cognitive ideals such as outright biases have an effect on decision-making (Griffin, & Moorhead 2010, p. 202). Values that an individual embrace also influence decision making, and many counter the rational model. It is factual that managers espouse divergent principles and would attempt to maintain them in every situation. People would always propose what they like regardless of what impact it has on others.

Group relationship is another important parameter that influences decision making to a greater deal. The success of making decisions in groups is subject to the extent of understanding among members forming the team. Martin and Fellenz, posit that the group must have the right intensity of diversity thus enabling them to iron their differences.

Group decision making is highly applicable in organizations where it intricate issues, which can only be managed by a team with varied knowledge backgrounds (Martin & Fellenz 2010, p. 284). Group polarization connotes the way people react to situations of decision-making. People normally arrive at decision-making meetings with different views; however, they tone down to borrow the ideas of their fellows.

Therefore, a group that comprises of people with deep understanding of the dynamics that exists normally makes rational decision. Nonetheless, some groups might not arrive at a decision easily owing to the divergent notions members possess. This may be due to the everlasting differences that exist amongst members.

The level and kind of relationship within a group normally dictates how people make decisions. Superior relationship may prompt others to seek support from their fellows; however, this may flaw the process thus leading to irrationality. Group decision-making in organizations enable extra people to sustain influential contributions during the process than they would achieve individually.

Another issue is group thinking, which happens a when a decision making team is greatly involved in a discussion and the motivation to evaluate options is cancel out by their unanimity. This fails to support the rational model of decision-making since it thwarts other possible options that are crucial in the process.

Rational model upholds that divergent group may arrive at better conclusion than a group that has similar interest. Therefore, a divergent group, where people have good relation, but varied interest, would offer beat avenue of exploring many options.

The peak management makes tactical decisions within the organization. Varied aspects of power and its availability in any firm, coupled with inter personality conditions give rise to the relationships (Venkatachalam & Sellappan 2011, p. 97). Managers can influence decision making as they comment on what qualifies for discussions.

Power relations contribute to decision making through the engagement of organization staff on involvement in undertaking activities. Managers merely comply with the already set standards while leading other people. Whenever this takes place, the managers hold discussions with the relevant people to make decisions collectively on work aimed at meeting company goals (Venkatachalam & Sellappan 2011, p. 97).

Power leads to conflict in the organization, which needs adequate deliberation to decide on the best move. Different echelons of power requires transmitting information from pinnacle to bottom, which may cause damaged communication due to structural circumstances of those involved. Decisions making is necessary to solve the predicaments resulting from such conflicts.

Furthermore, power denotes leadership, which requires excellent qualities including superior decision-making ability. Managers must be able to identify threats and solutions to problems when options, facts, and goals are unclear. Managers ought to encourage shared decision-making. This is a way of empowering subordinates to be able to take part in an advice-giving decision making processes.

Power ought to organize the team members involved in decisions making. However, managers sometimes misuse their powers while engaging employees on making decisions about certain issues.

Decision choice less is the situation of managers seeking the opinion of the junior employees on vital organizational development agendas. The employees provide their information, which the manager discards and cannot include as one of the options for improving conditions in the organization (Shapira 2002, p. 145)

Political behaviour refers to as actions displayed by people in organizations; moreover, it depicts the requirements in such organizations. Political issues among some decision makers are an important aspect of decision-making. The politics include how managers use power to influence decision-making or the behaviour of employees while agitating for better remunerations.

It concentrates on designing and utilizing power in firm to ensure people who lack power get it to organizational level. The impact of political behaviour on managers includes the possibility of drawing up new policies for an organization upon learning the prevailing political happenings (Robbins, Judge, Odendaal & Roodt 2009, p. 358).

The managers take advantage of political unrest in an organization to destroy critical documents, which might be relevant for decision-making. People view political behaviour as a way of democratic decision-making, communicating demands for performance.

However, political behaviour in firms also presents dark side including intentionally telling lies, and intimidation. Political behaviours within an organization may thus impair decision following the divides it creates. Every political move has adverse impact in the process thus thwarting the rational model.

In conclusion, decision-making refer to a progression of choosing and executing options that are consistent with one’s inspirations. Rational model has contributed immensely to the decision-making in various organizations since it tend to eliminate all external forces that may hinder the course.

It is notable that myriads of parameters may influence the process. Personage personality and values normally may affect decision within the organization. Some managers hold particular values that they may not sacrifice in the process of decision-making. Self-esteem and other emotional attributes also affect decision. Anger, aggression and being overjoyed may compromise reasoning since they interfere with the psychology.

Making decision under such pressures may hinder the process, but soberness may lead to appropriate decision-making. Group relationship is another parameter that hinders decision since it influences individual thinking. Power relationship in an organization influences decision, as employees view high cadre to dominate during the process. This would allow them to offer options and easily convince people to consider their ideas.

The politics within corporations normally hinders decision-making, as it may lead to intergroup formations with competing attitudes. Decision-making should thus occur in a rational setting, which allows for adequate and rational consideration of every option.

List of references

Daft, R. & Marcic, D. (2010) Understanding Management , 7 th Ed. Ohio, OH. Cengage Learning.

Griffin, R. & Moorhead, G. (2010) Organizational Behavior: Managing People and Organizations, 9 th Ed. Ohio OH. Cengage Learning.

Martin, J. & Fellenz, M. (2010) Organizational Behaviour & Management . Ohio, OH. Cengage Learning.

Robbins, P. Judge, T. Odendaal, A. & Roodt, G. (2009) Organizational Behaviour: Global and Southern African Perspectives , 2 nd Ed. Cape Town.Pearson South Africa.

Shapira, Z. (2002) Organizational Decision Making . New York, NY. Cambridge University Press.

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Essay on decision making

Essay on decision making 11 Models

Essay on decision making , Decision making is one of the most difficult skills that many people lack. We may find an adult but he is not able to make a decision on his own, and he must ask another person what he should do.

It is not wrong to consult someone older than us, or someone with experience, but it is wrong to go beyond just consulting to rely on others to make decisions.

Because of the importance of the essay on decision making in real life and because of its presence in the tests, we will present to you in the following a large number of ready-made models that deal with this topic in detail.

Essay on decision making

When I was a small child, my grandfather told me I had to rely on myself, but I didn’t understand what he meant.

With time, he told me that you must choose your clothes on a daily basis without interference from anyone.

I was choosing clothes that didn’t fit together, but he told me it doesn’t matter, the important thing is that you choose for yourself.

He told me that I would learn to choose with time, and that my choice was better than relying on others. Indeed, with time, I became choosing for myself and did not accept anyone choosing my clothes for me.

As I got older and older I discovered that what my grandfather did was a good and effective way to teach me self-reliance. It was a simple method, but it taught me a beautiful trait.

These days I rely on myself to make the most difficult decisions about choosing clothes. When I find two or several options in front of me, I look for the advantages and disadvantages of each option, and then in the end I choose the decision that offers me the most positives.

Short essay on decision making

Making or making decisions is one of the most important skills that earn a person great success in his life. But why is the decision so important? Because it is the number one insult to success, whether in personal life or at work.

But what is decision making? How do we know we made the right decision?. Decision is the decisive choice a person makes when two or more things are presented to him. An intellectually mature person is the one who makes good choices in all aspects of his life.

A person may learn how to make a decision at an early age, as the mother presents her child with several things in order to decide what suits him, and in this way he learns to rely on himself and choose what suits him without feeling fear and hesitation. And when he grows up, he will increase his self-confidence and be an independent person in his decisions.

Making choices in life essay

In order for a person to make a right decision, he must possess some characteristics in his personality, including self-confidence and many experiences that make him see the inside of things. This person must be based on reason and logic, not just emotion.

Thinking with the mind makes a person see the facts in front of him well. As for thinking with emotion, it makes a person look like a blind person who does not see defects. That is why it is preferable for a person to learn to think and use his mind before making fateful decisions.

The child must be trained from a young age to think with the mind and try to see the result of his decisions. When he decides to buy sweets for the week and eat them in one day, we must show him the result of his decision and that he is deprived for the rest of the week.

We must teach the child how to control his desires and that he is in control of himself. It is not right to follow his desires all the time.

The choice i make essay 300 words

One of the fateful decisions and choices that I made myself was joining the club in order to learn to swim.

I had 3 different sports to choose from.

At first the choice was difficult, but with time I decided to try all types for a month, and then choose the most enjoyable sport for me. In the end, I chose to swim because of my love for it and my superiority in training than the rest of my colleagues.

My mother told me that the decision had consequences, so I should think carefully before making my decision.

This is what happened to me when I decided to practice swimming as a consequence of my decision to go to training regularly and without delay. The consequence was that I went to training in the summer and winter, despite the cold weather.

She also told me that decision-making should be rational, not emotional. As for swimming, it is a sport that suits the nature of my body and I will excel in it and reach the world championships.

But the sport of football is dear to my heart, but I am not good at playing it professionally, so it was right to choose what suits me with my mind and not what I like and is not suitable for me.

Making decisions in life essay

Making a decision in your life may cost you the rest of your life, meaning that if you make a mistake in choosing, you will suffer for the rest of your life. And if you make no mistake, you will live in peace and happiness forever.

Therefore, do not make any decision unless you have sufficient experience and information necessary for you to make a better choice.

You must have a rational way of thinking that enables you to see the future in an approximate way to show you the results of your decision. A person who is hasty and unaware of the consequences of his decision ruins his future forever.

There are important decisions in a person’s life such as what kind of education he wants to attend or what kind of school he should go to.

There are other important decisions, such as the type of sport that he must practice in order to suit him and be able to professionalize it and reach local and international championships.

A difficult decision that you had to make narrative essay

One of the most difficult situations I faced in my life was deciding to travel abroad with my father. When my mother divorced my father, I had to decide with whom I would go to live.

The decision was very difficult because living with my father is better, because of his financial means that will provide me with a good living.

As for living with my mother, it will be more difficult because she is married to someone I do not like. So in the end, I decided to travel to live with my father, and at the same time call my mother on a daily basis. And when the holiday comes, I ask my father’s permission and travel to visit my mother and spend time with her.

When I go to my mom she feels happy and we begin to plan carefully all the places we are going to visit together. I discovered that I had made the right decision to live with my father so that I could attend a good school. When I go to my mother’s, I spend a short vacation with her and do not suffer from the harassment of her husband.

Important decisions in life essay

In the life of each of us there are several important decisions that have a significant impact on our lives after they are made. But what are the steps to make the right decision?

You must identify the options available to you and write them on a piece of paper so that you can look at them clearly. The pros and cons of each of the available options must be written. You should also write down the flaws.

Try to visualize yourself experiencing the flaws and decide whether you will be able to face them or whether they will be painful for you. In the end, try to imagine the consequences that will come to you after you choose your favorite thing.

And when you present this paper to your mind, it will show you the most suitable path for you, which will make you choose in a way that is more powerful and self-confident.

This is what wise people do when they make their decision. As for the ignorant, they are the ones who make decisions in a random manner and without any study or experience of the consequences of this decision.

The most difficult decision i had to make essay

If you are faced with a difficult choice in your life, it is not wise to make the decision in a moment of haste or without considering the consequences. Each of our choices has a number of consequences, which can be good or bad.

And you should turn to someone older than you and has a lot of experience in life to help you clarify vague matters, and in the end you must take your time to think until you choose the right one for you without any error rate.

In the event that you do not have enough experience or do not have someone to help you in making your decision, it is possible to list the pros and cons and look at each point of them and imagine yourself facing this point, and see if you will accept it or it will be impossible for you.

Essay on choices and consequences

It is well known that every decision has consequences, so you must know the consequences before you make a decision.

In order to reduce the negative consequences, you must research and ask several people about the matter, then collect their opinions and make a final decision.

Try to gather your courage and do not make any decision in the time of your anger or in times of weakness and defeat, because it is one of the worst decisions that will destroy your life later. Do not rush to make a decision, but wait until you have a complete picture in your head.

You must know that every decision has its positives and negatives, and therefore you must study the negatives and see if you will bear them or not.

The negatives are many and varied, including what may be fatal for some people. Therefore, you must determine for yourself the extent to which you can tolerate these negatives or not.

Essay about decisions in life

There are several tips you can learn before you make an important decision in your life. Including identifying your priorities that you can not do without them. Each of us has priorities that are different from other people.

If the most important thing for you is the financials, then you must look for opportunities that provide you with the means.

If traveling is your ambition, you should choose to travel abroad and make it a priority.But if seeking knowledge is your highest ambition, you will choose a decision that provides you with learning.

In this way, the path will be clear to you and you will be able to make decisions that you will not regret later. In order to determine your priorities, you must get to know yourself in the first place.

There are some people who do not know themselves and do not know what their priorities are, which causes them to make wrong decisions that may destroy their lives for the rest of their lives.

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