Friday, February 26, 2010

Weeks 6-7: Decision Making as a Human Endeavor


Organizational decision making is about taking action in a manner that is aligned with the organization’s vision, mission, strategic goals, and values. It is about taking action in a manner that moves the organization forward, and has all of the organization’s stakeholders in mind. Decisions cannot only be for the benefit of one sector or unit of the organization, nor for one person or group.

Decisions involve:

• Making an informed choice.
• Thinking strategically and acting intentionally with purpose.
• Selecting among choices and acting prudently.
• Making intelligent trade-offs when needed.

Decision making involves:

• Leading with vision.
• Assessing risk, but willing to “step out into the unknown,” try something new, and to act innovatively as needed.

It is important to remember that decision makers are human and are influenced by many types of factors. It is also imperative to recognize personal interests, biases, fears and emotional issues. This includes conflicts of interests, and the tendency to rationalize away problems related to choices.

So, making decisions with integrity involves:
• Being ethical.
• Listening, being willing to compromise, and being willing to meet others needs reasonably and with a sense of equity.

In today’s fast-paced business environment, time to gather information, discuss options, and critically reflect, is difficult. Sometimes it is considered impossible.

While some decisions are more significant or “weighty” than others, as a professional member of the business enterprise, one makes decisions daily that impact the success of the organization, its operations, its well-being and its future. One has a responsibility to make the most informed, prudent, unbiased and just decision possible, weighing all possibilities. It is important to keep in mind that one’s choices and actions not only affect the organization, but also the livelihood of the business enterprise’s workforce, as well as the local and global societies.

When making decisions it is critical to balance reason with intuition. Decision making is not only about discerning the most rational or logical choice or course of action. Information and insight come from both sensory observation and feelins.

As the online Time-Management Guide.com explains, the intuitive mode of thinking is characterized by:

1. A process “dominated by your subconscious mind, even if you use your conscious mind to formulate or rationalize the final results.”

2.Processing information “in parallel rather than sequentially. Instead of going through a logical sequence of thoughts one by one, you see the situation more as a whole, with different fragments emerging in parallel.”

3. Being “connected with your emotions. For example, it may occur to you that an option you consider does not feel right, even though there is no clear logic to prove that.”

Some professional are more intuitive decision makers while others are more reasoned based. Having a team or workplace where both are present and respected can be very beneficial. This notion can pose a challenge in a data-driven emperically oriented business arena.

Friday, February 12, 2010

Week 5: Basic Decision-Making Components

To begin, it should be mentioned that decision making is both an art and science. It involves reason and intuition, fact and interpretation, information and knowledge. Emotions are always present and impacting choices made. At times they can be very valuable.

Above all decision making entails prudence, critical reflection and practical wisdom. As you will see, it is very important to have a level of self-awareness and honesty about one's strengths, limitations, and one's biases, as well as misconceptions and what factors are influencing one's decisions. These, plus not involving the right people, are the source for many poor decisions.

A sense of humility and willingness to be mentored or provided an alternative viewpoint is also very important.

Rarely, if ever, is there only one good choice to choose from. Usually there are multiple viable options, each with there pros and cons. Each with their ramifications and consequences. One has to choose between them, but how?

As you review the ideas below, reflect upon the charactersitics of your own decision making process. Try to identify its key components.

Some components essential to the decision making process:

Exploring The Situation and Discerning Action

As work issues arise and decisions are called for, stop to work through them thoughtfully and systematically, alocating enough time to make a prudent decision that you can personally and professionally live with.

Analysis of Issue:

• Name the issue(s) and its specific components. What type of decision is called
for?
• Identify the root causes that give rise to the issue(s), and/or the various
factors involved in the situation. What information is needed in order to
thoroughly understand the situation and devise a solution?
• Educate yourself on the influencing factors and systemic causes (internal to the
organization and external)--social, cultural, political, economic, business,
organizational, etc.
• Analyze the data acquired so one has:
 An understanding of the various vantage points from which to the issue can be
viewed.
 An in depth comprehension of the essence of the issue or situation and its
ramifications for individuals, social institutions, the business, business
stakeholders, civic communities, the world, etc.
 An awareness of the people, organizations, business stakeholders, etc.
affected by the issues and possible decision.
 A clear understanding of the moral and legal issues and questions it poses, if
any.

Informing Self:

The goal is to make an informed and responsible decision. Thus, one needs to consult various resources so the nature and ramifications of the types of possible decisions can be weighed carefully. Consult:

• Personal experience and intuition.
• Business, organizational, industry, professional, and historical precedence.
• Business best practices, industry trends, and those who will be impacted by
decision.
• Local and international social customs, norms, values, traditions, etc.
• Academic and professional research.
• Legal prescriptions and rulings.
• Professional codes of ethics.
• Practical wisdom.
• In-house and external colleagues, mentors and industry sages.

Make sure all of the necessary people are involved in the decision making process.

Seek and study positions that are contrary to the one(s) personally held.


Self-Reflection:

After gathering the needed facts, viewpoints, ethical information, and sage advice regarding the situation or issue, take ample time to honestly and critically reflect upon them.

Next devise various possible decisions. Discern their viability and feasibility in light of their practical ramifications, the business or organizational questions they pose, and the moral issues they raise.

Review all possible decisions, exploring the advantages and disadvantages, pros and cons, strengths and limitations of each.

Recognize the subjectivity involved, trying not to give undue preference to any one group nor oneself. Be aware of the fears, preferences and biases that might influence your decision. Ask:
• What are the personal, professional, business and/or ethical principles that need
to guide me in making this situation?
• Fears, preferences, biases, organizational politics, career aspirations, etc. are
influencing the process?
• What rationalizations are being made?
• How can the above be eliminated?

Acting Responsibly

Choose. Make a decision knowing that information is limited and influential factors will cause the decision to have flaws. Act responsibly, accepting that the choice is yours. Be aware that the decision will have consequences and lead to future situations and choices.

Post-Reflection

After the decision has been made, take time to critically review the process and results. Access the success of your decision and ways that it could be improved. make any adjustments that are necessary. Gain feedback from others, including those involved in the decision making process and affected by the decision. Do not feel guilty about not foreseeing all the consequences, as well as limitations in the choice made. Incorporate the insights into your decision-making process.