Case Methods in Decision Making-The Decion Maaker and Decision Making Styles- Jennifer Mejia

8/6/2019 Case Methods in Decision Making-The Decion Maaker and Decision Making Styles- Jennifer Mejia

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By: JENNIFER BELMONTE MEJIABy: JENNIFER BELMONTE MEJIAPh. D. TEM StudentPh. D. TEM Student


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As a leader you're stuck with decisionmaking. It's your job to make decisionsthat are in the best interest of the wholeorganization. You must consider the

good of many, not of a few. This is a bigresponsibility and very often peopledon't appreciate your efforts. In fact,many times people get angry at youbecause of the decisions you make to

help them! Let's take a moment anddiscuss decision making style. Not thedecision itself, but style.


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The Decision Maker and Influencer

In the context of industrial goods marketing, there is

much theory, and even more opinion, expressed

about how the various `decision-makers' and

`influencers' (those who can only influence, notdecide, the final decision) interact. Decisions are

frequently taken by groups, rather than individuals,

and the official buyer often does not have authority

to take the decision. Miller & Heiman, for example, offered a more

complex view of industrial buying decisions

(particularly in the area of `complex sales' of capital

equipment).


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They see three levels of decision making:

'economic buying influence' - the decision-maker who can authorize the necessaryfunds for purchase

'user buying influences' - the people in the

buying company who will use the productand will specify what they want to purchase

'technical buying influence' - the `experts'(including, typically, the buying department)who can veto the purchase on technicalgrounds


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Webster and Wind, in a similar vein, identify six

roles within the `buying centre':

'users' - who will actually use the product or

service

'influencers' - particularly technical personnel

'deciders' - the actual decision-makers

'approvers' - who formally authorize the decision

'buyers' - the department with formal authority

'gatekeepers' - those who have the power to stop

the sellers reaching other members of the `buying

centre'


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Types of a Decision Maker

Decisive Decision Makers

Decisive decision makers are satisficers andunifocused. They collect limited information

and act quickly. Then they are unwaveringin supporting and sticking to their decisions.

This style of decision making requires self

confidence in ones gut feelings. It is oftenthe style of CEOs and successfulentrepreneurs.


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Type of Decision Maker

Flexible Decision Makers

Flexible decision makers are satisficers andmultifocused. They collect limited information

but are more flexible in choosing solutionsthan decisive decision makers. If the firstsolution they decide on falls short, they willselect another solution. As more informationbecomes available, they are quick to change

decisions based on the new information.Many small business owners use this style ofdecision making.


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Hierarchical Decision Makers

Hierarchical decision makers are maximizersand unifocused. They collect large amounts

of information and then select one bestsolution. They plan how to implement thesolution in detail and advance ofimplementing it.

This style of decision making is common ingovernment. Many USA presidents haveused it.



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Integrative Decision Makers

Integrative decision makers are maximizers

and multifocused. They collect and evaluate

information, but select more than one

solution. They may then use computerized

scenarios to test which solution works best.

Scientists are often integrative decisionmakers. They collect all the information they

can, determine several possible solutions

and then systematically test each solution.



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Systemic Decision Makers

Systemic decision makers blend

integrative and hierarchical styles in a two-step process. First they collect as much

information as possible for multiple

solutions. Then they prioritize solutions by

the best criteria from the information or

for their specific situation.



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Major Attributes to

ConsiderFour major attributes are important for

Stakeholder Analysis: the stakeholders position on the

reform issue, the level of influence (power) they hold,

the level of interest they have in the specific reform, and

the group/coalition to which they belong or canreasonably be associated with. These attributes are

identified through various data collection methods,

including interviews with country experts

knowledgeable about stakeholders or with the actual

stakeholders directly.


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Here is a step-by-step description of a method which can

be used for stakeholder analysis.

1. Draw up the chart

Prepare a chart on

electronic whiteboard,

or perhaps butcher paper,

like this:

You will notice that the chart has 6 columns. The fourcolumns in the middle need only be wide enough to

contain a three or four letter symbol. You need a little

more width in the right-hand column than in the left-hand

one.


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2. List stakeholders

Identify and list the stakeholders. Thesemay be individuals, or stakeholder groups,or some combination. If stakeholders canbe treated as a group, use groups. Themost effective way of doing this is to list asmany stakeholders as you can on a workingsheet of paper. Then transfer them to theleft hand column of the chart. It may help

to list them in rough order of importance. (You may change your mindabout their importance after this analysis.)


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3. Estimate attitude and confidence

For columns 2 to 5, work across thepage. Record your estimates of thefollowing in the columns. In order, theyare:

Column 2: Your best estimate of thestakeholder's attitude, from supportiveto opposed. I usually find it is adequate

to use a 5-category


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4. Plan your strategies for approaching andinvolving each person or group. Yourestimates in columns 2 to 5 help you to dothis. Your strategy is written in column 6. Itusually takes the form of obtaining moreinformation, or of involving the stakeholderin the planning for the change.

In general, question marks indicate a need formore information. The more question marks,and the more influence the person has, thegreater the need. On some occasions you will

choose to approach the personconcerned. On other occasions you mayinstead approach someone else who can beassumed to know about the person's attitude

or influence.


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For involvement, decide the extent. For

example:

involved only as informants consulted

directly involved in decision-making

involved as co-researchers and co-actors

or some similar categories.Where the stakeholder is a group rather than

an individual, you will probably want to

include in your decision the style ofparticipation appropriate: for example, direct

participation of everyone, or representation.


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http://www.scu.edu.au/schools/gcm/ar/arp/stake.html

http://www.scu.edu.au/schools/gcm/ar/arp/stake.html#a_sha_intro

http://www.strategicmarketsegmentation.com/5-decision-

making-styles/

http://www.top-web-entrepreneurs-plan-it.com/decision-

making-styles.html

Wikipedia Leadership and Management

http://leadershipmanagement.com

http://psychology.wikia.com/wiki/Decision_making


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Case Methods in Decision Making-The Decion Maaker and Decision Making Styles- Jennifer Mejia