problem solving pages 178-190. information and managerial decisions the role of a manager is to...
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Problem SolvingPages 178-190
Information and Managerial Decisions
• The role of a manager is to LEAD, PLAN, ORGANIZE, CONTROL.
• One of their main jobs is to deal with problems.
• They have to use information to solve these problems.
Information and Managerial Decisions
• What do you think is the most common problem situation?
• Performance deficiencies
• Performance opportunities
• Dealing with these situations means problem solving. You have to identify and take action to resolve problems.
Types of Managerial Decisions
• Easiest kind of decisions that managers have to make are called programmed decisions.-There are solutions already available.-They deal with structured problems. These are straightforward and clear in information needs.
• More difficult decisions for a manager are for unstructured problems. This means there are ambiguities and information deficiencies.-These require non-programmed decisions.
Crisis
• A crisis is an unexpected problem that can lead to disaster if not resolved quickly and appropriately.-Name some things that could be crises?
• A lot of the time, managers become closed offfrom the rest of their teams and try to solve crisesthemselves.
Crisis
• Companies have increasingly been creating crisis management plans.-This is preparation for the management of crises that threaten an organization’s health and well-being.
Crisis Management
• 1. Figure out what is going on: Take the time to understand the situation, what’s happening, and the conditions under which the crisis must be resolved.
• 2. Remember that speed matters: Attack the crisis as quickly as possible, trying to catch it when it is as small as possible.
• 3. Remember that slow counts, too: Know when to back off and wait for a better opportunity to make progress with the crisis.
Crisis Management
• 4. Respect the danger of the unfamiliar: Understand that the most dangerous crisis is the all-new territory where you and others have never been before.
• 5. Value the skeptic: Don’t look for and get too comfortable with agreement; appreciate skeptics and let them help you to see things differently.
• 6. Be ready to “fight fire with fire”: When things are going wrong but others don’t seem to care, you may have to start a crisis of your own to get their attention.
Decisions Environments
• There are three main environments that managers have to consider when making plans.
• The first is the certain environment.-Any ideas?
Certain Environment
• Both the options and their outcomes are known to the manager.
• If an employee steals, the manager can A) Fire the employee, B) Make him pay it back, or C) do Nothing.
A) = Someone else must be hired.B) = He’ll be upset, still a threat to stealC) = We will think he’s gotten away with it. Will steal again.
Risk Environment
• Courses of actions and their outcomes are viewed as probabilities.
• Risk is a driver of success in business. If risks are not taken, it is rare to make a lot of money.
• This environment has some information. Managers are forced to make decisions on incomplete information.
Uncertain Environment
• This occurs when there is so much information missing it is almost impossible to create probabilities.
• Managers must be creative. Sometimes, the solution is something that has never been tried before.
• Like…
Problem-Solving Styles
Problem AvoidersProblem Solvers
Problem Seekers
Types of Thinking• Systematic Thinking – Approaches problems in a rational, step-by-step,
and analytical way. -Breaks a complicated problem into little pieces and solves each one one-by-one.
• Intuitive Thinking – Is more flexible and spontaneous, usually creative.-We can respond imaginatively.-Look at the whole problem and deal with many parts at once.-Managers can use their experience or new ideas. Hunches are played.
Types of Thinking
• Top Level Managers need to be able to deal with a lot of problems all at once. They have to know how each affects the other, and know their impact in the short- and long-term. This is called multidimensional thinking.
• Strategic Opportunism is the ability to remain focused on long-term objectives while being flexible enough to resolve short-term problems and opportunities in a timely manner.
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