decision making

Copyright© Chhitiz Shrestha

Principles of Management

Group project workDecision making in a finance company

Membersi. Chhitiz Shresthaii. Rashmita Regmiiii. Rabindra Hadaiv. Zhang Pengv. Dikshya Aacharyavi. Raj Shrestha

Submitted TOMS. Deepa

Shakya


Definition

An act of choice Decision making is the

process of identifying and choosing alternative courses of action.

“Decision making can be regarded as an outcome of mental processes leading to the selection of a course of action among several alternatives.” – wikipedia.com


Types of decisions

Types of decision: Types by frequency

• Programmed decision• Non-Programmed decision

Types by Nature • Operating decision • Tactical decision• Administrative /Strategic decisions


Decision making styles

Autocratic Consultative Group Process


Decision making conditions

Certainty Risk Uncertainty

Decision making under Different conditions

HighManagement control

Risk

Low

Certainty

Uncertainty


Stages of decision making

Identifying the problem Generating alternative solutions Evaluating alternatives Making the choice Implementing the decision Evaluating the decision


General Information

Established – 2008 500+ shareholders 11 Board of directors Sections

› Account department› Education Department› Legal Advisors› Credit department


CONTD…

› Counseling committee› Market management

committee› Chief Executive Officer› Management team› Women empowerment

commission


Additional Information

Remittance service Saving accounts

› Normal Saving (Interest rate 7%)› Five Star Saving (interest rate 6.5%)› Fixed Deposit Saving (interest rate 7%-

10%)› Social Security Saving (interest rate

negotiable)


Decision making process By Frequency

› Programmed decisions Carried out by the office authorities, like the

General Manager Involves things like lending money,

depositing money and so on.› Non-programmed decisions

Carried out by the top level authorities, like the board members

E.g. creating a branch office, hiring managers, etc.


Contd…


Contd…

By nature:› Operating Decisions

E.g. Checking inventory level, operational monitoring and distribution level

› Tactical Decisions E.g. Diversification, Investment and

expansion› Administrative /Strategic decisions

E.g. Acquiring resources, rules and values of the organization and reward system


Steps to make decisions

There are six steps to making an effective decision:› Create a constructive environment.

› Generate good alternatives.

› Explore these alternatives.

› Choose the best alternative.

› Check your decision.

› Communicate your decision, and take action.


Common methods

Brainstorming, Queuing theory, Probabilities and payoffs,


Advantages

Level of faith and trust increases, Provides initiatives, Diverse alternatives are generated, Builds up team work.


Some Disadvantages

Group think


Contd..

Conflict of ideas May take more time


References

5 Star finance company› Special thanks to Mr. Pathak

Books Internet

› www.google.com› www.wikipedia.com› www.mindtools.com

http://www.google.com/

http://www.wikipedia.com/

http://www.mindtools.com/


Thank You

Time to make the right choices


Any Queries???

decision making

Documents

timecopyright chhitiz

comcopyright chhitiz

types of decision

aneffective decision

act of choice decision

operating decisions

nonprogrammed decisions

diverse alternatives