Department of commercialization of scientific and innovative developments management and control

LECTURE 9
MANAGEMENT DECISIONS
One of the important indicators in the manager's activity is his ability to make the right decision. What is meant by management decision? The decision is the final result of management activity. Decision-making and production is the main form of management activity, the content of the leader's work, the process of influencing the team. The management decision is used in 2 cases: in the 1st case, an act established by someone or something, an adopted work plan, a decision, etc. In the 2nd case, choosing the optimal option from among several options. Decisions are made when serious problems arise. A problem refers to the need to find a solution to a complex theoretical problem or a practical situation.
The main elements of the management decision are the problem, the tool (necessary for solving the problem), the responsibility (who will accept it) and the period. The manager makes a decision on each of them by performing the 4 functions of management, i.e. planning, organizing, controlling and encouraging (motivation). Making and making a decision is an initiative process in the leader's activity. It includes the following steps
takes:
- setting a goal and producing it;
- study the problem;
- selection and justification of efficiency criteria in decision-making;
- consider decision options;
- choosing an alternative option;
- decision making;
- arranging the execution of the decision;
- controlling the implementation of the decision.

9.2. APPROACHES TO DECISION MAKING

In management experience, 2 main approaches to decision-making have emerged: individual and group. Centralization of decision-making plays a key role in the individual approach. In this case, decisions are mostly made at the top level in the organization, usually one or several managers participate. That is, in a centralized approach, the main emphasis is on high-level decision making.
In a group approach, a voluntary management-level manager involves employees in decision-making. In this case, the manager at the top management level is responsible for making this decision. This approach prevents the general manager from getting bogged down in solving small day-to-day problems. One of the advantages of this approach is that responsibility and authority are given to employees at the lower management level. This increases efficiency in decision-making.
When considering the decision-making process, it is necessary to take into account 2 main situations:
1) making a decision is not difficult, but making a good decision is difficult;
2) Decision-making is a mental process, as the methods used by a leader in decision-making vary from involuntary to highly rational. It can be noted here that the decision-making process is intuitive, that is, it is based on thinking and has a rational character.

9.3. DECISION MAKING PROCESS

In the decision-making process, the manager must answer the following questions: what to do? how to do to whom to assign the work? who do it for? where to implement? and what does it give?
T he classic approach to managerial decision-making is to follow certain procedures and perform mandatory actions.
1. Problem setting. In this case, the manager's task is to organize the problem situation, that is, to identify the signs of "disease", to learn to express the initial decision criteria of the work and target situation. Thus, the process of posing a problem is to identify and evaluate it. Identifying the problem is knowing the limitation that occurred in the initial forward plan. The manager solves problems through personal perspective and team opinion in information analysisknows it exists. When identifying a problem, the opinion of other managers and subordinates is considered the main source of problem identification.
Problem assessment is the summation of the nature and extent of the problem identified.
2. Clarify constraints and identify alternatives. The cause of the problem may not be inside the organization (external environment) in which the manager cannot change anything. Therefore, it is necessary to determine the source of the problem and the content of the limitation, and to define the available alternatives.
3. Decision making. At this stage, alternative decisions are developed, they are evaluated and an alternative with a positive result is selected.
4. Implementation of the decision. The process does not end with the selection of an alternative. At the implementation stage, measures are used to concretize the decision and bring it to fruition. The value of the decision lies in its implementation.
5. Control of the implementation of the decision. In the process of control, the limitations that have arisen for the complete realization of decisions are identified and the necessary corrections are made. With the help of control, circular communication is established between the manager and the controlled.
9.4. DECISION MAKING METHODS
All management decision-making methods can be combined into three groups:
1. Informal (heuristic) decision-making method. This management is based on the analytical ability of decision-makers. It is a combination of logical methods and optimal decision-making methods by theoretical comparison of alternatives with the help of experiences gathered by the leader. Informal methods are based on the manager's intuition. Their advantage is that they are quickly adopted, and their disadvantage is that they do not always give authority to make the right decision. Because the manager's intuition can give a warning.
2. Collective. Collective method of decision-making and discussion. For this purpose, it is necessary to first determine the participation of persons who are participants in the process. Most often, this is a temporary collective, which includes the manager and the managed. The main criteria in the formation of such a group include competence, the ability to solve proactive problems, flexibility and theoretical reasoning of thinking. In collective form, group work can be different: meeting, conversation, commission work, etc. The most common collective methods of preparing a management decision include: "brainstorming", "delphi method", "kingisyo" - the Japanese circular decision-making system.
3. Quantitative decision making method. It is based on a scientific and experimental approach, which means choosing the optimal decision by processing a large amount of information (with the help of EHM). Depending on the type of mathematical functions used on the basis of the model, they differ as follows:
a) linear modeling — in which a linear relationship is used;
b) dynamic programming — the decision-making process in this matter allows for additional changes;
d) probability and statistical methods — general service
is carried out by the method of theory;
e) game theory — in modeling in this case, it is necessary to take into account the fact that decision-making does not correspond to various joints, interests;
f) simulation method — it is possible to experimentally check the implementation of the decision. Changing the initial considerations, determining the demand for them.
9.5. INDIVIDUAL STYLE OF DECISION MAKING
There are several types of basic decisions in science:
1. The type of balanced decision is characteristic of people, approaching the state of the problem and the demand for the problem with the initial analysis, formed by the initial judgment. A balance is achieved when advancing hypotheses and testing them involve the same human focus. This decision-making tactic is productive.
2. Impulsive decisions are characteristic of humans. Such people are superior to the process of building hypotheses, to their verification and determination. Such a person easily controls thoughts. But they pay little attention to evaluation. This bypasses the decision-making process. The impulsivity of the decision can lead the leader to implement a decision that is not fully thought out and not justified.
3. Inert decisions are the result of a long and unreliable search. Once the initial hypothesis is formed, its determination is very slow. Evaluation is hypercritical, every step is checked by a person several times. This slows down the decision-making process.
4. Risky decisions are reminiscent of impulsive decisions, but differ from them in terms of individual tactics. When an impulsive decision skips the stage of a grounded hypothesis, a risky decision skips over them. But a person evaluates only when there is a misunderstanding. Even though it is late, eventually the elements of hypothesis building and their verification come into balance.
5. Precautionary decision is determined by accurate evaluation of the hypothesis. A person performs various preparations before reaching a conclusion. Valuations are inherent in precautionary decisions. Cautious people are more affected by their negative deeds than their positive ones. They are more afraid of mistakes than happy of achievements. That is why the tactical methods of the prudent are to avoid mistakes. Impulsives, for example, are characterized by the opposite tactical method: they aim for success and are less sensitive to failures.
Effectiveness conditions of management decisions.
In order for the management decision to be effective, it is necessary to consider several factors.
1. Hierarchy in decision-making - the necessary information is sufficient for decision-making, and is directly involved in the implementation of the decision. In this case, the decision-makers will be the employees of the adjacent level. It is not allowed to contract with lower-level workers who are one step lower in the hierarchical level.
2. Use a cross-functional target group, where members from all departments of the organization are selected.
3. Use of correct horizontal communication in decision-making. In this case, information gathering and processing is carried out without referring to the top management (this is mainly observed at the initial stage of the decision-making process). Such an approach increases decision-making in a short time and responsibility for the implementation of the decision.
4. Centralized leadership in decision-making. The decision-making process should be in the hands of one leader. In this case, a hierarchy is formed in decision-making, that is, each lower manager solves the problems themselves with his leadership, and the decision is effective only if it meets the requirements of the organization's goals and solving the situation.
First, the decision must be effective, that is, it must be ensured that the organization fully fulfills the purpose it has set for itself.
Secondly, the decision should be cost-effective, that is, it should achieve the goal set before it at low cost.
Third, quick decision. It is not only about the speed of decision-making, but also about achieving the goal. Because while the problem is being solved, the phenomenon is developing. Even a good idea can become old and lose its meaning in the future.

R equirements for management decisions

Fourth, the basis of the decision. Those implementing the decision must believe that it is justified. It should not be confused with the factual basis and how it is perceived by those who do it.
Fifth, the decision must be made realistically, that is, it is impossible to make an unrealistic, abstract decision. The decision made should be effective and appropriate to the strength and resources of the team implementing it.
From the sixth. The management decision must be legal. It should be accepted only according to the rules adopted by the leader.
From the seventh. Decisions should be without conflict. It should be consistent with other decisions, and should be clear, well defined, short and concise.
The main role in the effectiveness of the decision is to deliver the decisions to the executor. In this case, the performers of each work are selected, as a result, each employee receives a concrete special task. In this case, the employee's service obligations and other objective and LECTUREive factors are taken into account. Delivery of tasks to employees is the main effective source of decision-making. At the same time, there are 4 main reasons why the decision is not implemented:
1) that the manager could not clearly describe the decision;
2) that the decision is well described, but not well understood by the executor;
3) the decision was well described, the executor understood it well, but there were not enough funds and conditions for its implementation;
4) the decision was described correctly, the executor understood it well, there were all conditions for its implementation, but the executor's proposal did not match the decision proposed by the manager. A doer may have a more effective idea of ​​this problem.
Demand for management decision implementation technology;
1. The model of completeness of the decision, on the one hand, is the thought of the leader and its solution, and on the other hand, the content, structure and implementation of the activity.the matching of conditions is expressed. If the performer can imagine all the subtleties of the work in advance, then this full model is an ideal option.
2. The necessity of the precision model is that if in general the issue is put abstractly, then it will not be done at all or it will be done officially. The method of accuracy in the formation of quick decisions in the management system is not included in the legal style.
3. The breadth of reflection of the initial idea characterizes the agile model.
4. The model of stability and resilience to stress is understood as the ability to carry out the work plan created in his mind even in difficult situations.
5. The flexibility of the model is an urgent criterion for all of the above.
6. A model of decision compatibility. It is related to the execution of the decision by the executor alone. Therefore, his action should be compatible with other executors in terms of tasks, time, place, etc.
7. A motivational model of decision. It is clear to us that understanding the decision and realizing the ideal model does not fully ensure the mobilization of the workforce, therefore, it is necessary to motivate its activity. The main content of team work mobilization is the internal demand and the influence on the motives that arouse the activity of the employees in the performance of the task - the implementation of the decision made by the management of the organization.
9.6. CONTROL AND ORGANIZATION OF DECISION IMPLEMENTATION
Organization of decision making is a special activity of the leader that completes the management cycle. If the leader sees the ideal work in terms of objects and events at the stage of preparation and decision making, then in the process of organizing the implementation of the decision, he will face the real situation, which often differs from the ideal situation.
The main task of the manager is to organize, coordinate and control the implementation of the decision.
Establishing control mainly consists of determining the restrictions that have arisen on the implementation of the decision, as well as applying the necessary measures to eliminate them. In the process of control, the organization can make clarifications and changes to its initial goals. It mainly refers to the additional information received on the implementation of the adopted decisions. That is, the main task of control is to identify and predict the limitations that will arise in the implementation of the management decisions given according to the plan. With the help of control, not only limitations on the task are identified, but also their reasons are indicated.