Decision-Making ProcessMr. Hudnall

What car would you buy if I gave you $100,000?

Was your decision intuitive or rational?

What is the difference between

Intuitive Rational

What comes to mind about:

Intuitive Decision Making

• Decisions that were made based on intuition or hunches.

Rational Decision MakingRecognizing the

need for a decision

Determining how to go about making

a decision

Gathering information to help

make a decision

Identifying possible alternatives

Evaluating each alternative

Selecting the best alternative

Write down the steps you took this morning to decide what to wear to school today

Was it an intuitive or rational decision?

Were the steps similar to the 6 steps?

Group Decision Making• Using the six steps of the rational decision-

making process, each group will decide what food joint should be built on campus.

• Have someone take notes on the process—these will be turned in at the end.

Factors Influencing Decisions

• Risk in Decision Making

• Importance of Timing

• Role of Values – Economic vs. Social

• Team Decision Making

What plays a more critical role in business success—the type of decision makers managers are or their timing in making their decisions?

• Autocratic– The manager makes the decision alone, with little or no input from subordinates.

• Semi-autocratic– The manager asks subordinates for information needed to make the decision, but

still makes the decision alone.

• Leading– The manager share the situation with a few selected subordinates and asks them

individually for information and advice.

• Collaborative– The manager meets with all subordinates as a group to discuss the situation.

• Accommodating– The manager and subordinates meet as a group and freely share information. The

entire group make the decision.

Types of Management Decision Styles

QuestionDo you think that most managers prefer leading or collaborative styles of management?

In groups you will role-play management decision styles about managers

who must decide which new product line to add before the holiday rush.

Use the concepts and vocabulary we discussed.

Management Style?

• Research 3 major corporate CEOs and find out what kinds of management styles they use and why.

• This will be useful later when you do your Business Leader Biography.