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This is the activity in which group
members are engaged in making decisions.
Decision helps in solving problems and
re-solving conflicts.
Superior to individual decision making.
Improve ability to generate feasible
alternatives.
Allows managers to process more
information.
DECISION MAKING PROCESS
DEFINING THE PROBLEM
ANALYSIS OF PROBLEM
ALTERNATIVE COURSES
OF ACTION
EVALAUTION OF
ALTERNATIVES
EXPERIENCE
EXPERIMENTATION
TAKING DECISION AND
FOLLOWING UP
DECISION TAKEN(FINAL STEP)
INTUITIVE
STYLE
SENSATION
STYLE
THINKING
STYLE
FEELING
STYLE
DECISION MAKING STYLES
Decision making style
1. Intuitive style :
A manager with intuitive style takes a decision
as per the dictates of his conscience.
Characteristics:
a. Concerned with the inner feeling of the person.
b. He thinks about the problem & answer is found in his
mind.
c. Decision is based upon:
PAST
KNOWLEDGE
TRAINING EXPERIENCE
Decision making style
 Intuitive style :
 Advantages:
1. Quick decision making.
2. Managers capability is used.
 Disadvantages :
1. Wrong intuition may lead to wrong decision.
2. Other styles are neglected.
Decision making style
2. Sensation Style :
Managers with sensation style like to solve
problem in standard ways.
• Characteristics:
1. Problems are solved in standard ways.
2. Managers rely on past decisions for similar
situations.
3. Effective at lower level of hierarchy & in
routine work.
Decision making style
3. Thinking style:
Decisions of thinking style managers are
controlled by intellectual processes based upon
external information and generally accepted idea
and values.
• Characteristics:
1. Managers tend to be unemotional.
2. Rational decisions are taken purely on the
analysis of information.
Decision making style
4. Feeling style:
• Feeling type managers are tend to be
sympathetic and relate well to others.
• These managers believe that much of
inefficiency & effectiveness in organization is
a result of interpersonal difficulties.
Decision making style
4 basic style combinations are :
Intuition
+
Thinking
Intuition
+
feeling
Sensatio
n+
Thinking
Sensatio
n+
feeling
Intuition-thinking Intuition-feeling Sensation -
Thinking
Sensation -
feeling
Group Decision Making
Advantages :
1. Greater knowledge base.
2. Greater number of alternatives.
3. Effective implementation of decisions.
4. Elimination of personal biases.
5. Participative decisions.
6. Better understanding of final decision.
7. Democratic in nature.
Group Decision Making
Disadvantages :
1. More time consuming.
2. Social pressure.
3. Interpersonal conflicts.
4. Group goals Vs. Organizational goals.
5. Dominance
6. Focus effect.
7. Inclination towards initial decisions.
8. Groupthink.
Group decision making
Techniques
6 techniques
Brainstor
ming
Nominal
- group
Electronic
-meeting
Delphi
Fish
Bowling
Didactic
Interaction
Group decision making
techniques
BRAINSTORMING:
USED TO GENERATE NEW IDEAS OR ALTERNATIVES
RULES:
 Freewheeling is welcome --- offer any ideas that come to you
 Quantity is desired --- don‟t worry about quality or risk right
now
 No criticism or praise of ideas is allowed
 No questions or discussion of ideas --- that will come at a
later meeting
 Combination and improvement of ideas is encouraged ---
build on other people‟s ideas and suggestions
Group decision making
techniques
 Brainstorming
 Advantages :
1. Broader participation.
2. Deferred(delayed) judgement.
3. Greater task oriented.
4. Team work.
5. Motivated thinking.
 Disadvantages :
1. Time consuming.
2. Optimal solution is not granted.
Group decision making
techniques
 Nominal Group Technique
 Group members are asked to write their idea.
 Turn by turn all members give their ideas.
 Discuss is done after recording of all ideas.
 Ranking of different ideas is done
independently.
 Decision with highest aggregate is final
decision.
Group decision making
techniques
 Nominal group technique
 Advantages :
1. Integrates Individual and group creativity.
2. Saves great deal of time.
3. Equal participation by all.
Group decision making
techniques
 Electronic meeting technique
 Improvement over nominal technique.
 All members sit together on computer
terminals with problems displayed to them.
 Suggestions are typed on the computer
screens.
 All responses are displayed on projection
screen.
Group decision making
techniques
 Electronic meeting technique
 Advantages :
1. Speedy decision making.
2. Confidential as names are not disclosed.
3. Low social pressure.
4. Interpersonal conflict is very low.
 Disadvantages :
1. Expensive.
2. Eliminates sense of unity.
Group decision making
techniques
 Delphi technique
 Similar to nominal technique but physical presence
is not required.
 Members do not meet face to face.
 Written process.
○ Steps:
1. Problem is defined by leaders and sample of experts
are selected.
2. Questionnaire is developed & send to participants.
3. Responses are complied & summarized.
4. Revaluation of responses.
5. Steps are repeated until the solution is achieved.
Group decision making
techniques
 Delphi technique
 Advantages :
1. Physical presence is not required.
2. Members are not influenced by other
members.
 Disadvantages :
1. Time consuming.
2. Expensive.
Group decision making
techniques
 Fish bowling technique :
 Similar to brainstorming but more structured
& to the point.
○Steps:
1. Experts sit around a circle with chair in centre.
2. One by one each group member is invited to centre
chair for his views on problem.
3. Other members can ask the questions without
irrelevant discussions.
4. After having the views of all, discussion is done on
various alternatives.
5. Best alternative is selected.
Group decision making
techniques
 Didactic interaction :
 In Didactic interaction, the problem should
be such that it results in a YES-NO
solutions.
○Steps:
1. Group is split into 2 sub-groups :
a. Yes decision(favouring decision).
 Will list „pros‟.
b. No decision(unfavouring decision).
 Will list „cons‟.
Group decision making
techniques
Steps:
2. Both groups meet & discuss their views
with reasons.
3. After discussion, groups switch sides &
evaluate their own weaknesses in
viewpoints.
• Advantage :
1. Mutual understanding & acceptance in final
result.
Group size & decision making
 Large group size, quality of decision
decreases.
 Group of 5-7 people is considered to be
effective.
 In Small groups, more opportunities &
clarifications chances are their.
 Larger groups are needed in critical
organization-wide issues.
 E.g. development of new product.
In large groups generally majority-vote method is
used.
Consensus decision making in
groups
1. Viewpoints should be logical & clear.
2. Members should listen to each other.
3. All members should be encouraged to express
their views.
4. Active participation should be there, so a wide
range of alternatives become available.
5. Majority voting should not be used to avoid
conflict.
6. “win-lose” situation should be avoided.
7. Best solution should be accepted by all.
8. All should be committed to the final decision.
9. Domination should not prevail.
overview
 Group Decision Making
 Meaning & nature.
 Process(8 steps).
 Styles(4-Intuitive,sensation,thinking,feeling).
 Advantages & Disadvantages.
 Techniques (6).
 Group size & decision making.
 Consensus of group decision making.
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Group decisiion making

  • 1.
  • 2. This is the activity in which group members are engaged in making decisions. Decision helps in solving problems and re-solving conflicts. Superior to individual decision making. Improve ability to generate feasible alternatives. Allows managers to process more information.
  • 3. DECISION MAKING PROCESS DEFINING THE PROBLEM ANALYSIS OF PROBLEM ALTERNATIVE COURSES OF ACTION EVALAUTION OF ALTERNATIVES EXPERIENCE EXPERIMENTATION TAKING DECISION AND FOLLOWING UP DECISION TAKEN(FINAL STEP)
  • 5. Decision making style 1. Intuitive style : A manager with intuitive style takes a decision as per the dictates of his conscience. Characteristics: a. Concerned with the inner feeling of the person. b. He thinks about the problem & answer is found in his mind. c. Decision is based upon: PAST KNOWLEDGE TRAINING EXPERIENCE
  • 6. Decision making style  Intuitive style :  Advantages: 1. Quick decision making. 2. Managers capability is used.  Disadvantages : 1. Wrong intuition may lead to wrong decision. 2. Other styles are neglected.
  • 7. Decision making style 2. Sensation Style : Managers with sensation style like to solve problem in standard ways. • Characteristics: 1. Problems are solved in standard ways. 2. Managers rely on past decisions for similar situations. 3. Effective at lower level of hierarchy & in routine work.
  • 8. Decision making style 3. Thinking style: Decisions of thinking style managers are controlled by intellectual processes based upon external information and generally accepted idea and values. • Characteristics: 1. Managers tend to be unemotional. 2. Rational decisions are taken purely on the analysis of information.
  • 9. Decision making style 4. Feeling style: • Feeling type managers are tend to be sympathetic and relate well to others. • These managers believe that much of inefficiency & effectiveness in organization is a result of interpersonal difficulties.
  • 10. Decision making style 4 basic style combinations are : Intuition + Thinking Intuition + feeling Sensatio n+ Thinking Sensatio n+ feeling Intuition-thinking Intuition-feeling Sensation - Thinking Sensation - feeling
  • 11. Group Decision Making Advantages : 1. Greater knowledge base. 2. Greater number of alternatives. 3. Effective implementation of decisions. 4. Elimination of personal biases. 5. Participative decisions. 6. Better understanding of final decision. 7. Democratic in nature.
  • 12. Group Decision Making Disadvantages : 1. More time consuming. 2. Social pressure. 3. Interpersonal conflicts. 4. Group goals Vs. Organizational goals. 5. Dominance 6. Focus effect. 7. Inclination towards initial decisions. 8. Groupthink.
  • 13. Group decision making Techniques 6 techniques Brainstor ming Nominal - group Electronic -meeting Delphi Fish Bowling Didactic Interaction
  • 14. Group decision making techniques BRAINSTORMING: USED TO GENERATE NEW IDEAS OR ALTERNATIVES RULES:  Freewheeling is welcome --- offer any ideas that come to you  Quantity is desired --- don‟t worry about quality or risk right now  No criticism or praise of ideas is allowed  No questions or discussion of ideas --- that will come at a later meeting  Combination and improvement of ideas is encouraged --- build on other people‟s ideas and suggestions
  • 15. Group decision making techniques  Brainstorming  Advantages : 1. Broader participation. 2. Deferred(delayed) judgement. 3. Greater task oriented. 4. Team work. 5. Motivated thinking.  Disadvantages : 1. Time consuming. 2. Optimal solution is not granted.
  • 16. Group decision making techniques  Nominal Group Technique  Group members are asked to write their idea.  Turn by turn all members give their ideas.  Discuss is done after recording of all ideas.  Ranking of different ideas is done independently.  Decision with highest aggregate is final decision.
  • 17. Group decision making techniques  Nominal group technique  Advantages : 1. Integrates Individual and group creativity. 2. Saves great deal of time. 3. Equal participation by all.
  • 18. Group decision making techniques  Electronic meeting technique  Improvement over nominal technique.  All members sit together on computer terminals with problems displayed to them.  Suggestions are typed on the computer screens.  All responses are displayed on projection screen.
  • 19. Group decision making techniques  Electronic meeting technique  Advantages : 1. Speedy decision making. 2. Confidential as names are not disclosed. 3. Low social pressure. 4. Interpersonal conflict is very low.  Disadvantages : 1. Expensive. 2. Eliminates sense of unity.
  • 20. Group decision making techniques  Delphi technique  Similar to nominal technique but physical presence is not required.  Members do not meet face to face.  Written process. ○ Steps: 1. Problem is defined by leaders and sample of experts are selected. 2. Questionnaire is developed & send to participants. 3. Responses are complied & summarized. 4. Revaluation of responses. 5. Steps are repeated until the solution is achieved.
  • 21. Group decision making techniques  Delphi technique  Advantages : 1. Physical presence is not required. 2. Members are not influenced by other members.  Disadvantages : 1. Time consuming. 2. Expensive.
  • 22. Group decision making techniques  Fish bowling technique :  Similar to brainstorming but more structured & to the point. ○Steps: 1. Experts sit around a circle with chair in centre. 2. One by one each group member is invited to centre chair for his views on problem. 3. Other members can ask the questions without irrelevant discussions. 4. After having the views of all, discussion is done on various alternatives. 5. Best alternative is selected.
  • 23. Group decision making techniques  Didactic interaction :  In Didactic interaction, the problem should be such that it results in a YES-NO solutions. ○Steps: 1. Group is split into 2 sub-groups : a. Yes decision(favouring decision).  Will list „pros‟. b. No decision(unfavouring decision).  Will list „cons‟.
  • 24. Group decision making techniques Steps: 2. Both groups meet & discuss their views with reasons. 3. After discussion, groups switch sides & evaluate their own weaknesses in viewpoints. • Advantage : 1. Mutual understanding & acceptance in final result.
  • 25. Group size & decision making  Large group size, quality of decision decreases.  Group of 5-7 people is considered to be effective.  In Small groups, more opportunities & clarifications chances are their.  Larger groups are needed in critical organization-wide issues.  E.g. development of new product. In large groups generally majority-vote method is used.
  • 26. Consensus decision making in groups 1. Viewpoints should be logical & clear. 2. Members should listen to each other. 3. All members should be encouraged to express their views. 4. Active participation should be there, so a wide range of alternatives become available. 5. Majority voting should not be used to avoid conflict. 6. “win-lose” situation should be avoided. 7. Best solution should be accepted by all. 8. All should be committed to the final decision. 9. Domination should not prevail.
  • 27. overview  Group Decision Making  Meaning & nature.  Process(8 steps).  Styles(4-Intuitive,sensation,thinking,feeling).  Advantages & Disadvantages.  Techniques (6).  Group size & decision making.  Consensus of group decision making.