Decision making is regarded as the cognitive process resulting in the selection of a belief or a course of action among several alternative possibilities.

The best managers are always making decisions. Decision making is regarded as the cognitive process resulting in the selection of a belief or a course of action among several alternative possibilities. The process isn’t as easy as people think. Managers need to analyze each aspect before reaching a decision. Managerial decision making is one of the most critical processes in every organization. Successful and effective decision making has the potential for great benefit and great loss.

Overall, the decision-making process involves several important steps. Each step requires different tools and techniques.

The main steps in the decision-making process:

problem identification
information gathering
analyzing the choices and brainstorming
evaluation of the alternatives
picking the best alternative
executing the decision
evaluating the results
Throughout the process managers must set a baseline to judge alternatives and decisions appropriately. The corporate culture and goals should also be considered along with ethical, societal, and legal aspects.

Exhibit 3.3 – The Phases of Decision Making states that the first phase is to identify and diagnose the problem and the second phase is to generate alternative solution.

For this forum, recall a decision you recently made at work and complete steps 1 – 6 in the phases of decision making (pg. 77).

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