How are business decisions made? Decisions are the choices we make between two or more alternatives, a deliberate thought process that leads to taking an action. Decisions should be purposed and oriented towards some goals and objectives as they are active ingredients that move a business along a chosen path.
In any organization, decision making is central to all activities of the work environment. How much or how little opportunity you have for making decisions can depend not only on the level of your job, but also on the type of organization where you work.
In small organization the owners will be responsible for most decisions and in larger organizations many of these decisions will be taken by other people.
The most common objectives of business organizations are profitability, sales growth, market share improvement, risk diversification, innovation, maintenance etc. effective
Decision making requires a rational selection of a course of action. Managers should not only make correct decisions, they must also make them as economically possible.
The infographic below shows the 6 simple processes for effective decision making.
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