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Decision Making Question

1. An engineer manager cannot avoid making management decisions, as decision-making is their main responsibility and crucial to an organization's success. 2. When a problem arises but the engineer manager chooses to ignore it, they are not making a decision. Ignoring a problem does not involve thinking about solutions or choosing one, which is required for a decision. 3. Properly diagnosing the underlying problem is important because it is the first step in decision-making and setting oneself up for an intelligent, successful solution. Failing to correctly identify the problem means subsequent steps are also likely to fail.

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90 views

Decision Making Question

1. An engineer manager cannot avoid making management decisions, as decision-making is their main responsibility and crucial to an organization's success. 2. When a problem arises but the engineer manager chooses to ignore it, they are not making a decision. Ignoring a problem does not involve thinking about solutions or choosing one, which is required for a decision. 3. Properly diagnosing the underlying problem is important because it is the first step in decision-making and setting oneself up for an intelligent, successful solution. Failing to correctly identify the problem means subsequent steps are also likely to fail.

Uploaded by

baobeipanda
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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DECISION MAKING QUESTIONS

1. Can the engineer manager avoid making management decision? Why or why not?

No, the engineer manager cannot avoid making management decision because it is their main
responsibility. They are tasked to provide leadership in the quest for the attainment of the
organization's objectives and decision- making is crucial to the success of the organization and
as a professional. Thus, engineer manager and decision-making should never or will never be
separated.

2. When a problem becomes apparent and the engineer manager chooses to ignore it, is he
making a decision? Explain your answer.

NO, he is not making a decision. The word "decision" alone, means a choice that you make
about something after thinking about it or it is the result of deciding. Now, when a problem
becomes apparent and that engineer manager chooses to avoiding the problem, then he is NOT
making a decision. It is not following the decision-making process nor following the managerial
etiquette and thus only showing how incompetent and unreliable that manager is.

3. Why is proper diagnosis of the problem important?


Identifying the problem is important since it is the first step to making an intelligent or
successful decision. If the manager fails at this stage, he/she is most likely to fail in the
subsequent steps. The correct identification of a problem is tantamount to having the problem
half-solved .

4. What are the components of the environment from the point of view of the decision-
maker? What do they consists of?
Environment is consists of two major concerns: internal and external.
The internal environment refers to the organizational activities within the firm that surrounds
the decision making. Internal environment is consist of Organizational Aspects (policies,
management), Marketing Aspects (product and promotion strategy), Personnel Aspects
( recruitment practices, incentive systems), Production Aspects ( Plant Facility Layout), and
Financial Aspects (liquidity, profitability).
While the external environment refers to the variables that are outside the organization and
not typically within the short-run control of the top management (e.g. Government,
Competitors, Banks, Public, Labor Unions, Suppliers, Clients, Engineers).

5. How may one develop viable alternatives in problem solving?


To develop a viable alternatives, one must make a list of all feasible alternatives. Next is to
determine the viability of each solution . And lastly is to revise the list by striking out which of
those are not viable.

6. How may alternative solutions be evaluated?


After determining the viability of the alternatives, evaluation of the remaining alternatives is
necessary. Evaluation of alternative solutions is an important step since the subsequent step is
making a choice. Alternatives are evaluated depending on the nature of the problem,
objectives of the firm, and the nature of the alternatives presented. Alternatives must be
analyzed according to their value, cost, and risk characteristics.
Value of the alternatives refers to the benefits that can be expected.
Cost of the alternative is the outlay or expenditure to be expected.
Risk Characteristics refers to the probability of achieving the goals of the alternative.
7. Why is it important for those who will be involved in implementation to understand and
accept the solution to the problem?
It is important for those who will be involved in implementation to understand and accept the
solution to the problem. Remember, decision making begins with stating the decision that
needs to be made, and implementing and evaluating the decision to ensure it is effective and
appropriate. Along the way, not all decisions lead to a great success, therefore you should know
how to accept the problem and face the actual moment of decision on making solutions of the
problem.
8.What are the approaches in solving problems?
There are two approaches in solving problems, namely: qualitative evaluation and quantitative
evaluation. Qualitative evaluation refers to evaluation of alternatives using intuition and
subjective judgement. Qualitative evaluation is done when the problem is simple , familiar ,
low cost, and needs immediate decisions while Quantitative evaluation refers to the evaluation
of alternatives using any technique in a group classified as rational and analytical.
Pwed sad ni ninyu isulti………
Qualitative evaluation is used for solving fairly simple problem, while quantitative evaluation is
applied to complex ones.
9. What quantitative techniques are useful in decision making?
There are many types of quantitative techniques which may be useful in decision making. These
are inventory models, queuing theory, network models, forecasting, regression analysis,
simulation, linear programming, sampling theory and statistical decision theory.
10. What is the purpose of Bayesian Analysis?
The purpose of Bayesian analysis is to revise and update the initial assessments of the event
probabilities generated by the alternative’s solutions which is achieved with the use of
additional information.
The decision-maker assigns probabilities to the various events using the probabilistic decision
rule, Bayes Criterion

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