Decision Making and Problem Solving

 Problem solving and decision making both are related, and each needs creativity to identify and then develop options, which are best for the individual. Good decision making needs a mix of technical skills: clear identification of key issues, clarity of judgment, firmness of judgment, and the ability to make good decisions. On the other hand, problem solving may be defined as the ability to solve problems in a flexible and adaptive manner. Problem solving in organizations involves the application of statistical methods and statistical data analysis, estimation of potentials and impacts, the facilitation of social interaction and the creation of viable options. In the context of organizational decision making, problem solving necessarily involves the collaborative process of arriving at a solution through a series of focused steps.

Problem solving is an important part of any business decision making. There is an ongoing debate about the value of problem solving in organizations. Some people believe that decision making and problem solving should be viewed as separate concepts. However, both need to be understood as being integral aspects of an effective and successful enterprise.

As part of the decision making and problem solving process, each individual must first determine his role in the team, which consists of the whole workforce. The role of every individual should be clearly defined, and he should understand the specific tasks, expectations, duties, powers, and privileges that he has as a member of the team. Every member of the team should have a reasonable understanding of his role in the whole organization, as he is expected to play a key role in the delivery of the company's objectives. The strengths and weaknesses of the team as a whole should be evaluated to ensure that the entire enterprise is working towards a common goal.

After determining who will make the decisions, there are two other important processes that must be followed in the decision-making and problem solving process. First, it is important to set up a framework that will enable the members of the team to communicate effectively. Communication is one of the best ways to get things done in an organized manner, as it allows the different strands of the organization to collaborate and work together towards a common result. Without this fundamental step, the different departments and teams within the enterprise will find it difficult to work together as they will not have a clear view of the big picture.

Second, the team must also determine what the best alternative would be in the event of a disastrous outcome. This decision-making exercise is known as risk management. In order for the enterprise to effectively deal with risks, it is vital that the different parts of the enterprise accept the downside of any possible outcome. It is only when these probabilities are accepted that the enterprise can establish the best alternative to face the problem. By taking the rational approach to the risk, the enterprise has laid down the foundation for facing problems and avoiding disasters. This approach is in contrast to the approach of a pessimistic view of risk, which is usually fostered by pessimistic thinkers in an organization.

There are various tools and techniques used for decision making and problem solving. One such decision making tool is the swot analysis. The swot analysis is an ideal example of a decision making process used in the planning process. The purpose of the swot analysis is to provide the insight required by the different decision makers to arrive at a solution to complex problems. The term 'swot analysis' refers to the analysis of various kinds of data and its interpretation, which is then used to provide solutions to complex problems.

Problem-solving and decision making processes rely heavily on information. This is where the concept of a crisis happens because of the sudden change in the market or economy. Crisis occurs when too many factors are against the current or known situation of the situation. This also applies to decision making and problem solving.

Decision making and problem solving are interrelated because both are about making decisions. Decisions are made about whether to opt for a certain solution or not. On the other hand, problems are solved by identifying what needs to be done and how. If problems cannot be solved immediately then you can implement the decision-making process to make decisions about implementation of solutions.