Characteristics of Managerial Decisions Presented by: Clarrissa, Abraham, Nancy Castro Introduction It is important to understand why decision making can be so challenging, consequently causing managers to ignore challenges. It is important to recognize that managers are continually making decisions, and that the quality of their decision-making has an impact—sometimes quite significant—on the effectiveness of the organization and its stakeholders. What are the basic characteristics of managerial decision-making? A good decision is depends on the mission, vision and objectives of management. The foregoing description reveals the following characteristics of decision making: (i) Decision making is a process of selection or choice among alters native courses of action. The status quo trap. … The anchoring trap. Managers tend to give disproportionate weight to the first piece of information they receive. It is important to recognize that managers are continually making decisions, and that the quality of their decision-making has an impact—sometimes quite significant—on the effectiveness of the organization and its stakeholders. Decision-making is the action or process of thinking through possible options and selecting one. What are the basic characteristics of managerial decision-making? The sunk-cost trap. Types of problems decision makers face • Managerial decision making typically centers on three types of problems: Crisis A crisis problem is a serious difficulty requiring immediate action. People like to maintain the status quo, even when better alternatives exist. Decision making is a process of making choices from alternative courses of action, based upon factual and value premises with the intention of moving towards a desired state of affairs. … Strategic decision makers are under the Top management level.

Decision making is central to all the managerial activities, be it planning, organizing, staffing, directing or controlling. Most managerial decisions lack structure and entail The need for decision making arises only when more than one alternative exists for doing the work. In management accounting, the concept of decision making is a complex subject. Decision-making is the action or process of thinking through possible options and selecting one. Meaning of Decision Making. The decisions classified as strategic decision, tactical decision and operational decision.