Mala Pulickel

Decision Making:
· Decision-making is an essential process in every organization & an integral part of the managerial process.
· For good decision making, it is imperative to have the right kind of information which is complete. Also, the ability to effectively interpret the information available is required.
· For effective corporate decision making - discussions & consultations are two primary tools.
 
Importance of Effective Decision making in Corporates:
1. It helps to face problems & challenges
2. It directs in achieving objectives’
3. Increases efficiency
4. It motivates employees
 
Analysis Paralysis vs Decision Making:
· Analysis paralysis is an anti-pattern state of over-analysis or over thinking of the information available, which results in no decision or conclusion or action being implemented.
· Eg: (a) In a project, too much focus is on finding factors & analyzing them thereby delaying the completion of Analyze phase.
· Over Analysis or Analysis Paralysis is a time-consuming process that is one of the wastes. In this process, an opportunity can be missed due to a lack of decision making.
 
Extinct by instinct vs. Decision Making:
· Extinct by instinct, is a state of actions being performed based on hasty judgment and or gut feelings, leading to incorrect decisions.
· Eg: (a) Recruiting an employee for a position as per gut feeling. (b) Launching a new product in the country without a detailed Analysis. (c) Implementing an action item without piloting.
· Decisions based on Extinct by instinct are not based on data or actual cause. And without knowing the reason, the results may or may not be fruitful.
 
For effective Decision Making, it’s essential to have a structured and balanced approach. This is further possible if the objective is evident in the current situation i.e., what the goal is, what are the resources available, what are the alternatives available. A structured approach will further help to evaluate & implement a decision.