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    GROUP DECISION MAKINGRakesh Shrestha

    EM-09-11, HIST

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    GROUP DECISION MAKING

    Why groups can make higher qualitydecisions?

    When to use a group?

    Vroom-Yetton ModelImportance of Quality Decision Making

    Advantages and disadvantages of Group

    Decision MakingTechniques of Group Decision making

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    WHY GROUPSCANMAKEHIGHERQUALITYDECISIONS?

    According to Gary John, there are threeassumptions that form basis of this argument:

    Groups are move vigilant than individuals

    Groups can generate more ideas & developmore alternative solutions than individuals

    Groups can evaluate ideas better thanindividuals

    When to use a Group? Two criteria

    Quality of the decision

    Acceptability of the decision

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    THE VROOM YETTEN MODEL

    Model is used for deciding whether to use a groupfor decision-making purposes?

    Divide the decision making into 5 styles rangingfrom individualized decision making by themanager on one extreme

    to

    Totally participative decision making at the otherextreme.

    This model considers the style of decision makingas follows:

    A Stands for autocratic

    C Stands for Consultative

    G stands for Group

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    THE VROOM YETTON MODEL

    These styles are explained as below:

    1. A Autocratic Style

    A1 : The manager unilaterally makes the decisionand his decision is based upon whateverinformation and facts are available to him

    A2 : The manager makes the decision himself butgets all the information needed personally from hissubordinates.

    2. C Consultative Style

    C1 : Consult the subordinate who are expected to

    be involved with the outcome of the decisionmaking

    C2 : Meet subordinates in a group

    3. G Group Style

    G2 : Participative style

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    IMPORTANCEOF QUALITYOFDECISION

    The quality of the decision is important, and the same may beeither made by the manager himself or by the group. The

    same may be in the following scenarios : The extent to which the manager possess the information and

    expertise to make a high quality decision

    The extent to which the subordinates have the necessaryinformation to assist in generating a high quality decision

    The extent to which problem is structured

    The probability that a managers decision will be accepted by

    the subordinates

    The extent to which the subordinates would go to attain

    organizational goals The extent to which acceptance on the part of subordinates is

    critical to the effective implementation of the decision

    The extent to which the subordinates are likely to disagreeover preferred solutions

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    Advantages of group decision making

    Groups members may have different specialities

    Implementation of decision may be more effective Eliminates biases

    Builds up foundations as a training ground

    Democratic in nature

    Disadvantages of Group Decision Making Time consuming

    Social pressure

    Own interests to protect

    May not be in accord with the goals and objectives ofthe organization

    Groupthink

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    TECHNIQUESOF GROUP DECISION-MAKING

    Brainstorming

    Delphi Technique

    Nominal technique

    Fishbowling Didactic Interaction

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    BRAINSTORMING

    Brainstorming technique involves a group of people, usually betweenfive and ten, sitting around a table in classroom setting, generating

    ideas in the form of free association. The primary focus is on generation of ideas, rather than on

    evaluation of ideas, the idea being that if a large number of ideas

    can be generated, then it is likely that there will be unique andcreative solution among them.

    The rules to be followed in the process of brainstorming are

    explained by leader and include the following:

    No judgments are to be made on these ideas when they aregenerated. No idea is to be criticized or evaluated in any way untilall ideas have been considered.

    Welcome wild ideas, no matter how absurd they might seem. The

    ideas that are too wild and unfeasible can always be discardedlater.

    Strive for quantity and not quality.

    Each participant is encouraged to improve or modify otherparticipants suggestions.

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    FISH-BOWLING This is a variation of the brainstorming, but is more structured and is to the

    point.

    The decision making group of experts is seated around in a circle with a

    single chair in the centre if the circle.

    One member of the group is invited to sit in the centre chair and gives hisviews about the problem and his proposition of solution in discussion.

    The other group members can ask him questions but no cross talk isallowed.

    Once the member finished and his viewpoint is fully understood, he leavesthe center and joins the group in the circle.

    Exchange between the center chair and the group members continues untilthe chair is vacated. All exchanges must be between the center and the groupand no two group members are allowed to talk directly.

    This technique results in each member favoring a particular course of action,

    since all members are acting upon the same database and also since eachidea offered by the central members is thoroughly questioned and examined.

    After all the experts have expressed their views, the entire group discussesthe various alternatives suggested and pick the one with consensus.

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    DIDACTIC INTERACTION This technique is applicable only in certain situations,

    but is an excellent method when such a situation exists.

    The type of problem should result into a yes-no solution. There are two group, one favouring yes and other

    favouring no.

    The first group will list all the pros of the problemsolution and the second group will list all the cons.

    These two groups meet and discuss their findings andtheir reasons. After an exhaustive discussions, thegroups switch sides and try to find weaknesses in theirown original viewpoints.

    This interchange of ideas and tolerance andunderstanding of opposing viewpoints results in mutual

    acceptance of facts as they exist so that a solution canbe built around these facts and opinions relating tothese facts and thus a final decision is reached.

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    THANKYOU!