Simon 4 phases of decision making

Implementation phase of decision making

A second step in this phase is called problem formulation or problem structuring, which occurs as more information is sought to define the problem more clearly. Basically, this means application of digital capabilities and technologies in business processes, products and models. The model base in a comprehensive MIS will have a number of such models that can be used in testing solutions. In some cases, system support may include analysis information systems and representational models in other cases system support may be a file drawer system with fast access to the data base. These questions might be followed by a series of questions which assist the decision maker to consider all alternatives. The advantage of structured approaches is that they assist in systematically exploring the normal decision space; the disadvantage is the tendency to suppress search outside the normal decision space. The choice is then made by a decision maker and communicated to person who can implement the result. He was among the pioneers of artificial intelligence, information processing, decision-making, organization theory and other very important scientific domains.

Plus, it is a good background for other topics like Business Intelligence. Where he writes how-to guides around Computer fundamentalcomputer software, Computer programming, and web apps. The following iterative steps are typical: 1.

For example, the solution search procedure might begin with a set of questions relating to common solutions. Support for testing feasibility of solutions. The 'best' solution may be identified using quantitative tools like decision tree analysis or qualitative tools like the six thinking hats technique, force field analysis, etc.

six steps of decision making

The question addressed at this stageis as follows: What criteria should be used to decide between the alternative possible solutions to the problem? An example of problem is the detection of sudden very high attrition for the present month by a HR manager among workers.

Simons bounded rationality model of decision making

This quantity is a suggestion that can be modified, but it represents a feasible solution and perhaps an optimal solution based on the factors in the model. If the criteria are not specified sharply then the number of alternatives to be considered to arrive at a decision may be very large. Choice Phase In this phase we are actually making decisions. The activities of intelligence, design and choice are interlocked and repetitive, and they take place within a dynamic decision making environment. The criteria may be weighted and these weights are applied in a formal manner, often with the help of a mathematical model. Often the decision support system will lead the user in a rational search strategy for solutions. Choice Activity: The main tasks in the choice phase are to evaluate possible alternatives and to select the best one software support for the intelligence and design phases assists in providing alternatives. The analysis may be performed judgmentally against broad measures of their environment. In problem formulation, establishing relations with some problem solved earlier or an analogy proves quite useful.
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Simon's decision making model