The Reality of Decision - Making

Understanding Decision Making

Some proposed definitions of decision-making experts described as follows (Hasan, 2004):

1. According to George R. Terry

Decision making is the selection of alternative behavior (behavior) of certain of two or more alternatives.

2. According S.P. Siagian

Decision making is a systematic approach to the nature of the alternatives they face and take appropriate action according to the calculations is the most appropriate action.

3. According to James A.F. Stoner

Decision making is a process used to choose an action as a way of solving the problem.

Notions of the above decision, it can be concluded that decision making is a process of selecting the best alternative from several alternatives systematically to follow up (used) as a way of solving the problem

According Sondang P. Siagian was quoted as saying by the GK. Manila

in his book Management Practices in State Government, there

four models of decision making that is:

a. Model optimization. Decision-making in order to obtain results

which can be achieved and can not be separated from the limited resources

no. This model is based on the maximum criteria, probability, and

benefits.

b. Models satisfying. Decision making is not solely

through rationality and logic approach procedure but in reality,

so that decision makers are satisfied with and proud when

decisions taken are adequate to fruition.

c. Mixed scanning models. Decision-making that incorporates

Among high rationality approach with a pragmatic approach.

d. Heuristic models. Decision making based on concepts entirely

ynag held by decision makers that is based on

his own views on the problem at hand.

While Bedjo Siswanto in his book Modern Management

said there are two models of decision making that often there

within the organization, namely:

a. Normative model, which is a model of decision making

embody the manager about how he should take

a group decision. These models have generally been developed by

economists and other management scientists. One example of this model

in educational institutions is about financial budgeting.

b. Descriptive models, ie models that explain the decision-making

concrete behavior and this model has been developed by behavioral scientists

Opinion for this article : I think the decision-making must consider what will be decided to achieve maximum results as what is already planned and could possibly reduce the risk of the impact of the decision-making

Sumber :

http://arieswahyu89.blogspot.com/2012/04/reality-of-decision-making.html


proposed = diusulkan
behavior = tingkah laku
appropriate  = sesuai
solving = pemecahan
several = beberapa
scientists = ilmuan
achieve = mencapai
budgeting = penganggaran belanja
consider  = mempertimbangkan
impact  = dampak

Steps in the Decision Process

Decision-making is usually defined as the act of making up your mind about something. However, the process of decision-making is not as easy as it sounds. There are certain important decisions that you have to make which can change the course of your life. Even at a workplace, one is confronted with problems or dilemmas, where the solutions should cater to the need of others around you. Such decisions have to be made in a careful way, especially if it is going to affect you monetarily, or if it is going to bring major changes in your life. Thus, it is important to take decisions in a systematic way, so that the decision you make has high chances of being successful. The article here discusses the 6 stages in decision-making, that can help in clarifying certain things in your mind before you take the final decision. These steps will also help enhance your decision-making skills for different types of decision-making.

How to Make a Decision in Six Steps

1. Defining the Problem: 

The first step towards a decision-making procedure is to define the problem. Obviously, there would be no need to make a decision without having a problem. So, the first thing one has to do is to state the underlying problem that has to be solved. You have to clearly state the outcome that you desire after you have made the decision. This is a good way to start, because stating your goals would help you in clarifying your thoughts.

2. Develop Alternatives: 

The situation of making a decision arises because there are many alternatives available for it. Hence, the next step after defining the main problem would be to state out the alternatives available for that particular situation. Here, you do not have to restrict yourself to think about the very obvious options, rather you can use your creative skills and come out with alternatives that may look a little irrelevant. This is important because sometimes solutions can come out from these out-of-the-box ideas. You would also have to do adequate research to come up with the necessary facts that would aid in solving the problem.

3. Evaluate the Alternatives: 

This can be said to be one of the most important stages of the decision-making procedure. This is the stage where you have to analyze each alternative you have come up with. You have to find out the advantages and disadvantages of each option. This can be done as per the research you have done on that particular alternative. At this stage, you can also filter out the options that you think are impossible or do not serve your purpose. Rating each option with a numerical digit would also help in the filtration process.

4. Make the Decision: 

This is the stage where the hard work you have put in analyzing would lead to a proper decision. The evaluation process would help you with clearly looking at the available options and you have to pick whichever you think is the most applicable. You can also club some of the alternatives to come out with a better solution instead of just picking out any one of them.

5.Implement the Solution: 

The next obvious step after choosing an option would be implementing the solution. Just making the decision would not give the result one wants. Rather, you have to carry out on the decision you have made. This is a very crucial step because all the people involved in implementation of a solution should know about their implications. This is very essential for the decision to give successful results.

6. Monitor your Solution: 

Just making a decision and implementing it, is not the end of the decision-making procedure. It is crucial to monitor your decision regularly once they are implemented. At this stage, you have to keep a close eye on the progress made by implementing the solutions. You may need to measure the results of implementations against your expected standards. Monitoring of solutions since early stage may also help you to alter your decisions, if you notice deviation of results from your expectations.

These steps may, at first, seem very complicated. However, these are essential decision-making techniques that would aid you in taking proper decisions in your personal as well as professional life. Moreover, decision-making is an ongoing process and will never come to a standstill.

Sumber :

http://www.buzzle.com/articles/6-steps-to-decision-making-process.html


cater = memenuhi
implementing  = melaksanakan
essential  = penting
stage = tahap
expected = diharapkan
crucial = sangat penting
instead = malah
advantages = keuntungan
towards  = terhadap
obvious  = jelas

Management and Human Resources Development

Introduction To Human Resource Management 

Every business unit needs human resource (manpower) for the conduct of different business activities. In fact, no organisation can exist or operate efficiently without the support of human resource. Such human resource includes top level managers, executives, supervisors and other subordinate / lower level staff / employees. A business organisation has to estimate its future manpower needs and adjust its manpower planning and development programmes accordingly. This is called 'staffing' function of management. Human resource management is also described as personnel management or manpower management.

According to Edwin Flippo, "Personnel Management is the planning, organising, directing and controlling of the procurement, development, compensation, integration and maintenance of people for the purpose of contributing to organizational, individual and social goals".

Various areas such as recruitment and selection, wage payment and industrial relations are covered under human resource management.

Meaning of Human Resource 

In an industrial unit, large number of persons are employed in order to conduct various operations and activities. This is treated as human resource or manpower employed. A business unit needs material resources as well as human resource for the conduct of various activities. Of all the "M"s in management (such as Materials, Machines, Methods and Money) the most important "M" stands for Men i.e., manpower working in the organisation. It is through manpower/employees that all other ingredients of an enterprise-money, machines, materials, marketing, etc., are managed. In brief, Human Resource (HR) constitutes the most important and the most productive resource of an industrial / business unit.

It is rightly said that "machines are important in the production process but the man behind the machines is more important". He transforms the lifeless factors of production into useful products. Human resource (HR) is an important asset of a business unit. Well-trained, loyal and efficient team of workers brings success and stability to a business unit. This suggests the importance of human resource in business. People and the organisation in which they work are inter-related and interdependent. organisation moves towards prosperity only by using its available human resource purposefully. Similarly, employees get various monetary and other benefits through the prosperity of their organisation.

What is Human Resource Development? HRD 

Human Resource Development (HRD) means to develop available manpower through suitable methods such as training, promotions, transfers and opportunities for career development. HRD programmes create a team of well-trained, efficient and capable managers and subordinates. Such team constitutes an important asset of an enterprise. One organisation is different from another mainly because of the people (employees) working therein. According to Peter F. Druker, "the prosperity, if not the survival of any business depends on the performance of its managers of tomorrow." The human resource should be nurtured and used for the benefit of the organisation.

Importance of Human Resource in Management 

Human resource is most important resource in management and needs to be used efficiently. This is because success, stability and growth of an organisation depend on its ability in acquiring, utilizing and developing the human resources for the benefit of the organisation. In the final analysis, it is the people (i.e employees) who produce promising results and generate a climate conductive to the growth and development of an organisation. HR is a highly productive corporate asset and the overall performance of companies and corporations depends upon the extent to which it is effectively developed and utilised. It is the most delicate factor of production and need not be treated merely as a commodity to be bought and used in factories.

According to Peter Drucker, "The function of management is to manage managers, workers and work". The importance of manpower in business management is now universally accepted. Employees have a capacity to grow and develop, if suitable opportunities are offered. They give positive response to monetary and non-monetary incentives, training opportunities, favorable work environment and motivation. According to Pigors and Myers, "Good management means getting effective results with people". This suggests the importance of human resource.

Human resource is certainly important even in this age of extensive use of computer technology. This is because machine cannot be used as a substitute for human brain which has capacity to think, assess and react. It is correct to say that man is a power rather than man has a power. Progressive / professional managements invest huge funds on training and development of human resource and this suggests the importance of human resource and its contribution in industrial and economic development. Professionally managed companies in India such as Larsen and Toubro Ltd, TELCO, Reliance, etc., give special importance and good attention to HRD.

The following remark of Shri Dhirubhai Ambani, former chairman of Reliance Industries Ltd. (made in the 21st AGM held on 3/8/95), is worth noting in this regard. "Our People : People are assets you can never show on a balance sheet. Our company has a human resource asset of around 12,500 people; 3,000 of which constitute scientific and technical manpower. Every year we add over 450 young professionals. These motivated and well-trained people are the backbone of our business. The team is young in spirit, conscious of its responsibilities and committed to building world class assets for the country".

Meaning of Personnel Management 

Personnel refer to the employees working in an organisation. They represent the manpower which is an important asset of a business unit. Employees are the real supporters of a business unit and they contribute substantially for the stability and prosperity of a business unit. Employees have various problems relating to wage payment, promotions, transfers, working conditions, welfare facilities, training and so on. All such problems are treated as personnel problems. These problems come within the scope of personnel management which is one important area of total business management. Naturally, a separate department called 'Personnel Department' is created in every organisation. It looks after the personnel problems. The manager in charge of this department is called personnel manager. He has to perform various functions which are responsible in nature and also delicate. He needs tact and imagination while dealing with personnel problems. He also needs active support of the top management for dealing with personnel problems effectively.

A personnel manager must be a specialist in organisation theory. In addition, he should be an expert in the personnel administration with knowledge of relevant Labour laws, procedures and so on. A personnel manager needs sound academic qualifications, communication skill, broad social outlook, sympathy and consideration for employees. Knowledge of subjects like philosophy, logic, sociology and ethics is also useful while discharging his duties and responsibilities. He needs a keen sense of social justice and also rights and interest of men (employees) at work. A personnel manager also needs other qualities which are normally required by a successful manager.

In short, personnel management deals with the people working in an organisation. It studies and solves their problems in order to create an efficient, loyal and co-operative labour force for the benefit of a business enterprise.

Personnel management deals with "personnel" of the organisation. It is concerned primarily with the manpower resource inputs.

Definitions of Personnel Management 

According to Edwin Flippo, "Personnel management is the planning, organising, directing and controlling of the procurement, development, compensation, integration and maintenance of the people for the purpose of contributing to organizational, individual and social goals."

According to George R. Terry, "Personnel management is concerned with the obtaining and maintaining of a satisfactory and a satisfied, workforce."

According to British Institute of Personnel Management, in London, "Personnel management is that part of management which is concerned with the people at work and with their relationship within an enterprise."

Features of Personnel Management ↓

Personnel management relates to managing people at work. It covers all levels of personnel’s and their needs, expectations and so on. In this sense, it is a comprehensive function and is basically concerned with managing people at work.

Personnel management is concerned with employees, both as individuals as well as a group. The aim of personnel management is to get better results (for the Organisation) through their involvement, motivation and co-operation. It is a people-oriented process of bringing people and organisations together so that the goals of each are met property.

Personnel management is concerned with helping the employees to learn and develop their potentialities to the highest level for their benefits as well as for the benefits of their Organisation.

Personnel management is inherent in all organisations as all organisations (including industrial and commercial) need manpower for the conduct of their activities. They are concerned with recruitment, selection, utilisation and development of manpower available. Personnel management is an integral aspect of total business management.

Personnel management is a continuous activity/function in an Organisation as personnel problems continue to exist as long as employees are working in an Organisation. They need constant attention as they may disturb normal working of an Organisation, if neglected.

Personnel management aims as securing willing co-operation of employees for achieving organizational objectives. This is natural as industrial and other activities can be conducted only with the support of human resources.

Objectives / Purposes of Personnel Management 

To attain maximum individual development (self development) of the members of an Organisation and also to utilise available human resources fully and effectively.

To mould effectively the human resources.

To establish desirable working relationships between employer and employees and between groups of employees.

To ensure satisfaction to the workers so that they are freely ready to work.

To improve the service rendered by the enterprise to the society through better employee morale which leads to more efficient individual and group performance.

To establish and maintain a productive and self respecting relationship among the members of an Organisation.

To ensure the availability of a competent and willing workforce to the Organisation for its progress and prosperity.

To help Organisation to achieve its goals by providing well trained, efficient and property motivated employees.

To maintain high morale and good human relations within the Organisation for the benefit of employer and employees.

To secure the integration of all the individuals and groups with the Organisation by reconciling individual/group goals with those of an Organisation.

Functions of Personnel / HR Management 

The functions of HRM are directly or indirectly related to the human resource available in the organisation. HR manager has to perform the basic functions of management in the area of HRM. These managerial functions include planning, organising, directing and controlling the manpower of his department. The operative functions of the HRM include procurement of manpower, development of manpower, and payment compensation to manpower and so on. In short, HRM involves the following functions and these functions are to be performed by the HRM department of the Organisation:

Functions of Personnel / HR Management are :-

Procurement of manpower : Procurement means acquiring or resourcing the human resources or the manpower required by an Organisation from time-to-time. Such procurement will be from the employment market. The basic principle in procurement is "right man for the right job". The procurement function includes manpower planning and forecasting, recruitment, selection, appointment, placement and induction of employees so as to have a team of efficient and capable employees for the benefits of the Organisation. Even promotions and transfers are covered by this broad personnel function. At present, scientific methods are used for recruitment and selection of most suitable manpower for the benefit of the Organisation.

Training and Development of manpower : Development of manpower (human resource development) means planning and execution of the training programmes for all categories of employees in order to develop new skills and qualities required for working at the higher level. Manpower development is possible through training programmes and not simply by offering attractive wages to workers. Such manpower development (possible through systematic training programmes) is required for meeting the growing and changing needs of manpower along with the expansion and diversification of business activities. Executive development programmes are introduced for the benefit of higher level managers. Promotions and transfers are possible when manpower development programmes are introduced regularly. Similarly, future manpower requirement will be met properly through such manpower development programmes. This suggests the importance / significance of human resource development. It aims at educating and training employees for the improvement of overall performance of an Organisation. HRD programmes are for education, training and development of existing manpower in an Organisation. This is for facing new problems and challenges likely to develop in the near future.

Compensation payment and reward to manpower employed : One function of HRM department is to pay compensation (in monetary form) to employees for the services rendered. For this, a fair system of remuneration payment (wages and salaries) needs to be introduced. Remuneration to employees should be attractive so that the labour force will be satisfied and disputes, etc., will be minimized. Fair wage payment acts as a motivating factor. Along with compensation payment, HRM also deals with reward system. It is a type of appreciation of exceptional good work and offer some monetary or non-monetary incentive to suitable employees.

Integration of interests of manpower and the Organisation : Manpower is interested in wage payment while Organisation is interested in higher profits, consumer loyalty market reputation and so on. Personnel management has to reconcile the interests of the individual members of the Organisation with those of the Organisation. This will ensure cordial industrial relations. Reconciliation of individual, social and organizational goals and interest is one challenge before HRM.

Maintenance of manpower : This HRM function relating to maintaining of satisfied manpower in the Organisation through the provision of welfare facilities. For this attention needs to be given to health and safety measures, maintenance of proper working conditions at the work place, provision of welfare facilities and other non-monetary benefits so as to create efficient and satisfied labour force with high morale. Even collective bargaining and workers participation come within this broad personnel function. Maintenance of stable manpower is difficult due to the availability of ample employment opportunities.

Provision of welfare facilities : Employees are offered various welfare facilities. They include medical, educational, recreation, housing, transport and so on. These facilities are given for raising their efficiency and also for making their life happy. Welfare facilities create efficient and satisfied Labour force. To introduce new labour welfare facilities and to maintain the existing facilities is one of the functions of HRM.

Sumber :
http://kalyan-city.blogspot.com/2009/12/human-resource-management-human.html


resource = sumber
subordinate = bawahan
procurement = pembelian
wage = upah
manpower = tenaga kerja
conduct = mengadakan
Welfare = kesejahteraan
Labour = buruh
raising = pemeliharaan
existing = ada

Management Functions

Every organization, regardless of size, has developed and implemented its own management concepts in order for it to run smoothly and accomplish the vision, goals and objectives it has set forth. As such, the basic functions of management, broken down into four different areas, allow for it to handle the strategic, tactical and operational decisions for the organization. The four functions of management are: planning, organizing, directing, and controlling.

Planning

Planning is the core area of all the functions of management. It is the foundation upon which the other three areas should be build. Planning requires management to evaluate where the company is currently, and where it would like to be in the future. From there an appropriate course of action to attain the company's goals and objectives is determined and implemented.

The planning process is ongoing. There are uncontrollable, external factors that constantly affect a company both positively and negatively. Depending on the circumstances, these external factors may cause a company to adjust its course of action in accomplishing certain goals. This is referred to as strategic planning.

During strategic planning, management analyzes internal and external factors that do and may affect the company, as well as the objectives and goals. From there they determine the company's strengths, weaknesses, opportunities and threats. In order for management to do this effectively, it has to be realistic and comprehensive.

Organizing

Getting organized is the second function of management. Management must organize all its resources in order to implement the course of action it determined in the planning process. Through the process of getting organized, management will determine the internal organizational structure; establish and maintain relationships, as well as allocate necessary resources.

In determining the internal structure, management must look at the different divisions or departments, the coordination of staff, and what is the best way to handle the necessary tasks and disbursement of information within the company. Management will then divide up the work that needs to be done, determine appropriate departments, and delegate authority and responsibilities.

Directing

The third function of management is directing. Through directing, management is able to influence and oversee the behavior of the staff in achieving the company's goals, as well as assisting them in accomplishing their own personal or career goals. This influence can be gained through motivation, communication, department dynamics, and department leadership.

Employees that are highly motivated generally go above and beyond in their job performance, thereby playing a vital role in the company achieving its goals. For this reason, managers tend to put a lot of focus on motivating their employees. They come up with reward and incentive programs based on job performance and geared toward the employees' needs.

Effective communication is vital in maintaining a productive working environment, building positive interpersonal relationships, and problem solving. Understanding the communication process and working on areas that need improvement help managers to become more effective communicators. The best way to find areas that need improvement is to periodically ask themselves and others how well they are doing.

Controlling

Controlling is the last of the four functions of management. It involves establishing performance standards based on the company's objectives, and evaluating and reporting actual job performance. Once management has done both of these things, it should compare the two to determine any necessary corrective or preventive action.

Management should not lower standards in an effort to solve performance problems. Rather they should directly address the employee or department having the problem. Conversely, if limited resources or other external factors prohibit standards from being attained, management should lower standards as needed.

The control process, as with the other three, is ongoing. Through controlling, management is able to identify any potential problems and take the necessary preventative measures. Management is also able to identify any developing problems that need to be addressed through corrective action.

In order for management to be considered successful, it must attain the goals and objectives of the organization. This requires creative problem solving in each of the four functions of management. More so, success requires that management be both effective and efficient. Therefore, it needs to not only accomplish those goals and objectives, but do it in a way that the cost of accomplishment is viable for the company.

Sumber :

http://voices.yahoo.com/the-four-functions-management-foundation-all-538016.html?cat=3 


accomplish = menyelesaikan
requires = membutuhkan
currently = sekarang
appropriate = sesuai
attain = mencapai
ongoing = terus-menerus
circumstances = keadaan
referred = disebut
determine = menentukan
establish = menetapkan

Marketing

Marketing is the process of communicating the value of a product or service to customers. Marketing might sometimes be interpreted as the art of selling products, but sales is only one part of marketing. As the term "Marketing" may replace "Advertising" it is the overall strategy and function of promoting a product or service to the customer.

From a societal point of view, marketing is the link between a society’s material requirements and its economic patterns of response. Marketing satisfies these needs and wants through exchange processes and building long term relationships. The process of communicating the value of a product or service through positioning to customers. Marketing can be looked at as an organizational function and a set of processes for creating, delivering and communicating value to customers, and managing customer relationships in ways that benefit the organisation and its shareholders. Marketing is the science of choosing target markets through market analysis and market segmentation, as well as understanding consumer buying behavior and providing superior customer value.

There are five competing concepts under which organizations can choose to operate their business; the production concept, the product concept, the selling concept, the marketing concept, and the holistic marketing concept. The four components of holistic marketing are relationship marketing, internal marketing, integrated marketing, and socially responsive marketing. The set of engagements necessary for successful marketing management includes, capturing marketing insights, connecting with customers, building strong brands, shaping the market offerings, delivering and communicating value, creating long-term growth, and developing marketing strategies and plans.