What is rational model of decision making? What are the steps in the rational problem solving process?

Decision making is about solving problems, and some theorists maintain that problem solving is not haphazard but entails that there are certain organised and systematic steps.

This model is based on the following assumptions:-

  1. That all alternative ways of solving a given problem can be identified and that consequences of each course of action can be readily ascertained.
  2. That there is a clearly defined criterion for determining the best course of action from among the various
  3. And that managers act rationally – g. they are willing and capable of identifying more than one way of solving a given problem
STEP 1: INVESTIGATE THE SITUATION

A thorough investigation has three aspects.

  1. Define the problem. Care should be taken in identifying and defining the problem. This problem should be defined in terms of organisational goals and objectives that are being hindered and this could also be an effective way of avoiding addressing symptoms than the actual problem.
  2. Identification of decision objectives. What would constitute an effective solution? What would be the objective of the decision, in the light of the problem? If a solution enables the manager to achieve organisational objectives, it is a successful one.
  3. Diagnose the causes. A solid understanding of all the sources of the problem is necessary as it develops a set of appropriate Managers may ask a number of questions e.g. (1) what changes inside and outside the organisation may have contributed to the problem? (2) What or which people are most involved with the problem situation? (3) Do they have insights or perceptive that may clarify the problem? (4) Does their actions contribute to the problem?
STEP 2: DEVELOP ALTERNATIVES

This is a simple stage with programmed decisions but not so with non-programmed especially if they are time consuming. Use may be made of idea-generating techniques, most notably brainstorming.

No evaluation of alternatives is necessary as yet at this point, as emphasis is on developing alternative ways of solving the problem only.

STEP 3: EVALUATE THE ALTERNATIVES AND SELECT THE BEST ONE

Managers should, for each alternative, look at

  • Its feasibility
  • Whether it is satisfactory and also its cosequences
  • Some cost-benefit analysis (CBA) may also help make best decisions
  • The best decision is based on available resources of time and information and imperfect judgement
STEP 4: IMPLEMENTATION AND MONITORING (FOLLOW-UP)

This is the final stage and entails implementation of the chosen course of action (best alternative) monitoring and where necessary making corrective actions.

One may also view this as the control mechanism for decision making and problem solving

Has the solution (alternative) chosen solved the problem? If not, it may be necessary to go back to the drawing board.

 

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Susmita Sah
Jan 13, 2022
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