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Essay / Decision Making Skills in a Business Environment
Decision making can be defined as a mental process of making choices among possible alternatives to reach a practical decision (Reason, 1990; Wang, 2000). Whether it's selecting which items to buy in a supermarket or deciding which TV channel to watch, we often have to make decisions under different conditions, especially when faced with uncertainties and trade-offs. Certainly, decision-making skills have become increasingly important in a highly competitive and constantly changing business world. From this perspective, various models have been developed by researchers around the world with the aim of conceptualizing the decision-making process and maximizing its potential output. In this article, we will examine the role of the Carnegie and Incremental decision models in explaining the decision-making process in the business environment and how they differ from each other. The Carnegie Model is the brainchild of several researchers associated with Carnegie-Mellon University. , whose model bears the name. This model helped to formulate the bounded rationality approach (an approach according to which managers are unable to follow an ideal procedure in decision making) to individual decision making, and to provide new insights into organizational decision making ( Daft, 2010). In this model, consensus is strongly emphasized by the formation of a “coalition” composed of interested parties such as managers and stakeholders to make the final decision. For example, when the goals of a certain task are ambiguous, different managers tend to have different priorities as to which problem should be solved first. As such, they must negotiate the issue and build a coalition to resolve the issue. Another reason why the middle of the document is in the middle... When the solution is not clear, a trial and error solution can be adopted. Daft (2010) explained that the Carnegie model can be a complement to the selection phase in the progressive model, especially in the negotiation part. By juxtaposing the Carnegie model and the incremental decision-making model, it should be noted that the two are very different but can be perfectly combined under certain conditions. In other words, contrasting these two models is like comparing an apple and an orange. However, by fully understanding both models, managers can be equipped with the skills to make rational and decisive decisions. After all, it all comes down to the good judgment and discretion of managers to make the best choice among all alternatives for the good of their organization to maximize organizational efficiency and effectiveness..