"Running head: MANAGEMENT DECISION MAKINGManagement Decision Making MANAGEMENT DECISION MAKING1Executive Summary In this report, the major factors are discussed that are responsible for making an effective andefficient decision making. This report has mainly focussed on decision making ability ofmanagers of organization IBM and Apple Inc. The report has provided the major issues thatare faced by the managers while making decision efficiently. From this report, it is clearlybeen analysed that effective memory is helpful in decision making process but lack ofmemory affect the process badly. The report also provides brief details regarding the issuesthat are generated while making and the methods that are implemented by in order to sort outthe issues related to decision making. Change in trends regarding implementation of updatedtechnologies to carry out operations in an effective and efficient manner. Several mistakesarise while a proper conduction of the operations, letting the past mistakes off, is one majorconcern for the manager. 1 MANAGEMENT DECISION MAKING2Table of ContentsExecutive Summary ................................................................................................................... 11. Introduction ............................................................................................................................ 3a. Aims and objectives for the assignment ............................................................................. 3b. Background information about management and changing trends. ................................... 3c. Issues on managerial decision making. .............................................................................. 4d. How did you conduct the assignment? ............................................................................... 4e. Include the theory/references on decision making model. ................................................. 42. Manager 1 .............................................................................................................................. 4a) Background description of the organization .......................................................................... 4b) Description of the manager’s level and responsibilities ........................................................ 5c) Discuss the factors (i.e. internal and external environment) that affect the manager’s work 6d) Key decision making criteria and perspectives ..................................................................... 7e) Other relevant issues .............................................................................................................. 72. Manager 2 .............................................................................................................................. 9a) Background description of the organization .......................................................................... 9b) Description of the manager’s level and responsibilities ........................................................ 9c) Discuss the factors (i.e. internal and external environment) that affect the manager’s work .................................................................................................................................................. 10d) Key decision making criteria and perspectives ................................................................... 11e) Other relevant issues ............................................................................................................ 124. Brief comparison of the two managers ................................................................................ 12Decision making criteria .......................................................................................................... 12Effectiveness and efficiency of their decisions ........................................................................ 12Key success factors (KSF) ....................................................................................................... 135. Conclusions and Recommendations .................................................................................... 13References ................................................................................................................................ 152 MANAGEMENT DECISION MAKING31. IntroductionManagement decision making is a critical method that involves set of processes in order toimprove the overall performance of the organization in an effective manner (Altmeppen etal., 2017). In this report, the reader will easily be able to understand the decision makingsteps implemented by the managers of organization IBM and Apple Inc. The reader will alsobe able to analyse the major operations carried by the management department of both theorganizations. This report also consist the major factors responsible for influencing theoverall decision making of management department of the organization. a. Aims and objectives for the assignmentAims The main aim of this assignment is to elaborate the major decision making steps taken by themanagement department of the organization IBM and Apple Inc.ObjectivesThe major objectives of this assignment are as follows:? To analyse the manager’s role and responsibilities within the organization? To understand the factors affecting manager’s decision making ability? To identify the issues faced by the management department of the organizationregarding decision making? To identify the strategies implemented by the manager to overcome the issuesb. Background information about management and changing trends.Management of an organization determines the overall procedures and manages theoperations carried within the organization that leads the organization to attain itsorganizational objectives in an efficient and effective manner (Amaye et al., 2016). Withchange in time, the management department of organizations IBM and Apple Inc hasimplemented various strategies in order to improve their decision making capabilities.Change in trends regarding implementation of updated technologies to carry out operations inan effective and efficient manner (Calabrese et al., 2017). Various developments in technologies have resulted in increase in efficiency of overalloperations carried out within the organization. Based on the requirement on implementation3 MANAGEMENT DECISION MAKING4of new technologies, the management department of the organizations continuously plans fortraining the employees in order to make the employees efficient in carrying out operationswith new technologies. c. Issues on managerial decision making.Issues on managerial decision making are as follows:? Avoidance of risks regarding decisions made by the management department? Ignorance of outcomes obtained from similar decision making steps? Diverging from the organizational aims and objectivesd. How did you conduct the assignment? The management of the organization is one of the major source by which the organizationleads in attaining its organizational objectives in an effective and efficient manner. Thisassignment is mainly conducted by implementing secondary research from various sources. e. Include the theory/references on decision making model.In this assignment, the rational decision making model is selected, which consist of structuredsequence of four steps that involves identifying the problem, generating an alternativesolutions, selecting the proper solution, and implementation of the solution. 2. Manager 1a) Background description of the organizationInternational Business Machines (IBM) is the largest multinational technology companyoriginated in America. Headquarter of the company is situated in Armonk, New York, UnitedStates. In 1911 this company was formed with the name of Computing-Tabulating-RecordingCompany (CTR). This company was again renamed as ‘International Business Machines’later in the year 1924 (Deresky, 2017). IBM includes various products and services. Ifdescribed accordingly, in the year of 2017, the company includes products and services like,cognitive computing, cloud computing, data analytics, commerce platforms, Internet of things(IoT), Mobile, security and IT infrastructure. Cloud computing lies in the category of servicesprovided by the company.4 MANAGEMENT DECISION MAKING5b) Description of the manager’s level and responsibilitiesIf the levels of management are the main concern, it can be stated that there are mainly threelevels of management that any company needs to maintain. The three levels of managementdepartments involve three different managers with different responsibilities. In this case ofthe company IBM mainly maintains three levels of management and according managers. Top level of management: The top level of management includes the employees like boardof directors, managing directors and chief executive officers (CEO). The mainresponsibilities of the top level managers are,? Setting the broad policies and objectives of the company? Setting important instructions for the preparation of budget for different departmentsof the company? Initiating strategic planning and policies for the company (Amaye et al., 2016)? Providing guidance and direction to the employees within the office? Maintaining connection with the outside world as in the global business market? Appointing the middle level managers and employeesMiddle level of management: Being one of the largest MNC companies, IBM includesmany branches and sectors in different parts of this world. The middle level of managementinvolves branch managers and departmental managers. The middle level managers take careof the various departments involved with the business operations of the company. The vitalresponsibilities of the middle level managers include several important responsibilities(Cooper et al., 2016).? Execution of the plans and programs taking into account the policies and directivesacquired from the top level management? Planning for the sub-departments are taken care of by the middle level managers? Recruitment and training of the lower level of management is done in this part of themanagement? Middle level managers assess and report to the top level regarding the performance ofthe junior level managers? Inspiration and motivation for the lower level of management is one keyresponsibility of this department? Co-ordination of different activities of different departments are another significantresponsibility of the middle level management5 MANAGEMENT DECISION MAKING6Lower level of management: The lower level of management includes the supervisory orthe operator level people. The managers in this department include various designations as in,superintendent, foreman, supervisor and sectional officers. In IBM this level of discriminatedemployees are maintained. The key responsibilities are,? Assigning the daily jobs? Properly guiding and helping the employees working? Maintain communication within different teams, different departments and to the topand middle level of management? The lower level managers are known as the image builders for the company as theydirectly work with the production departments c) Discuss the factors (i.e. internal and external environment) that affect the manager’sworkIn case of the manager of IBM, according to the discussion with the top level of management,it became evident that the internal stakeholders and external factors include a great impact onthe operations of the organization. An interview was conducted with the manager of IBM,Mr. Harriet Green.Internal factorsThe impact mainly comes from the internal stakeholders, which are, the board members,volunteers, staffs and donors. The donors in this case for IBM are the business entrepreneursinvesting in the different departments of IBM. According to the manager, when he is workingon a matter, negative decision of the top level management as in the board of directors or theCEO of the company impacts negatively in the operations conducted by the manager(Calabrese et al., 2017). Pressure from the employees regarding payment: The employees of the company are themain stakeholders of the company contributing for the profit of the company. When thepayment is not provided accordingly to the employees the productivity of the company getshampered.Donors for shares: It is a fact that the donors donate within any company for getting apercentage of the market shares. When the criteria are not fulfilled by the company the6 MANAGEMENT DECISION MAKING7donors claim their shares without notice. This can cause great problem for the company(Graham et al., 2017).The external factors in this case are Political aspects, environmental aspects, social andtechnological aspects. The political situation can control the internal situation of thecompany. Unstable political condition affects the operations of the company badly. Thesocial aspects include the welfare of the community. Environmental aspects are one majorconcern for IBM as the company initiates their CSR activities for overcoming theenvironmental issues. In addition the technical advents are also helpful in making thecompany beneficed. If all the technical aspects are covered and implemented within theoperations of the company and the manufacturing department, it will help the company inreaching to the top of their professionalism.d) Key decision making criteria and perspectivesDecision making is the key responsibility for the manager. In case of IBM, the operations aremainly expert based so, for a proper decision making for the company, few tips can befollowed. According to Harriet Green, the main influence comes in decision making is fromletting go off the past mistakes (Lam et al., 2017). Several mistakes arise while a properconduction of the operations, letting the past mistakes off, is one major concern for themanager. IBM mainly uses the Rationale model of decision making for the company. Itdetermines the efficiency of the manager regarding decision making and operationconducting. Being honest and being decisive is another effective way for making decisionsfor the managers of a company. The part being honest is suggested for self-evaluation andbeing decisive is the part, which can be suggested to the managers for their competitors. Theauto motivation and self-evaluation are effective in this case (Stern et al., 2017). e) Other relevant issuesThere are several other issues that must be considered while conducting business operations.Insufficient capital is one of the major issues when conducting business operations. This caseof poverty includes less investment and it is not helpful for completing the operations in aproper manner. A consistency in the decision making process is useful in reaching out for thesuccess factor. In addition, it can also be addressed that effective memory is helpful indecision making process but lack of memory affect the process badly. These all are the7 MANAGEMENT DECISION MAKING8relevant issues in any business organization and is not so helpful in effective decision makingand other aspects of a business procedure (Kosamu et al., 2017). 8 MANAGEMENT DECISION MAKING92. Manager 2a) Background description of the organizationTesco is the biggest multinational retail organization started in UK. Headquarter of theorganization is situated in hackney, London, United Kingdom. In 1919 this organization wasinitiated by the Jack Cohen. Tesco incorporates different items and administrations. On theoff chance that portrayed in like manner, in the time of 2017, the organization incorporatesitems and administrations like, Super market products, distributed ownership in retailing,hypermarket and superstores (Altmeppen et al., 2016). Distributed retailing lies in theclassification of administrations undertaken by the organization. Tesco is one of the largestretail sectors in UK. The management of the company is totally dependent on the proficientworking of the managers if the company.b) Description of the manager’s level and responsibilitiesOn the off chance that the levels of administration are the fundamental concern, it can beexpressed that there are for the most part three levels of administration that any organizationneeds to keep up. The three levels of administration offices include three uniqueadministrators with various obligations. For this situation of the organization Tesco for themost part keeps up three levels of administration and concurring supervisors. The best level of administration incorporates the representatives like directorate, overseeingchiefs and CEOs (CEO) (Purkey et al., 2016). The fundamental duties of the best leveladministrators are, 1. Setting the expansive arrangements and goals of the organization 2. Setting vital directions for the arrangement of spending plan for various divisions ofthe organization 3. Initiating vital arranging and approaches for the organization 4. Providing direction and course to the workers inside the workplace 5. Maintaining association with the outside world as in the worldwide businessshowcase 6. Appointing the center level directors and workers (Foster et al., 2016) Being one of the biggest MNC organizations, Tesco PLC incorporates many branches anddivisions in various parts of this world (Silvius et al., 2017). The center level of9 "