Decision Factors

Posted on May 15 2009

In making a decision, we have made much discussion regarding decision factors when talking about models and process about setting the parameters. The parameters are the factors important to consider when considering alternatives and making the decision.

Factors To Consider

1 Resources – how much money, time, people and capital are required to implement this particular alternative?

2 Are the benefits worth the cost – see cost benefit analysis

3 How to we measure costs and benefits? Are there intangible benefits we must evaluate in a different way?

4 Time factors – what are the long and short term consequences?

Grounds for Decisions

1. Substantive Grounds – what are the merits of the situation?

2. Political Grounds – what kind of support is available for this decision?

3. Organizational Grounds – is specialization required? Do we have the skills required to respond to the decision if it is made on this alterative?

Quality & Quantity

What information is available?

Are the decision factors basis enough to base good analysis on, or will we have to gather or create it?

Sunk Costs

What has already been spent?

Group Think

Members often strive for a unanimous decision. Often when they become tired, or have analyzed the decision factors for so long, they may see it from the other alternatives, losing their perspective on their beliefs in the first place. Can they really appraise the alternatives realistically at this time?

Factors which play a part in Group Think:

Group cohesiveness

Tendency for unanimity

Isolation from other influences

Degree to which the Group leader wants one preferred solution

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