Operational Management: intuition decision

The thought process of selecting a logical choice from the available options is decision making. When trying to make a good decision, a person must weigh the positives and negatives of each option, and consider all the alternatives and select best alternatives. Depending upon different managerial style there are different decision making style. Decision making involves uncertainty and risk. Decision making also involves qualitative and quantitative analyses, and some decision makers prefer one form of analysis over the other. Decision making can be affected not only by rational judgment, but also by non-rational factors such as the personality of the decision maker, peer pressure, the organizational situation, and others.

The general Steps in Decision Making process are

• Identifying Objectives
• Objectives must be classified and placed in order of importance
• Alternative actions must be explored/developed
• The alternative must be evaluated against desired objective
• The alternative that is able to achieve all the objectives is the tentative decision
• The tentative decision is evaluated for more possible consequences
• Based on consequences decisions are made

Most of the time I used intuition decision making process to take the decision. I like to follow the trend and being entrepreneur I often forced to make decisions under conditions of uncertainty and without all of the necessary information. Recently, I decided to import the new branded wine from china in the city and I don’t know what will be the response of the people. I chose it because I think that people will consume it, their behavior is changing and they will like to taste the new taste wine. I launched it without doing any research on market. Suddenly after the month the demand of the wine is very high and I need to supply more to cover the demand of consumer. But the intuition process is not always effective. I have to make decision on my gut. Another bad horrible experience is, I leaned a money to my friend who seems very good and handsome. He is working guy and I felt that he will return my money after getting the salary. His characteristics is very good and very polite and I believed him and I gave him money without doing any paper work. When I asked for money after a month he denied to return and after that I search his profile. He is not good as he seem early. He is drunker and use to lean money from people. My decision to lean him money is wrong and till today I did not get my money back.

So I conclude that intuition decision making is done on uncertainty it sometime work and sometime may not. To take a quick decision the decision maker should have a deep knowledge about that and intuition is develop with the long experience. Like, before lending money to someone, I will not lean the money to drunker and without doing paper. Intuition only works well in specific environments and we need to rely on self-knowledge and experience.