SWOT Analysis: Application of Decision Making Game (Research Paper Sample)

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Title: APPLICATION OF DECISION MAKING GAME
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Application of Decision Making Game
Based on the weaknesses already identified about my decision making process where it has been said that I take overconfident decisions based on my presumption and immature analysis, it is important that a devise a new approach and strategy to decision making that can be considered more useful, accurate and efficient. The need for this comes from the fact that the decisions made by senior management members such as the chief operating officer goes a long way to affect not just the immediate actions taken but the organizational culture as a whole (Morris, Rehbein, Hosseini and Armacost, 1995). Donaldson and Dumfee (2009) also stressed that decisions made at the senior management level has a lot of influence on other members of the organization, particularly those below the ranks in the organization. This is a position that cannot be disputed given the fact that in any typical organizational structure, the actions and conduct of employees below are based on the outcomes of the decisions and instruction that come from senior management members (Kahneman and Tversky, 2000). While reconciling the impact of bad decisions made by senior management members with actions taken by employees below the rank, Ferrell and Gresham (2005) noted that there is the tendency that a single bad decision from top management members can lead to cultural disconnect in the organization when those below the rank have a feeling that they have better actions and decisions to take that would benefit the organization and so act contrary to what senior managers instruct them to. This background elaborates the need clearly apply decision making tools or strategies from the lessons that I learnt from the decision making game, which have been listed already.
Already in the game, Dave made use of SWOT analysis in his decision making. For my personal decision-making process, there are three other decision making tools that I shall be using, based on the outcome of the game. The first of these is cost-benefit analysis. Reading through the case with SPMC, one gets the understanding that the existing financial problem of the hospital has come about because of a poor connection between decisions about cost and decisions about benefits. Meanwhile, McCabe, Trevino and Butterfield (2006) warned that such lack of connection leads to making haphazard decisions, which do not guarantee any specific outcomes. For example, it can be noted that at SPMC, decisions of cost and benefit were not well considered in the recruitment processes of the organization that have been taken in times past. Apart from cost and benefit decisions being part of the cause of the problem, they can also be seen to be part of the solution. This is because there are currently two major options to select from. These are the downsizing of unnecessary staff and acquisition of the remote outpatient medical center. Where there are two or more options to choose from when making decisions, Loe, Ferrell and Mansfield (2000) recommend the use of a cost-benefit analysis. Cost-benefit analysis is used in a manner whereby there is the assessment of costs and potential benefits associated with different courses of action (Deal and Kennedy, 1999). This leads to a quantitative or qualitative outcome as to which of the options leaves greater profit. The course of action that results in the greatest net benefit is therefore selected as the most preferred for the organization (Carson, 2003).
The other decision making tool that will be used in the future in making decisions and aiding to make more accurate decisions is feasibility study. The use of feasibility study as a decision making tool is very common in organizational management especially when it comes to the need to start new projects which are projected to be profitable (Nightingale, 2008). This is because feasibility study generally involves the act of having an assessment of projects or goals to know if they can actually be implemented or achieved in a manner that makes profit (McDevitt and Van Hise, 2002). The reason feasibility study is considered very useful for my future professional and personal practice is that it will help me overcome my weakness of making overconfident decisions very directly. This is said because the feasibility study will lead to a situation whereby I will be force to bring all potential variables of merits and demerits on board before making decisions (Triantaphyllou, 2010). In the case of SPMC, it is important to understand that each of the two courses of actions could have their own challenges with implementation, which could render them feasible to implement. Whiles taking my decision, it was important for me to have considered all such challenges and hindrances but I could not. Should I have used feasibility study, I would have easily done this. As part of future practice, I shall ensure that I have a better understanding of all potential hindrances to implementation that could by itself lead to losses even after implementation and avoid such courses of action (Martinsons, 2011).
Last but not least, Nasir Naqvi et al. (2005) advocated the use of market research as a decision making tool that offers client based outcomes. What this means is that when market research is used as a decision making tool, not only are the interests of the organization making the decisions reflected but the interest of the clients who will be the recipients of the decision (Hall, Ariss & Todorov, 2007). This is because in using market research, decision makers or the project team within the organization gathers information about a particular market and uses the outcome of the information gathered to make decisions (Chua et al., 2004). in the case of SPMC for example, should market research had been used, information pertaining to patient preferences, presence of competitors and current trends in the healthcare sector have all been considered before deciding on one of the two courses of action. Doing this would have made it clear to the senior management team as to which of the two decisions could directly address the needs and concerns of patients who use our services. By so doing, the decision making could not have any possible negative impact on the patients of the hospital. Into the future therefore, I shall dwell more on the use of market research as a way of ensuring that bad decisions that do not favor clients are not made. This is because such bad decisions can negatively affect the organization’s relations with its clients, and go a long way to affect the inflow of cash negatively (Barbey, Colom and Grafman, 2013).