Decision in paradise part 2

Decisions in Paradise

Introduction

Kava is a good location in setting up operations for the company Although it is prone to natural disasters , careful planning and decision making will help mitigate the impact of such disasters . To maximize the lucrative market presented by Kava , the organization has to start expanding its operations . Expanding operations , however , is not an easy task . There should be careful planning and a consideration of all the major factors that the organization will face as it expands operation

The external environment should be scanned and analyzed so

that the organization can have a baseline data as to the forces it will deal with as it grows . With such an environmental scan , the managers and executives of the organization need to display effective decision making strategies . Without such strategies , the decision-making process will fall to face value analysis and gut feelings that may not necessarily correspond with the facts and effective management

Effective Decision Making

The major concern of the organization is to arrive at solutions for the problem at hand - how to expand operations in Kava and grow in the market . The first part of the decision-making process is the identification of solutions . Management and business literature offers several solutions in expanding the operations of the business . But finding the most appropriate solution for the peculiar situation of the organization given its environment in Kava is the difficult challenge

The solution should derive from the Vision and Mission of the organization (Harrison , 1999 . From these important statements , the organization should take a look at its products and what it can offer to the customers at Kava . With profits as goal of the organization , it can then launch an extensive marketing campaign in Kava to make people aware of what the organization has to offer . The company should also streamline its operations . This way , it can save on money and resources and use these for expansion and additional capitalization

With each strategy that will be implemented by the organization , it should go through the cost-benefit analysis . This strategy of decision making will enable the leaders of the company to analyze the impact of each solution to the overall development of the company . Spending too much for a solution that can only yield minimal results would be inimical to the overall growth plan of the organization . By undertaking the cost-benefit analysis , decision makers will know what to expect and how much yield will each solution give to the company (Yukl , 2002

Cost-Benefit Analysis as a Decision-Making Strategy

The first step in this decision making would be listing down several possible solutions to the problem given the knowledge of the organization of the market and its own products and services . Each solution will then be analyzed based on its cost and the benefits it will yield . As each solution is scrutinized and analyzed , they will be ranked based on the net effect that it will bring to the company . The ranking will become the basis of the organization in...