ISA 235 Lecture Notes - Lecture 3: Decision Support System, Disruptive Innovation, Middle Management
Document Summary
Operational level- employees develop, control, and maintain core business activities required to run day to day operations. Structured decision- involves situations where established processes offer potential solutions. Models help managers make decisions, layout of business. Disruptive technology changes the way business is conducted. Managerial decision-making challenges: managers need to analyze large amounts of information, managers must make decisions quickly, managers must apply sophisticated analysis techniques, such as porter"s strategies or forecasting, to make strategic decisions. Decision-making and problem solving occur at each level in an organization. Managerial level- employees are continuously evaluating company operations to hone the firm"s abilities to identify, adapt to, and leverage change. Semistructured decision- occurs in situations in which a few established processes help to evaluate potential solutions, but not enough to lead to a definite recommended decision. Strategic level- managers develop overall business strategies, goals, and objectives as part of the company"s strategic plan. Focus: external, industry, cross company, what happens if .