1. Planning and Decision Making
Management as a planning and Decision Making
Dental Clinic and Hospital Management I
Faculty of Dental Medicine, Rangsit University
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2. Objective
Able to describe the definition and purpose of planing
Able to describe the relationship of planning and goal establishing
Understand the structure of decision-making
Understand the “Probability Theory” and “Decision Making Tree”
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3. Objective
Able to describe the definition and purpose of planing
Able to describe the relationship of planning and goal establishing
Understand the structure of decision-making
Understand the “Probability Theory” and “Decision Making Tree”
Contents
Planning
Definition and Purpose of Planning
Type of Plan
Establishing Goal
Step in Planning Process
Decision-Making
Rational and Intuition
Decision-Making Tools
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9. Planning
“Identifying and selecting appropriate goals and courses of action”
Goal - What’s To Be Done
✚
Action - How It’s To Be Done
Purposes of Planning
• Planning gives direction
• Planning reduces uncertainly
• Planning reduces overlapping and wasteful activities
• Planning sets the standard used in controlling
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10. Planning
“Identifying and selecting appropriate goals and courses of action”
Goal - What’s To Be Done
✚
Action - How It’s To Be Done
Purposes of Planning
• Planning gives direction
• Planning reduces uncertainly
Planning
• Planning reduces overlapping and wasteful activities
• Planning sets the standard used in controlling
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11. Planning
“Identifying and selecting appropriate goals and courses of action”
Goal - What’s To Be Done
Controlling
Purposes of Planning
Leading
Action - How It’s To Be Done
Organizing
✚
• Planning gives direction
• Planning reduces uncertainly
Planning
• Planning reduces overlapping and wasteful activities
• Planning sets the standard used in controlling
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12. Planning
“Identifying and selecting appropriate goals and courses of action”
Achieving
objectives
Goal - What’s To Be Done
Controlling
Purposes of Planning
Leading
Action - How It’s To Be Done
Organizing
✚
• Planning gives direction
• Planning reduces uncertainly
Planning
• Planning reduces overlapping and wasteful activities
• Planning sets the standard used in controlling
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15. Type of Plans
Breadth
Time Frame
Functional
แผนกลยุทธ์
Strategic
Long term
> 5 ปี
Master plan
Functional plan
แผนยุทธวิธี
Tactical
Intermediate term
1-5 ปี
Short term
ภายใน 1 ปี
Single use
Project plan
Comprehensive plan
แผนปฏิบัติการ
Operational
Frequency of Use
Standing
Activity plan
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30. Establishing goal
Traditional Objective Setting
“I want to see a
significant
improvement in
this division’s
profit.”
Top
“We need to improve the organization’s
performance.”
Management
Division Management
Department Management
“Increase profits regardless of the
means.”
“Don’t worry about quality; just work
fast.”
Individual
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31. Establishing goal
Traditional Objective Setting
Top
“We need to improve the organization’s
performance.”
Management
Division Management
Department Management
“Increase profits regardless of the
means.”
Top Down
“I want to see a
significant
improvement in
this division’s
profit.”
“Don’t worry about quality; just work
fast.”
Individual
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50. Steps in the Planning Process
Stating organizational objective
Listing alternative ways of reaching objectives
Input
Process
Output
Developing premises upon which each
alternative is based
Choosing best alternative for reaching
objectives
Input
Process
Output
Developing plans to pursue chosen alternative
Putting plans into action
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52. The Management as a Decision Making
“The process by which managers respond to opportunities and threats by analyzing options
and making determinations about specific organizational goals and courses of action.”
Programmed Decision Making
Nonprogrammed Decision Making
Routine, virtually automatic
decision making that follows
established rules or guideline
Nonroutine decision making that
occurs in response to unusual,
unpredictable opportunities and
threats.
Intuition
Reasoned
judgement
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54. Rationality VS Intuition
Make decision based
on past experience
Make decision based
on ethical values or
culture
Single, welldefined goal is to
be achieved
All alternatives and
consequences are
known
Preferences are
constant and
stable
Experience-based
decisions
Problem is clear
and unambiguous
Values or ethic-based
decisions
Rational
Decision
Making
Affect-initiated
decisions
Intuition
Final choice will
maximize payoff
Subconcious
mental processing
Preferences are
clear
Make decision based
on feeling and
emotions
Cognitive-based
Decisions
No time or cost
constraints exist
Use data from
subconcious mind to help
making decisions
Make decision based on skills,
knowledge, and training
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55. Element of Decision Situation
1
Decision Makers
Receptive
Exploitative
Hoarding
Marketing
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2
Ordering of
Alternatives
3
Goals to be
Served
5
Relevant
Alternatives
Choice of
Alternatives
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64. Decision-Making Conditions
Decision-Making Style
Tolerance for Ambiguity
High
Certainly
Low
Rational
Condition
Risk
Analytic
Conceptual
Directive
Behavioral
Maximizing the
Maximum Possible Payoff
Way of thinking
Intuitive
Optimistic
Uncertainly
Pessimistic
Maximizing the Minimum
Possible Payoff
Minimizing the Maximum
Possible Payoff
Conservative
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65. The Decision-Making Process
•Identifying Decision Criteria
•Allocation Weight to the Criteria
•Developing Alternative
•Analyzing Alternative
Identify
existing
problem
List alternative
problem
solutions
Select most
beneficial
alternative
Implement
chosen
alternative
Gather
problem-related
feedback
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66. Decision-Making Tools- Probability Theory
EV = I x P
EV = Expected value
I = Current income
P = Probability
Alternative
Potential income
Probability of income
Expected value of
alternative
A
1,000,000
0.1
100,000
B
250,000
0.4
100,000
C
650,000
0.2
130,000
D
500,000
0.3
150,000
P
EV
I
x
✔
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77. Decision Making Tools-Group Decision Making
Brainstorming
Group members
state ideas
Group leader
records each
idea where
group can
read it
Idea evaluated
only after
all have been
recorded
No comments
on idea at
this stage
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78. Decision Making Tools-Group Decision Making
Brainstorming
Group members
state ideas
Group leader
records each
idea where
group can
read it
No comments
on idea at
this stage
Idea evaluated
only after
all have been
recorded
Nominal Group
Technique
Group members
state ideas
Group leader
records each
idea where
group can
read it
The
members
proceed to
rank the
solution
The lowest
total
ranking is
selected
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79. Decision Making Tools-Group Decision Making
Brainstorming
Group members
state ideas
Group leader
records each
idea where
group can
read it
No comments
on idea at
this stage
Idea evaluated
only after
all have been
recorded
Nominal Group
Technique
Group members
state ideas
Group leader
records each
idea where
group can
read it
The
members
proceed to
rank the
solution
The lowest
total
ranking is
selected
Delphi Technique
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93. เกม คือ สถานการณ์ที่มีการแข่งขันหรือการขัด
แย้งระหว่างผู้เล่นสองฝ่ายขึ้นไป ทําให้มีฝ่าย
ชนะและฝ่ายแพ้ ฝ่ายชนะผลออกมาเป็นบวก
ส่วนฝ่ายแพ้ผลออกมาเป็นลบ
ทฤษฎีเกม (Game theory)
ผู้เล่น A
ทางเลือก/กลยุทธ์ A
ผลตอบแทน
กลยุทธ์ A
การเปรียบเทียบผล
ตอบแทน A & B
ผู้เล่น B
ทางเลือก/กลยุทธ์ B
ผลตอบแทน
กลยุทธ์ B
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94. เกม คือ สถานการณ์ที่มีการแข่งขันหรือการขัด
แย้งระหว่างผู้เล่นสองฝ่ายขึ้นไป ทําให้มีฝ่าย
ชนะและฝ่ายแพ้ ฝ่ายชนะผลออกมาเป็นบวก
ส่วนฝ่ายแพ้ผลออกมาเป็นลบ
ทฤษฎีเกม (Game theory)
ผู้เล่น A
ทางเลือก/กลยุทธ์ A
ผลตอบแทน
กลยุทธ์ A
การเปรียบเทียบผล
ตอบแทน A & B
ความร่วมมือ
ผู้เล่น B
ทางเลือก/กลยุทธ์ B
ผลตอบแทน
กลยุทธ์ B
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