Answer to Question #129409 in Management for Muhammad

Question

Example of programmed decision

Answer 1

Programmed decisions are the routines or repetitive decisions made over a long time and can be handled by using existing or setting new business rules to guide the process. Decisions like these are usually required at specific points in a standard procedure within a company. The decisions might range from simple to tough choices, but the criteria used are the same across. For instance, they are made based on easily identifiable and recognizable factors, which are known and can be measured. Some examples of programmed decisions found in businesses may include:

·        Deciding on the number of raw materials a company needs to order and process to produces goods and services. It can be a programmed decision based on the existing stock in-store, projected production, and estimated delivery time.

·        When the administration of a company is developing a weekly work schedule for interns and part-time employees to direct them on what to do.

·        Human resource team setting guidelines, procedures, or rules to govern the leave of employees.

·        A company's production department decides on the number of goods to deliver to their respective customers once the manufacturing is complete.

·        Deciding on the capacity of goods and services a company needs to produce daily to meet the market demands.

·        Managers deciding on the time employees should report to work and leave for home in the evening.

·        A company’s administration, deciding on when to conduct an annual general meeting for the organization.