There are temporary decisions relating to day to day operation of the organisation. And, the decisions that cover the activities of the enterprise as a whole and are taken by the top-level executives are known as ‘Enterprise Decisions’. On the other hand, the decisions taken by the superior executive in collaboration with the departmental heads concerned are called ‘Inter-departmental Decision’. ‘Departmental Decision’ is taken by the managers of the respective departments. Departmental, Inter-departmental and Enterprise Decisions: The executives of the top level management generally take such decisions. Special decision is taken in respect of any important job. Such decisions are taken at the top level management and remain effective for a longer period in comparison with the other types of decisions. These decisions are very important and the success of an organisation depends much on them. The cost of such decision-making is very high and it has long-term consequences. Such decisions are usually taken by the executives of the top level management. Such decisions are required to be made for opening a new branch, closing an old branch, production of a new commodity, mechanisation of business activities, etc. Such types of decisions are the decisions that are concerned with the solution of unusual problems in which different alternative courses of action cannot be determined in advance. The executives of the lower level management take these decisions. Such decision-making process is applicable to the enterprises with sound organisational structure. Programmed decision means the routine and repetitive decision made within the framework of organisational policies and rules. So it calls for a thorough knowledge and extraordinary skill with reflecting analysis and thinking, such decision-making is the task of the top ranking executives. It is directly related to the achievement of organisational goals and affects the whole or major part of the organisation. Strategic or Vital Decisions:Ī strategic decision has no fixed line or action rather it brings about a change between the established means and ends. The lower level executives may make such type of decisions.
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