This website uses cookies to ensure you have the best experience. Learn more

Decision Making: The Power Of Analytics

1597 words - 6 pages

Companies have transformed technology from a supporting tool into a strategic weapon.”(Davenport, 2006) In business research, technology has become an essential means that many organizations use in their daily operations. According to the article, Analytics is a major technological tool used. It is described as “the extensive use of data, statistical and quantitative analysis, explanatory and predictive models, and fact-based management to drive decisions and actions."(Davenport, 2006) Data is compiled to enhance business practices. When samples are taken, they are used to examine research and understand how to solve problems or why situations are as they are. Furthermore, in this article, Thomas Davenport discusses analytics from a business standpoint. He refers to organizations that have been successful in their usage of data and statistical analysis. In addition, he also discusses how data and statistics can be vital in the efforts to improve the operations of businesses.

How to become an analytics competitor:
Companies are able to become analytic competitors through various activities. One of the first steps to becoming a competitor is the widespread use of modeling and optimization. Instead of following basic statistical information, it is wise to look for ways to enhance profitability. To become successful at this, organizations use both internal and external information retrieved from outside sources for a vivid understanding of their consumers. Secondly, an enterprise approach is necessary. Through this approach, employees become proactive at finding out what items or processes are effective. A good example would be of how the article talks about UPS’s approach for assessing problems,” The UPS Customer Intelligence Group, for example, is able to accurately predict customer defections by examining usage patterns and complaints. When the data point to a potential defector, a salesperson contacts that customer to review and resolve the problem, dramatically reducing the loss of accounts. UPS still lacks the breadth of initiatives of a full-bore analytics competitor, but it is heading in that direction.” (Davenport, 2006) Furthermore, help from senior executive advocates would be essential. With the cooperation of the CEO or top managing official setting the culture of the company, it would be in their best interest to influence others, according to their beliefs. For example, if the CEO or senior managing official is persuaded to proceed with a particular theory or idea, they would then be willing to share it with his fellow managers who would then incorporate it into the organizational culture.
“As one would expect, the transformation requires a significant investment in technology, the accumulation of massive stores of data, and the formulation of companywide strategies for managing the data. But at least as important, it requires executives’ vocal, unswerving commitment and willingness to change the way employees think, work, and...

Find Another Essay On Decision Making: The Power of Analytics

The Social Side of Decision Making

643 words - 3 pages The organizations workers are suffering from a combination of decision making theories. The most prominent ones are conformity and groupthink. Conformity is seen in that the members work by adhering to the average instructions given by the boss.In a theory of conformity an endogenous mechanism is responsible for establishing social norms i.e. social preferences cause behavior that is conformist in nature. Convergent behavior is seen in economic

The Effects of Values on Decision Making

1022 words - 4 pages The Effects of Values on Decision Making The purpose of this paper is to examine how personal, organizational, and cultural values affect decision making in my personal and professional life. My cultural, organizational and personal values represent my beliefs and traditions of my cultural environment. Through my research, I examined values and based them on how important they are within my personal, organizational, work, and cultural

The Impact of Ethics on Decision Making

1485 words - 6 pages evaluate your ethical values.The Impact of Ethics on Decision-MakingDefining the ElementsAn ethically defensible decision is one that has been well thought out and looked at from all possible angles. All possible angles include everyone involved including but not limited to employees, stakeholders, and other organizations. Also, when making ethically sound decisions, it may help to look at possible solutions in terms of what good the decision

The Impact of Ethics on Decision-Making

1337 words - 5 pages The Impact of Ethics on Decision-MakingDefining the ElementsAn ethically defensible decision is one that has been well thought out and looked at from all possible angles. All possible angles include everyone involved including but not limited to employees, stakeholders, and other organizations. Also, when making ethically sound decisions, it may help to look at possible solutions in terms of what good the decision will bring about, and also what

The Importance of Ethical Decision Making

969 words - 4 pages that formulate them to feel awful when they get involved in the wrongdoings, most of the people normally enjoy doing bad things. Ethical decision-making And frequently people will feel uncomfortable when they are mandated to decide on difficult decisions. For instance, the ethical options the police officer patrolling a remote area near the coast line during a fast approaching storm and tidal surge, who receives an urgent radio message to

Applying the D.E.C.I.D.E Model of Decision Making

1854 words - 7 pages This paper explores the legal, ethical and moral issues of three healthcare colleagues by applying the D-E-C-I-D-E model as a foundation of decision making as found in Thompson, Melia, and Boyd (2006). Issues explored will be those of the actions of registered nurse (RN) John, his fiancé and also registered nurse (RN) Jane and the Director of Nursing (DON) Ms Day. Specific areas for discussion include the five moral frameworks, autonomy

The Decision-Making Process

2363 words - 10 pages   Table of Contents Introduction 1 Traditional Decision-Making Process 1 Making Rational Decisions 2 Problem Definition-Rational 3 Identify Decision Criteria-Rational 3 Weight the Criteria-Rational 3 Generate the Alternatives-Rational 4 Evaluate the Alternatives-Rational 4 Select the Optimal Solution-Rational 4 Making “Good Enough” Decisions 4 Making Intuitive Decisions 4 Making Creative Decisions 5 Global Decision Making 5 Ethical Decision

The Importance of Critical Thinking to the Decision Making Process

960 words - 4 pages The decision-making process in business is an important part of a company’s success. Making the right decision relies on using the attributes of critical thinking. The following will show the relationship between decision making and critical thinking and how one company uses critical thinking in its decision making everyday to maintain the company’s health and customer satisfaction. Critical Thinking “Critical thinking is the disciplined art

Evaluate the role of the media in tourist decision-making

1439 words - 6 pages Assignment Title:Evaluate the role of the media in tourist decision-making.Abstract:In evaluation of the role of the media in tourist decision-making, the concepts of tourism destination image, image formation and destination decision-making are utilised to expatiate with the author's personal experience as an assistant example. The exemplification links the different concepts together sequentially.Word Count: 1182This essay evaluates the role

The Role of Perception in the Decision-Making Process Essay

2065 words - 8 pages The Role of Perception in the Decision-Making ProcessWhat is perception? How can a person's perception of others impact an organization's behavior? What are the positive and negative effects of using perceptive shortcuts when judging others? How are decisions in real world organizations actually made? How can our perceptions shape ethical or moral decisions? These are the questions that will be attempted to be answered in this essay.According to

Dow Chemicals: Describe the decision making styles of the CEO

913 words - 4 pages of being the most productive, best value growth chemical company in the world, Mr. Stavropoulos saw the need to restructure Dow. Not only the product lines and what the company focus was to be but he also knew he needed to change the culture within the company to accept the needed changes. He did so by using the autocratic decision making style and gradually flowing into collective style throughout the restructuring process. He wanted the

Similar Essays

Community Power And Participatory Decision Making Essay

1221 words - 5 pages acceptable criteria for the resolution of such arguments. But they, like all researchers, must employ high epistemic values. In summary, critical theory helped in recognizing the unequal distribution of power between the groups in the community. Using this theory, power was identified as to how it was distributed when making decisions on a community-wide issue and how communication was used during the decision-making process. Critical analysis was

The Process Of Decision Making Essay

1250 words - 5 pages Organizational behavior helps managers to improve the organization in a good way. Decision making process is the one of the behavior in human organizational behavior. According to McShane and Von Glinow (2000), “decision making a conscious process of making choices among one or more alternatives with the intention of moving toward some desired state of affairs”. Decision making is a linear process and it includes six steps such as identifying

The Process Of Decision Making Essay

1148 words - 5 pages Introduction Decision making can be defined as "the act of choosing from among alternatives" (Naylor, 1998, p. 339). In the organization, decision making is quite important for the managers to choose the best choice for establishing their goals. Manager will make a rational and logical decision to overcome the issues. As Daft (2010) mentions, there are six important steps in the decision making process which are recognizing the problem

Importance Of The Decision Making Concept:

942 words - 4 pages Decision Making Concept: Decision making is one of the most important aspects in life and work because of its strong link to success and effectiveness. Actually, successful people achieve their goals in life and work through effective and efficient decision making. The decision making process is usually guided by an individual’s beliefs, values, and attitudes as well concepts. While a person can use various concepts in making decisions, they