Managers are constantly called upon to make decisions in order to solve problems. Decision making and problem solving are ongoing processes of evaluating situations or problems, considering alternatives, making choices, and following them up with the necessary actions. Sometimes the decision‐making process is extremely short. In other situations, the process can drag on for weeks or even months. The entire decision‐making process is dependent upon the right information being available to the right people at the right times.

The manager can take the following steps for decision making:

1.Define the problem.

2.Identify limiting factors.

3.Develop potential alternatives.

4.Analyze the alternatives.

5.Select the best alternative.

6.Implement the decision.

7.Establish a control and evaluation system.