Question

Choose an organisation and a particular decision situation due to the current Pandemic.

Required:

1) Give examples using this context, of each step in the decision-making process.

2) It must include but is not limited to the following:

a) A summary of the nature and history of the company.

b) Background elements of the decision selected and what circumstances have resulted in the decision needing to be made.

c) The possible effects of the selected decision, if implemented.

d) Use of Quantitative data. (

Answer 1

Let us take example of the organization called "Safetol". This company produces soap, liquid handwash and sanitizers.

Their major product in the Indian market is Soap as not much people regularly use sanitizers. Demand of liquid handwash is also very less compared to that of Safetol soap.

But, in the current pandemic situation there is a sudden increase in the demand of sanitizers. However the demand of soap is still almost the same.

It has been surveyed that the demand of sanitizers is four times than its supply.

The higher management of Safetol took a decision on this basis. They will focus completely on the production of sanitizers as the other soap companies are still producing the same volume of sanitizers, Safetol will get an edge over them.

This can actually hamper the production of soap and liquid handwash but the management was pretty sure that they will get higher revenue as competitors are very less in that domain. Also the profit percentage is much higher on sanitizers.

This is the exchange change they will make in production volume -

Earlier - ( Soap - 60% , Liquid Handwash - 25% , Sanitizers - 15 % )

Production after decision change -

( Soap - 40 % , Liquid Handwash - 30% , Sanitizers - 30% )

Possible Outcomes -

1. Safetol will emerge as leader of sanitizer business. Thus giving them first position in the ladder.

2. A lot of customers will start using soaps other than safetol as the supply will reduce.

3. As mentioned above, profit percent on sanitizers is much more than that of soaps, Safetol will get higher revenue.