Decision making process is a fundamental aspect in the success of any organization. This is because these, this process helps management to lay its plans and the mode of execution so as to attain its competitive advantage. It is important that senior managers formulate the business strategy so as to help them to anticipate the management and operational control processes. Decision making is termed as the core process leading into the course of direction among various options.
According to Bi (2010) strategy anticipates wants before they are perceived because it helps managers to design anticipatory designs for organizations. In turn the management will be prepared in advance to face challenges in competitive and adverse business environments. Bi (2010) says that the "importance of strategy is that it can dynamically link the management tactics together for a large purpose hence creating dynamic capabilities to counter wants before they are perceived" (p. 344).
On the other hand, strategy anticipates problems before they manifest themselves because they it helps organizations to make plans that are completely in line with the needs, wants and motivational drivers of the organization (Smith, 2005). In addition strategies help managers to make all round decisions based on the circumstances or the future functions of the company. According to Proctor (2005) strategies help in generating solutions to a given predicament that may arise in the future thus providing satisfactory answers to a problem.
It is important to note that decision making helps organizations to draw up contingency plans. Proctor (2005) established that "an active role in testing strategies has to be taken before possible outcomes can be anticipated" (p. 66). Besides that Daughtry & Casselman (2009) says that it is important that managers do not stick to rigid and bureaucratic process of managing strategic execution because this can guide their thinking and at the same time help them in spotting potential problems in the future.
In addition, Daughtry & Casselman (2009) argues that "strategy is developed in anticipation of future trends, but it has to begin with where the organization is at present time" (p.14). Strategy anticipates wants before they are perceived in most cases in places where organizations are experiencing significant change for workforce that is used to old ways of doing things. As a result of this Daughtry & Casselman (2009) says that the strategy has to be translated into functional plans before it can be translated into specific task assignments so as to counter problems before they present themselves to the organization.
Moreover, Yarger (2006) indicated that "strategy at any level is not problem solving meaning that it does not seek to solve a specific problem as much as to anticipate a future and shape an environment in which fewer problems arise and those that do can be resolved in favorable terms" (p. 45). This means that strategy does not state the future but it indeed anticipates it and also seeks to outline the future in complimentary terms at every level it functions in the organization. Yarger (2006) also says that strategy is concerned with the density and long term possibilities intrinsic in the tactical circumstances and therefore it is fundamental in anticipating the future problems before they manifest themselves.
Strategy anticipates wants before they are perceived in that its perpetrators work from details and also actual postulations about origin and outcomes so as to harmonize and realize their objectives and goals. The importance of strategy in anticipation of problems is that organizations can come up with inventive solutions to perceived problems. This in turn facilitates acceptance of change when the need for change arises. Strategy also helps managers to foresee where conflicts of interest may arise in running of the organization and therefore put the correct measures to counter such problems. Both types of anticipation are regarded as the foundation of the organizational complexity because through them companies are able to achieve competitive advantage and incorporate the right measures in cases of uncertainty.
In conclusion, we can generally argue that, since every person differs in terms of intellectual skills, the ability to make decision also differs. Decision maker are grouped into different categories. The way of in which decisions are made, is also classified into various kinds. Therefore, the type of decision normally depends on the individual's capacity, though in some cases is also determined by the situation at hand.