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Liburkina L. M.

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Effective Decision-Making: From Theory and Methods to Strategy and Leadership
Kramarenko A. О.

Kramarenko, Anna О. (2022) “Effective Decision-Making: From Theory and Methods to Strategy and Leadership.” Business Inform 5:118–125.
https://doi.org/10.32983/2222-4459-2022-5-118-125

Section: Management and Marketing

Article is written in English
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UDC 338.3

Abstract:
Since the decision-making process is becoming more multifactorial and multidimensional, determined by the type of problem being solved, leadership style, limiting factors, external and internal environment of the company, it is quite logical that the materials of the article are focused on identifying the most effective decision-making tools. In the course of the study, the basic theories of decision-making were classified into 3 groups: problem-oriented theories; solution-oriented theories; role-oriented theories. It is emphasized that the dominance of theoretical approaches to decision-making determines the choice of appropriate decision-making methods, which are divided into qualitative (evaluative, expert-analytical, mixed) and quantitative (methods in conditions of certainty and methods in conditions of uncertainty). The complex of approaches and methods used forms the basis for a key decision–making strategy - analytical, heuristic or expert. The carried out content analysis of the survey results of company executives organized by McKinsey allows to identify the most common leadership styles – Catalyst, Adapter and Guardian. The correspondence between such leadership styles as Adapter and Guardian, problem-oriented theories, analytical strategies and quantitative methods of decision-making has been established. The most popular methods are methods of game theory, scenario method, Delphi method, combining expert assessments, qualitative analysis and reasonable comparison of various alternatives. The most promising directions for improving the decision-making system for business are the scientific approach, the use of mathematical and statistical analytics, the establishment of clear criteria for decision-making and measuring theresults, the maximum possible involvement of stakeholders in the discussion, high responsibility and attachment to financial results, as well as orientation to a high level of professionalism of managers and owners of companies.

Keywords: decision-making methods, leadership styles, analytical strategies, problem-oriented approach, effectiveness of decisions.

Fig.: 2. Tabl.: 4. Bibl.: 18.

Kramarenko Anna О. – Candidate of Sciences (Economics), Associate Professor, Associate Professor, Department of Management and Administration, V. N. Karazin Kharkiv National University (4 Svobody Square, Kharkіv, 61022, Ukraine)
Email: [email protected]

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