Three main criteria for the effectiveness of management decision-making, applied in management theory and practice:
Target direction: achieving both planned and actual goals.
Resource efficiency: focuses the attention of the management apparatus on reducing the costs of material, financial and labor resources during the implementation of the decision.
Time aspect: comparison doctor database of the actual time of implementation of a management decision with the planned deadlines.
The manager uses criteria as guidelines for optimizing decisions. Each criterion has a certain degree of importance, but the target criterion plays a key role - if the goal is not achieved, this indicates the ineffectiveness of management actions.
Criteria for the effectiveness of adopted URs
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The effectiveness of implementing a management decision largely depends on the time frame for its implementation. A delay in implementation compared to the established deadlines can significantly reduce its benefit to the organization and even cause negative consequences. The resource criterion encourages managers to economize and use resources rationally when implementing decisions.
For each criterion, there are corresponding indicators. Thus, the resource criterion is assessed by the resource intensity of the solution, the time criterion is assessed by the duration of its implementation, and the target criterion is assessed by the parameters of the goal and the degree of its achievement.
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Factors of effectiveness of management decisions
The effectiveness of the adopted UR is formed under the influence of a complex of factors, including technical, managerial, production, and social. Their influence can manifest itself in different ways at different stages of decision making and implementation.
Efficiency is determined by the ratio of resources (costs) to the achievement of certain results and goals. Currently, three key factors are identified that determine the effectiveness of management decisions:
expenditure of resources;
time costs;
target direction of management.
The first factor concerns aspects of the structure and quality of resources, their economy in consumption, as well as the possibility of their restoration and accumulation.
The second factor takes into account the timeliness of decisions, time savings, the use of the latest technologies and the potential of a team capable of quickly and professionally solving emerging problems.
The third factor evaluates how realistic and significant the goal is, and also analyzes the results of the manager’s work, the strategy he has chosen, and the influence of market economic processes.
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Alexander Kuleshov
Alexander Kuleshov
General Director of Sales Generator LLC
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