Programmed and Non-Programmed Decisions in Management


This article deals with the two different types of decisions in Management theory and Decision making. It talks about the basic differences between Programmed and Non-programmed decisions.

Programmed Decisions



The Programmed decisions in Management of an organization are concerned with the relatively routine problems. These decisions are taken in the regular course of any business operations and occur at a day-to-day frequency.

These decisions are repetitive and structured in nature. They are small and have a low scope of impact.

The Information related to these types of decisions are readily available and can be processed in a pre-determined manner. These demand very little time and effort as there are pre-determined decision rules and procedures.

These are taken at lower levels of management
For example, a decision regarding a personnel coming late regularly.



Non- Programmed Decisions


The Non-programmed decisions in management are concerned with unique or unusual problems. They are encountered in a very non-frequent manner.

These decisions are unstructured, non-recurring and ill-defined in nature. Such decisions are relatively complex and have a long-term impact.
The Information regarding these problems are not easily available. As such, they require high degree of executive judgement and deliberation.

These are generally taken at higher levels in the organization.
Eg-Decisions regarding the expansion of business.


More articles: Decision making

Comments

Guest Author: nazia30 Mar 2014

very well defined thanks.



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