EXECUTIVE SUMMARY

This study is an attempt to assess the decision making trends of managers in Pakistani organizations. Generally, it is assumed that over the years, decision making trends have taken a downward turn. This study negates this assumption and has shown that decision making trends have in fact, improved (for details refer to section 4-13).

In the survey carried out from July 2006 to December 2009, respondents were asked to fill out a survey form. Three methods were used to elicit responses. Firstly, the survey questionnaire was given to 5,901 managers in Karachi, Lahore and Islamabad. Secondly, 121 forms were received through email, and thirdly, 306 forms were received through mail/courier. A total of 6,328 managers filled out and returned the questionnaire of which 5,604 are male and 697 are female.

Demographics:

The data was analyzed on the basis of: age, experience, gender, job/function and management levels. The study also presents analyses based on organizational and business sectors.

 

Overall preferences of respondents:

Given below are the overall findings of the preferences of respondents. The other significant findings based on gender, management level, organization sector, age, experience, job/function and business sector are given in the respective sections in this report (for details refer to section 5 – 12).

Time spent on decision making

–         33.5% managers spend 10-29% of their daily working time in decision making

Sufficiency of information for decision making

–         61.3% managers identified that the information system in their organization provides sufficient information for decision making

Influence of functional areas on decision making

–         29% managers identified that the accounts/finance function heavily influences decision making in their organizations

Effect of urgent issues resulting in delayed decision making

–         42.9% managers identified it is less frequently that urgent issues cause delay in decision making in their organizations

Quality of decision making

–         56.8% managers identified that the decisions taken in their organization are of good quality

Usage of different decision categories and their rate of occurrence

–         38% managers identified that directive decisions are taken in their organizations

–         37.5% managers identified that participative decisions are taken in their organizations

–         24.3% managers identified that consultative decisions are taken in their organizations

Impact of decision making on motivation and productivity

–         52.2% managers identified that the process of decision making in their organizations enhances motivation

–         49.5% managers identified that the process of decision making in their organizations enhances productivity

Time frame/horizon of decision making

–         30.4% managers identified that decisions are taken in their organizations with a mediumterm perspective

Timeliness of decision making

–         69.4% managers identified that decisions taken in their organizations are timely

Influence of factors on decision making

External factors

–         31.9% managers identified that customers have greater influence on decision making in their organizations

–         26.4% managers identified that regulatory factor has greater influence on decision making in their organizations

Internal factors

–         30.4% managers identified that coordination has greater influence on decision making in their organizations

–         28.7% managers identified that goalsetting has greater influence on decision making in their organizations

Implementation of decisions

–         56.1% managers identified that decisions taken in their organizations are implementable

Level of satisfaction with decision making

–         63.7% managers are satisfied with decisions taken in their organizations

Inferences of this study:

Section 13 of this report identifies the comparative analysis of the 2010 survey with the 1997 survey. The key results of both surveys were analyzed by using Z-test of two proportions.

The following were inferred from the comparison:

  • Sufficiency of information for decision making has not significantly increased by 2010.
  • The proportion of good quality decisions taken has significantly increased by 2010.
  • There has been a significant shift in the decision making style from directive to participative by 2010.
  • The proportion of managers who identified that the decision making process enhances motivation has significantly increased by 2010.
  • The proportion of managers who identified that the decision making process enhances productivity has significantly increased by 2010.
  • There has been a significant increase in the proportion of managers who identified that from among the external factors, customers have a greater influence on decision making.
  • There has been a significant increase in the proportion of managers who identified that from among the internal factors, coordination has a greater influence on decision making.
  • The proportion of managers who feel that there is a high level of satisfaction with decision made has significantly increased by 2010.

The association among various factors was also measured by using chi-square test. A significant association was observed among various factors (for details refer to section 4 and 14).