The purpose of this paper is to discuss the different methodologies in the decision making process for the supply chain management. The first thing about analyzing the decision making process is self-awareness. Primitive methods used to utilize the self-report one, in order to get an insight for the behavior of decision making. Supply chain management is a delicate field; it requires precise and immediate decision making. Let`s take a closer look on some of the more advanced decision making analysis methodologies and how it can be implemented in the supply chain industry.
The Experimental Paradigms and Variation in Decision Making Process.
The method`s terminology is self explanatory; this method depends on individuals acting differently to various set scenarios. Let`s say for example, sales reports have been delivered to the supply chain team and a forecast report was asked to be performed by each individual separately, each and every individual will act in a different way; some may start right away with working on the report, regardless the quality of the sales reports, others may ask to perform further market and field research to support the sales report they received. Those various reactions to decision making are crucial as they do affect the business performance directly.
Behavioral Neuroscience and Individual Differences in Decision Making.
This method is a little bit more complicated and advanced. Basically, it depends more on medical research; Neuroscience to be more specific. Let`s say the same Supply Chain team has been subjected to the previous scenario (the forecasting report); their brain and nervous systems will act totally different according to their behavior in the decision making process. Certain brain parts will be active for people who take impulsive decisions, while it won`t be the same case for others who take more time to process the data available and take the decision later on. Speed and accuracy can easily be measured with this method. Taking a decision for whether to have a separate branch or to perform cross docking for example might be a decision of great importance. It needs both quick and accurate decisions to ensure smooth work flow with the lowest cost. Physiological researches have been contributing remarkably in understanding human psychology and behavior and the past few years.
Observational Methods & Decision Making Style.
It is the analysis of all decodable verbal and non verbal actions (Brenda Conors, Richard Rende, Timothy Colton 3). This method is what the psychologists use for political and important figures` character analysis. Body language, voice tones, handwriting, there are numerous ways that can be used for this kind of analysis. The Supply Chain manager may be having a low, tender voice during the meeting while ordering new supplies for the company; to his colleagues and team members, they will subconsciously get the feeling that their manager is uncertain about his decision. This is the most known method to the public that even beginners use to identify the behavior of other colleagues at work, or reading strangers in social occasions.
All in all, it is really important to get some self-assessment and analyze your decision making behavior if you are in the supply chain management; Work pace is fast, the cost can be disastrous if the wrong decisions were taken and high level of accuracy is a necessity within this field. Self- reports are not precise in analyzing the decision making behavior anymore. Therefore, seeking new methodologies for the analysis as the previously mentioned ones will highlights the areas of development in the behavior and open new doors for development.
Works Cited
Connors Brenda, Rende Richard and Timothy Colton.” Beyond Self-Report: Emerging Methods for Capturing Individual Differences in Decision-Making Process”. Frontiers in Psychology, Issue (2016): 1-5. Web.
