Date post: | 07-Aug-2015 |
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Business |
Upload: | mahbub-rahman-nafee |
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Decision Making Policies of
Premier CementPrepared For: Sutapa Bhattacharjee Assistant Professor Institute of Business Administration University of Dhaka Prepared by: Mahbub Rahman Nafee(Roll:05) Saadman Hussain (Roll : 14) Md. Rafid-ur Rob (Roll : 26) Mahee Durdana (Roll : 28) Nahian Rashid Urbee (Roll : 52)
Introduction:
Why we chose Premier Cement?
Premier Cement is one of the top cement brands in Bangladesh
Sales of BDT 6,416 million for the 2012-13 financial period
Profit of BDT 499 million (before taxes)
Provides a good and safe working environment for its 1500
employees
The company does not follow each of the eight fundamental steps
The steps they follow are as stated below :
1. Field engineers detect the problem and report to the top-level
managers.
2. A trend analysis is carried out and a suitable solution is found.
3. The solution is then implemented via the field engineers.
4. The field managers then evaluate the effectiveness of the
implemented solution.
Planning:
Managers take decisions that are in the best interests of the business
During stable conditions, decisions are made by the manager himself
In the current unstable and highly competitive market situation,
brainstorming sessions are becoming necessary
Organizing:
Employs about 1500 employees
Employees are allocated to their jobs according to the functions they
will be carrying out
Resources are allocated according to the location of sales outlets and
target consumer groups
Transportation of materials and finished goods, are done using roads
and waterways
Leading:
A leader needs three important characteristics, will to do hard work,
sincerity and honesty
Motivation is done mainly through financial incentives; performance,
sales, target achieving and festival bonuses
Training and Brainstorming sessions also aid motivation
Controlling:
Controlling is done through a hierarchy of supervisors.
Regional In charge
District In charge
Route In charge
Route In charge
District In charge
Route In charge
Targets set for employees are supervised and results are
monitored.
Employee performance is checked on a regular basis and regular
appraisal sessions are held.
Employees with decreasing performance maybe transferred to
other departments or branches
Introducing a new Management Information System (MIS) for
improved controlling.
Types of Decisions and Decision Making Approach:
Types of Problems
Structured Problems
Unstructured Problems
Structured Problem
Rational
Routine Steps
Problems with load shedding
at factories
Managers take rational
decisions
Use of generators
Unstructured Problem
Intuition Based
Maybe take New Approach
Recent problems with
blockades
Managers took an
intuition based decision
Changed transportation
routes, and employee
working hours
Decision-Making Conditions:
Mostly face decision making conditions of certainty
Decisions are mostly rational, hence outcomes can be well predicted
However, some decisions do involve risk and uncertainty
Such as, when marketing to new clients, establishing marketing
targets and during political unrest
Recommendations:
Following all the eight steps of the decision making process
Such as assigning weights to the decision criteria
And developing more alternatives
To solve the problem more efficiently