Types of Decisions Flashcards
What are the 3 types of decisions?
Strategic
Tactical
Operational
What is the purpose of strategic decisions?
To meet the overall purpose and direction of the organisation e.g. to grow the business.
What is the length of strategic decisions?
Long term
Who makes strategic decisions?
Senior managers
How risky are strategic decisions?
High risk
What is the purpose of tactical decisions?
To achieve the strategic decisions e.g. launch new products to grow organically.
What is the length of tactical decisions?
Medium term
Who makes tactical decisions?
Middle managers
How risky are tactical decisions?
Medium risk
What is the purpose of operational decisions?
To react to situations as they arise e.g. dealing with a customer complaint.
What is the length of operational decisions?
Short term, day to day
Who makes operational decisions?
Supervisors/all staff
How risky are operational decisions?
Low risk
