optimization

Examples of optimization in the following topics:

• Non-Rational Decision Making

  • The rational model of decision making holds that people have complete information and can objectively evaluate alternatives to select the optimal choice.
  • Maximizers try to make an optimal decision, whereas satisficers simply try to find a solution that is "good enough."
  • On the other hand, satisficers recognize that decision makers lack the ability and resources to arrive at an optimal solution.
  • Thus, a satisficer seeks a satisfactory solution rather than an optimal one.
  • German psychologist Gerd Gigerenzer goes beyond Simon in dismissing the importance of optimization in decision making.

• Considering Cultural and Interpersonal Differences

  • Managers capable of contemplating the varying cultural, gender, or ethnic backgrounds of their workforce can optimize collaboration.
  • Managers who are capable of understanding the varying cultural, gender, or ethnic backgrounds of their workforce can optimize collaboration and minimize any friction that may arise as a result of these differences.
  • Employ cross-cultural competence to ensure interactions between diverse individuals create optimal results

• Technical Skills of Successful Managers

  • Successful managers must possess certain technical skills that assist them in optimizing managerial performance.
  • Office environments require a complex set of communicative, technological, and data-organization skills in order to optimize managerial performance.
  • Outline the four critical technical skills commonly utilized by successful managers and supervisors in optimizing organizational performance

• Considering Company Size

  • The organizational structure should be designed in ways that specifically optimize the effort and input compared to output.
  • Larger companies with a wider range of operational initiatives require careful structural considerations to achieve this optimization.
  • Instead, this is an agile framework aimed at leveraging employees in any and all roles to optimize competitiveness.
  • McDonald's fast-food restaurants departmentalize varying elements of their operation to optimize efficiency.
  • Explain how the size of a company helps determine the organizational structure that optimizes operational efficiency and managerial capacity

• Problems with the Rational Decision-Making Model

  • Rather than always seeking to optimize benefits while minimizing costs, people are often willing to choose an acceptable option rather than the optimal one.
  • Because decision-makers lack the ability and resources to arrive at the optimal solution, they instead apply their rationality to a set of choices that have already been narrowed down by the absence of complete information and resources.

• Assessing an Organization's Technological Needs

  • Companies must prioritize their ability to assess their technological needs, particularly as they may relate to achieving optimal efficiency and productivity.
  • Integrated planning in pursuit of optimization through new technologies keeps efficiency at or above competitive levels.

• Sourcing Technology

  • In deciding which approach is optimal for them, organizations must consider such factors as the advantage of being first to market, research and developments costs and capabilities, and market research and data gathering costs.
  • As you may note, this is prior to the testing phases and therefore investors at this stage must accept the inherent risk of the new technology presenting significant hurdles to optimizing perceived potential or effective implementation.

• Understanding Current Trends in Technology

  • Understanding current technologies and trends allows a company to align and synchronize operations to optimize returns on innovation.

• Considering the Environment

  • Resource-dependence theory explores the implications regarding the optimal divisional structure of organizations, recruitment of board members and employees, production strategies, contract structure, external organizational links, and many other aspects of organizational strategy.
  • Understanding these tools and frameworks alongside the varying external forces that act upon a business will allow companies to make strategic organizational decisions that optimize their competitive strength.

• The Importance of Leverage

  • As a result, effective managers are capable of optimizing the time and effort of employees to attain the highest possible value.
  • This optimization requires a thorough understanding of basic managerial functions and the way in which incentives can be applied according to motivational theories in the workplace.
  • Delegation therefore allows managers to optimize team structures and skill-set distributions to allow for synergy in operations.