Questions of the qualitative and quantitative evaluation of the managerial decisions
V.I. Borshch,
аспирант кафедры Экономики и управления, Одесский Национальный Университет имени И. И. Мечникова (65026, Украина, г. Одесса, ул. Дворянская, 2; e-mail: Viktoriya_borsh@mail.ru)
Аннотация. В статье рассматривается общая проблематика продукта управленческой деятельности и дается его обобщающий анализ. Предложена система локальных показателей, которые оценивают качество управленческого решения как основного продукта управленческой деятельности.
Abstract. General problems of the product of the executive's activity and its presumptive analysis are considered in the article. The author proposes the complex of local indices that evaluate the quality of the managerial decision as the main product of the executive's activity.
Ключевые слова: продукт управленческой деятельности, управленческое решение, локальные показатели качества управленческого решения.
Keywords: product of executive's activity, managerial decision, local indices of the quality of the managerial decision.
The evaluation of effectiveness of any type of the activity first of all is determined by the obtaining the certain level of its result. The executive activity is not an exception. That's why the identification of the level of socio-economic effectiveness of the enterprise's executive activity besides the general indicators is also characterized by the determination of the local indexes of its product's quality. Such a group of indicators gives an opportunity to evaluate and itemize the contribution of the separate administrative departments and managers to the company's management system's effectiveness achieving.
The up-to-date managerial science and practice attends to the definition of an aim, an object and a product of the executive's work. Today a lot of different views on these categories exist, that's why the problem of their clear description poses before the scientists.
No less attention is devoted to the problem of the decision-making process. The considerable number of the authors examines these problems; for example, among them are Peter Drucker, Michael Armstrong, Henry Mintzberg, Robert Kaplan, Hubert Rampersad and so on. However, the scientists considered the problem of the evaluation of the managerial decision's quality cursorily, not minutely. Therefore, nowadays the question of the decision's appraisement as a product of the managerial activity is urgent.
On the assumption of aforesaid, the object of the article is the summarizing of the approaches of the analysis of the managerial decision's quality. Thereafter, the tasks of the article are following:
1) to review the existent definition approaches of the category "product of the executive's activity";
2) to parse the existent methods of the appraisal of the managerial decision;
3) to compose the system of the local indexes for the analysis of the managerial decision's quality.
The executive's work represents the specific human activity. Its specificity is determined by that characteristic that is the intellectual type of the activity. In other words, it is the work, in which "making muscle efforts and modification of the material environment is subordinated to analytical activity of the modification of the control object, which is carried
out by a man as neuropsychic efforts" [4]. That's why it is necessary to mention since the executive's work is intellectual, thus the direct gaging of its effectiveness is possible only by the appraisement of its product's quality and the evaluation of the methods that are used for its production.
In the management theory there are different opinions about the determination of the product of the executive's activity. Thus after scrutinizing closely the range of problems of this category's definition it was cleared up, that some of the scientists interpret the product as the information in the form of the managerial decisions and their realization (V. Burega, B. Budzan, A. Shegda).
The other scientists, for example F. Khmil, differentiate these concepts. He interprets the product as "the information in the form of documents, decisions, orders and directions, etc., which are necessary for the operating of the management system and its evolution". The direct result is interpreted as "the coordinated work of the operative personnel" and the mediate outcome is interpreted as "the financial and economic indexes of the enterprise's industrial and economic activity" [5]. But the falseness of this interpretation is determined by that that the scientists considers the executive's activity to be directed only at receiving of the industrial and financial result, but first of all this type of activity is also characterized by such aspects of the labor activity as social effect, organizational effect, cultural effect and so on.
The others perceive the managerial decision as the sub product of the executive's work. And the net result, in their opinion, is the goal achieving. If the result coincides with the set goal, then such an activity is rational. In other words, namely the coincidence grade is the main qualitative index of the management system [1].
Thereby, after the different treatments summarizing of the category "product of the executive's activity', the author determines it as the set of managerial decision's, produced methods and also the impact, which they make on the control object and the management controlling system.
The product of the executive's work differs from the product of the work of the other enterprise's members. First of all, it differs in the aspect, that it doesn't have well-defined substantial outcome, which leads to the position that the decisions
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are exceedingly difficult objects for the appraisement by the qualitative parameters. This causes additional difficulties for the appraisal process of the executives' activity and the separate management systems.
Nowadays the following methods are used for the analysis of the quality of executive's decisions [2; 6]:
- the appraisement of the decision's quality by the adjustments number, which are necessary to fulfill in time. Its disadvantage is that it can give the estimation grade only post factum. However, the database of the typical decisions can be generated on the basis of the decisions that have been proved oneself;
- the decisions' expertise (the statistic methods are used by this method) is recommended for the managerial decisions that have the innovative character. At the same time the critical moment is the factor of the expert's competency and professionalism that are the separate object of analysis;
- the examination of the maintenance of the decision-making technology.
And at the same time the set of criterion (i.e. the features on which bases the object's analysis will be carried out) should be identified for the analysis of the managerial decisions. On the ground of the treatises [8; 9] summarizing we can tease out the following main criterion of the managerial decision's quality, they are:
- power of attorney;
- validity;
- directiveness;
- consistency;
- complexity;
- clearness and concreteness of formulations;
- ability of being realized in practice;
- economy (is determined by the amount of
costs);
- timelessness;
- efficacy.
The treatise [6] supplements them by such criteria as "the balance of inflexibility and flexibility" and it also points at the characteristics of the decisions with the low quality, they are the lack of alternatives and the decisions that are based on the fallacious forecast or falsely hand-picked criterion.
Most of above said criterion can be compli-catedly estimated (for example, concreteness or directiveness); consequently they are complicatedly backtraced and controlled. Thus, it is reasonable to represent them by means of the appropriate indexes (generalized features of the object presented in the numerical form) for the increasing of the objectivity level. Due to this the level of the task achievement in management could be evaluated. The indexes must represent objective components and subjective aspects that characterize the executive's activity as the phenomenon. That is necessary for using them as the elements of effectiveness criteria.
Thereafter first of all, the decision-making process and its realization should be appraised for the determination of the level of socio-economic effectiveness of the managerial system. Also the quality of these decisions has to be evaluated. It is possible due to the analysis in accordance with criterion of:
- correspondence of the decisions with demands and interests of the concerned group;
- adequacy of the decisions to the goals;
- adequate supplement of the decisionmaking process and its realization;
- correspondence with beforehand determined time, resource and labour supplying of the decision-making process and its realization.
Thereby the system of local indexes of the managerial decisions effectiveness must consist of the following indicators that could be classified as:
1st group: the indexes of current effectiveness (i.e. efficacy; the list indexes that are presented below could be subsumed to them) and the indexes of the final effectiveness (e.e. resultiveness; it is the indicators that characterize the derived result by management system, namely effectiveness of managernidal decisions);
2nd group: the indexes of the effectiveness, which pertain to the managerial decision personally (risk level, validity, time costs for the decision-making process and so on); the indexes of the effectiveness, which characterize the decision-making process and the use of decisions (number of the dysfunctional conflicts, number of collisions and so on); the indexes of effectiveness, which refer to the decision performance process (level of the goals achievement, availability of alternatives in the performan
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