- Description: A Critical Decision
Choose an organisation and write a report for the board about a critical decision the
organisation must make based on a current situation. Your report must include:
Relevant background details of your organisation
Analysis of the critical decision based on a current situation that your organisation
must make
Analysis of possible solutions
Recommended decision
Organisation Background:
Based on public domain information, describe-
Principal activities/functions and the sector it operates in
Principal strategies
Products and/or services offered
Customers
Marketing/public information initiatives undertaken
Profitability / efficiency of the organisation.
Organisation Analysis:
Using public domain information-
Use a balanced scorecard to evaluate at least 3 critical success factors in each of the
following dimensions: financial, customers, internal business, and learning/growth.
Analyse the top 5 to 8 significant costs of the organisation and what they relate to
(quality, environment, staff, IT, premises etc.).
Evaluate the performance of your organisation (based on relevant financial and non
financial criteria such as financial performance, productivity, efficiency, customer
satisfaction, legislative requirements and market share.
Critical decision for the organisation:
Based on your conclusions on strengths, weaknesses, opportunities and strengths from the
background information –
Analyse the threat or opportunity on which you believe the organisation needs to make
a critical decision
Include the information inputs (financial and non financial) that must be considered
(including any concerns about their quality or reliability) to make that decision.
Explain the time frame in which the decision needs to be made, implemented and
evaluated.
Describe any biases that are relevant and need to be avoided (as appropriate)
Evaluate the financial impacts of the decision (or of not making the decision) in terms of
costs, revenue and/or service levels
Describe the relevant stakeholders in the decision (e.g. employees, shareholders,
community, environment, regulators)
Outline the decision making model(s) you are using.
Analysis of possible solutions:
Based on your definition of the opportunity / threat your organisation faces and the decision
that must be made –
Identify at least 3 potential solutions
Analyse these potential solutions using at one financial and one non financial
decision-making tool (or explain in detail how one financial and one non financial
decision-making tool could be used to evaluate the alternatives).
Note: You may use a decision-making tool that has not been described in this subject, but if
you do, you must provide a description of the tool, its use, and why you have chosen it.
Recommendation on the decision:
Based on your evaluation of at least 3 possible solutions –
Clearly formulate a recommendation
Outline the expected results (financial and non financial)
Evaluate the benefits that will accrue to the organisation if the board accepts your
recommendation
Summarise with a conclusion.
