CSEET · Business Laws and Management · Introduction to Management
A manager at a Pune firm must decide on a routine matter: reordering stationery when stock falls to a fixed level, using a standing rule set by the company. Under the classification of decisions, this is best called:
This is a programmed decision. Programmed decisions are routine and repetitive, made by following established rules or procedures, such as reordering stationery at a fixed stock level. They need little judgment, unlike non-programmed decisions, which deal with novel, unstructured problems.
- AA strategic, non-programmed decision
- BA programmed decisionCorrect
- CA crisis decision with no precedent
- DA policy decision of the board
Explanation
Programmed decisions are routine, repetitive and handled by established rules or procedures, as with reordering at a fixed level. Option A is wrong because strategic, non-programmed decisions are novel, unstructured and need judgment, which is not the case here.
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