How Perception Effects The Decision Making Process

How Perception Effects The Decision Making Process

Axia College
MGT 245/ Holly Rick
August 24, 2008

Page 2

Introduction

In business the leading reason for conflict is perception and its effect on the decision-making
process.   Executives approach situations without fully understanding all aspects and possibly all
the information.   Having a perceived view of what is happening and depending on how well that
manager is at interprating the situation; their reaction can make situations worse, depending on
the reaction.   Perception, much like other managerial skills, is a learned reaction that comes from
experience or insight. How intuitive and aware the manager is will determine how successful
they are.

Perception

Perception is one of the oldest subjects within psychology.   In psychology, perception is the
process of acquiring, interpreting, selecting and organizing.   Systems of learning perception
range from biological or physical approaches, through psychological approaches to the often-
abstract use of mental philosophy.   Awareness in business can pertain to how a customer,
manager, owner, or corporation views what is happening within a certain team or company.
The response and how the situation is handled should be handled by a preexisting protocol or
guidelines but is usually reacted to based upon the perception of the event or activity. This is not
automatically the correct way of dealing with a situation.   Administrators in any size business
must take into consideration all involved parties views of a situation before reacting. Judgment
can easily affect ones decision-making process.   When coming into a situation, as a manager or o
                                                                                                                                                Page 3

otherwise, one must take into account what is happening and this is considered first perception or
view.   If an employee walked into a fight that was taking place within the company, a...

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