In William Shakespeare's Hamlet, the title character is wrought with indecision. As a result of his indecision, he encounters a tragic death. Similarly, a business must be capable of making decisions or else it may encounter a similar fate.
Strategic Decision Making
Strategic decisions are important to a company because they allow company officials to decide how the business is oriented in the market. Failing to make strategic decisions can result in a company without aim that simply reacts to changes but never has a direction.
Programmed Decision Making
Programmed decisions are an important part of business decision making. A programmed decision is a decision that can be made on the basis of policies and standard procedures. This type of decision making is important in order to allow a wide range of employees to make decisions on the company's behalf.
Operational Decision Making
Operational decision making involves making short-term decisions at the administrative level. This type of decision making is important to companies because it allows them to react to changing demands in order to carry on business.