CHAPTER ONE

1.0       INTRODUCTION

1.1       BACKGROUND OF THE STUDY

Organization”s performance has been measured substantially based on their profit achievement. None of any organizations wanted to have losses being marked for their business operations during the given accounting period.

Thus managers in the organizations were urged to make profit in the course of business operations, and at the end of their business accounting period. This profit achievement will be the benchmark for the board and top management to recognize their managers” efforts in making profitable business arrangements and deals.

Behind those profits, managers have to make strategic decisions in charting their organization”s path in achieving its objectives as directed by the board and top management. Managers needed substantial information in order for them to make a sound business decisions. Although, the managers had substantial information prior to make decisions, they may not come up with the right or perfect strategic decision making for the organizations. Thus, these poor business operations will be reflected in the company”s profit and loss account. Nevertheless, managers made decisions affecting the organization daily and communicate those decisions to other organization members (Zaleznik, 1989 and Main and Lambert, 1998 in Certo, 2003).

As stated by Astley and Van de Ven (1983 in Burke and Steensma, 1998) that decision makers have significant influence on a firm”s performance. Thus, the focus of this paper is to evaluate the strategic decision making practices among managers toward organization”s performance. Profile of managers and strategic decision making practices will be generated and evaluated. Moreover, this paper will give the insight of strategic decision  making practices among managers in the Malaysian organizations. How do mangers exercise their strategic decision making practices in relation to the organization”s performance?

Decision-making styles through out organizations are changing because the task, the environment and the people have changed. We are no longer marching troops into battle; we do not want blind obedience. Competitive advantages is now the result of employee making decision thinking being creative and asking questions.

When most managers are honest, they will acknowledge that their employee often have greater knowledge about the work than they do. Clearly, effectiveness can only be achieved with their total involvement management at time, see decision to the heart of their job in that, they must always choose what is to be done who will do it where and most at time now it will be done.

It is based on the above that the research wishes to assess the effect of decision making in organizational performance with special reference to Mobile Telecommunication Network (MTN)

BACKGROUND OF HISTORY OF MTN

MTN Nigeria is the largest member of the MTN group, a South African company with many subsidiaries spread across the world (21 countries in Africa and the Middle East). In Nigeria, the company just marked 10 years of operations (August 2011) and has expressed appreciation to all and for good reason too. With all the billions of dollars it has made as profit over the last 10 years it”s the least they can do. The company”s vision is to be the country”s leading provider of telecommunications services while their mission is to provide 1st class network quality, customer service and value.

History: MTN Communications Ltd was one of 3 initial GSM companies licensed by the NCC to provide telecoms services to the Nigerian public. It commenced operations in August 2001 and has ever since been the biggest Telecoms companies and one of the largest in all of Nigeria.

Impact: Ever since coming on board the Nigerian Telecommunications market in 2001, MTN Nigeria has made appreciable impact on the lives of Nigerians particularly in the areas of;

Investments: The company has invested billions of dollars in Telecoms Equipments and infrastructure providing sub stations, base stations and other amenities both in urban and rural areas in Nigeria. With all these investments, MTN has made socio economic life a lot easier for Nigerians.

Careers: That way it has created thousands of jobs directly and hundreds of thousands more indirectly. MTN”s staff are among the best paid workers not only in the IT/Telecoms field but in the entire country as a whole.

Products and Services: The company has numerous products and services which it offers the Nigerian public and they include; various prepaid call plans like MTN Fun-link Reloaded, MTN Bundles, MTN happy Hour, MTN Family and Friends Expanded, MTN Super Saver among others. Also the company provides services such as; Internet Browsing, International roaming (which allows Nigerian subscribers to use their lines in selected countries when not in Nigeria), Enterprise Solutions and Airtime services. But by far the most common among its services is internet browsing from which we have the MTN Blackberry Service, Data bundles, Data Usage, MTN Video Calling, MTN Fast-link, MTN GPRS, MTN Mobile internet and so on.

1.2       STATEMENT OF THE PROBLEM

1.         Many business organization find it difficult to carry out effect decision making as a result of their inability to identify the problems and challenges facing the organization. Most Management also disregard the participation of their employee in making decision of the organization which might often lead to wrong decision that will jeopardize the performance and profitability of the organization.

2.         Most management also disregard the participation of the employee in mating decision of the organization which might often lead to wrong decision that will jeopardize the performance and profitability of the organization.

3.         In most cases, some organization fails to further define the problem of the organization by looking at all parties that will be affected by the decision, and most at time fails to gather data on how the correct problem is affecting people now. These data include efficiency levels, satisfaction levels, and output metrics.

4.         In addition, most management also fails to conduct interview to determine how people involved in the decision-making process think that the problem can best be defined. All of this information needs to be collected and considered by the decision maker or the group of decision makers before the decision-making process can begin.

1.3. OBJECTIVES OF THE STUDY

The main objective of this research is to investigate on the effect of decision         making in organizational performance. Specifically, it will try

1.         To find out if ineffective decision making by some organization is as a result of their inability to discover the problems and challenges facing them.

2.         To determine the extent which non-participation of employees in decision making affects the performance and profitability of the organization.

3.         To find out why some organizations fail, if it is their inability to define their problems.

4.         To find out of inability of management to conduct interview on decision making process affects their productivity.

1.4.      RESEARCH QUESTION

1.         To what extent does management ineffective decision making influences performance in the organization.

2.         To what  extent does non-participation of employees decision making as the profitability performance of the organization.

3.         To what extent does failure to effecting decision influence performance in MTN.

1.5.      SIGNIFICANCE OF THE STUDY

This research work is highly relevant because

It will unveil the necessary strategies needed in decision making in an organization.

Secondly, the Mobile Telecommunication Network (MTN) will find the findings of this research work lucrative as it will help in the identification of the obstacle that militates against effect decision making in their organization.

The study will also be of good to both students and other organizations because the study will serve as an eye opener for them to know the relevance of decision making in the organization.

Future researchers will find this piece of work very lucrative as it will act as a reference work for future researchers.

1.6.      SCOPE OF THE STUDY

The scope of this research covers the effects of decision making in organization performance. For the sake of precision and distinctiveness, Mobile Telecommunication Network (MTN) has being chosen as a case study though the findings of this research can vividly and validly be applied to all business organizations at large.

1.7.      LIMITATIONS OF THE STUDY

However, the following factors were the limitation of the study.

?          Lack of finance: The main factor that can disorganize the effort was lack of finance. To take a wider study on the effect of decision making in organization performance requires a huge some of money which will enable the researcher travel far and wide, searching for valuable materials and information to work with.

?          Inadequate research materials: The materials relating to this project were scarce and difficult to lay hands on. However, best use was made of what was available.

1.8.      DEFINITION OF TERMS

Decision making: This selection from among alternative of a course of action.

Productivity: A measure of how well resource are brought together in organization and utilized for accomplishing a set result.

Management: These is made up of top and middle level management. Top management includes shareholder boards of directors and managing director while the middle management includes heads of department manager deputy and assistant deputy.

Participative management: Decision of making process where workers discuss with supervisor and influence decision on workers about their job.