Report of Waqar

7/27/2019 Report of Waqar

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Report on Management

Topic

Managing Decision Making and Problem Solving

Submitted To, Tasman Pasha.

Submitted By, Group

I.I. Hira Ilyas, 6

II.II. Saba Javaid, 8

III.III. Waqar Akram, 13

IV.IV. M. Ahemad, 19V.V. M. Adnan,

VI.VI. Mubushir Waqas 2

Date of submission 27-6-2011

Department B.B.A

Semester 2 nd

TIMES

The Institute of Management & Emerging Science Multan, Pakistan


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DedicationWe dedicated this report to our Parents. Who taught us that the best kind of knowledge to have is that which is learned for its own sake. Without their Patience, understanding, Support and most of all Love, the completion of thiswork would not have been possible.


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ACKNOWLEDGEMENT

We would like to express our gratitude to all those who gave us the possibilityto complete this report. We want to thank the Mr. Imran Atari for giving uspermission to commence this report in the first instance, to do the necessaryresearch work and to use companys data. We have furthermore to thank theMiss Shazia H.R Manager who gave and confirmed this permission andencouraged us to go ahead with our report.

Article I. We are deeply indebted to Prof. Mr. Tasman Pasha from theTIMES University Multan Pakistan whose help, stimulating suggestions andencouragement helped us in all the time of research for and writing of thisreport.

Article II. My former colleagues from the Department of B.B.A supported

us in our research work. I want to thank them for all their help, support,interest and valuable hints. Miss Arifa and Mr. Adnan were of great help indifficult times. Moreover, looked closely at the final version of the report for English style and grammar, correcting both and offering suggestions for improvement.

Especially, we would like to give our special thanks to Nestle Company thatenabled us to complete this work.


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IntroductionNestle is a multinational company. As the world's number one Food andBeverages Company, Nestl is a complex organization, operating inchallenging and varied business environments.

To fulfill our commitment to serve our customers better, we are adoptingcommon business practices in all areas of business.

This vision is at the heart of GLOBE Global Business Excellence, andNestl Pakistan is proud to be part of this international initiative. We knowthat by standardizing the way we capture and report business data, and byputting our IT infrastructure on a global platform, we can be more flexible andfocused on our products and brands, and therefore more responsive to our customers.

Our Vision

Nestls global vision is to be the recognized leading Nutrition, Health andWellness Company. Nestl Pakistan subscribes fully to this vision of beingthe number one Nutrition, Health, and Wellness Company in Pakistan.

In particular, we envision to; Lead a dynamic, motivated and professional workforce proud of our

heritage and positive about the future. Meet the nutrition needs of consumers of all ages from infancy to old

age, from nutrition to pleasure, through an innovative portfolio of branded food and beverage products of the highest quality.


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Deliver shareholder value through profitable long-term growth, whilecontinuing to play a significant and responsible role in the social,economic, and environmental sectors of Pakistan.

Our MissionTo positively enhance the quality of life of the people of Pakistan by all that

we do through our people, our brands, products, and our CSV activities.Mission Statement.

At Nestl, we believe that research can help us make better food so thatpeople live a better life. Good Food is the primary source of Good Healththroughout life. We strive to bring consumers foods that are safe, of highquality and provide optimal nutrition to meet physiological needs. In additionto Nutrition, Health and Wellness, Nestl products bring consumers the vitalingredients of taste and pleasure.

As consumers continue to make choices regarding foods and beveragesthey consume, Nestl helps provide selections for all individual taste andlifestyle preferences. Research is a key part of our heritage at Nestl and anessential element of our future. We know there is still much to discover abouthealth, wellness and the role of food in our lives, and we continue to searchfor answers to bring consumers Good Food for Good Life.

Our AmbitionGOOD FOOD GOOD LIFE

To be the leading Nutrition, Health and Wellness Company

We believe that every single company, no matter where in the world itoperates, ought to be fully integrated into the local social, cultural & economic


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life. We must be good corporate citizens, and give back to the societies towhich we belong.

Through social investments: giving to charities, leading and supportingcultural or welfare initiatives.

Through the realizations that businesses create social andenvironmental impacts, both positive & negative, through the dailyoperations of their value chain.

MD`s Message

Commitment to excellence, good food & good life are words thatbest describe Nestl. We at Nestl Pakistan are a team of people committed to adding value to the lives of the Pakistani

people by helping them live a life full of wellness & vitality.We welcome you to this life.

Nestl with its operational excellence, best management practices and totalcommitment to quality has you our consumer at the heart of everything wedo.

We sincerely thank you for believing in Nestl and our products & making our journey to success ever more possible.

Our aim is to make our consumers well aware of what they eat and how totake care of their nutritional needs. We, therefore, invite you to get to know

our products better and to look at our unique features on this website whereyou will discover informative pieces that will help you make healthier andbalanced choices in your and your familys lives.

Nestl is on accelerated growth with a motto to celebrate life by providing itsconsumers quality food products that are essential to good living.


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Enjoy your visit to our Nestl Pakistan website and we hope you will visitagain often.We wish you Good Food Good Life.

Ian James Donald Managing Director

HistoryNestl headquarters in Vevey.Nestl S.A. is the largest food and nutrition company in the world, founded andheadquartered in Vevey, Switzerland. Nestloriginated in a 1905 merger of Anglo-Swiss Milk

Company, established in 1867 by brothersGeorge Page and Charles Page, and FarineLacte Henri Nestl, founded in 1866 by HenriNestl. The company grew significantly during theFirst World War andfollowing theSecond World War , eventually expanding its offerings beyondits early condensed milk and infant formula products. Today, the companyoperates in 86 countries around the world and employs nearly 283,000people.

The company dates to 1867, when two separate Swiss enterprises werefounded that would later form the core of Nestl. In the succeeding decades,the two competing enterprises aggressively expanded their businessesthroughout Europe and the United States.

In August 1867 Charles A and George Page, two brothers from Lee County, Illinois, USA established the Anglo-Swiss Condensed Milk Company inChum. Their first British operation was opened atChippenham, Wiltshire in1873.

In September 1867, in Vevey, Henri Nestl developed a milk-based babyfood and soon began marketing it. The following year, 1868 sawDaniel Peter
http://en.wikipedia.org/wiki/Veveyhttp://en.wikipedia.org/wiki/Foodhttp://en.wikipedia.org/wiki/Nutritionhttp://en.wikipedia.org/wiki/Veveyhttp://en.wikipedia.org/wiki/Switzerlandhttp://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/World_War_Ihttp://en.wikipedia.org/wiki/World_War_IIhttp://en.wikipedia.org/wiki/Lee_County,_Illinoishttp://en.wikipedia.org/wiki/Lee_County,_Illinoishttp://en.wikipedia.org/wiki/Cham,_Switzerlandhttp://en.wikipedia.org/wiki/Chippenhamhttp://en.wikipedia.org/wiki/Wiltshirehttp://en.wikipedia.org/wiki/Daniel_Peterhttp://en.wikipedia.org/wiki/Foodhttp://en.wikipedia.org/wiki/Nutritionhttp://en.wikipedia.org/wiki/Veveyhttp://en.wikipedia.org/wiki/Switzerlandhttp://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/World_War_Ihttp://en.wikipedia.org/wiki/World_War_IIhttp://en.wikipedia.org/wiki/Lee_County,_Illinoishttp://en.wikipedia.org/wiki/Lee_County,_Illinoishttp://en.wikipedia.org/wiki/Cham,_Switzerlandhttp://en.wikipedia.org/wiki/Chippenhamhttp://en.wikipedia.org/wiki/Wiltshirehttp://en.wikipedia.org/wiki/Daniel_Peterhttp://en.wikipedia.org/wiki/Vevey


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begin seven years of work perfecting his invention, the milk chocolate manufacturing process; M. Nestl's was the crucial cooperation M. Peter needed to solve the problem of removing all the water from the milk added tohis chocolate and thus preventing the product from developing mildew. HenriNestl retired in 1875, but the company, under new ownership, retained hisname as Farine Lacte Henri Nestl.

Henri Nestl . (The owner)In 1877, Anglo-Swiss added milk-based baby foods to itsproducts, and in the following year, the Nestl Companyadded condensed milk, so that the firms became direct andfierce rivals.

In 1905, the companies merged to become the Nestl and Anglo-SwissCondensed Milk Company, retaining that name until 1947, when the nameNestl Alimentana SA was taken because of the acquisition of Fabrique deProduits Maggi SA (founded 1884) and its holding company, Alimentana SAof Kempttal, Switzerland. Maggie was a major manufacturer of soup mixesand related foodstuffs. The companys current name was adopted in 1977.By the early 1900s, the company was operating factories in the UnitedStates, United Kingdom, Germany and Spain. World War I created newdemand for dairy products in the form of government contracts; by the end of the war, Nestl's production had more than doubled.

After the war, government contracts dried up and consumers switched back

to fresh milk. However, Nestl's management responded quickly,streamlining operations and reducing debt. The 1920s saw Nestl's firstexpansion into new products, with chocolate the company's second mostimportant activity.

The logo that Nestl is used until the 1970s.
http://en.wikipedia.org/wiki/Types_of_chocolatehttp://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/Maggihttp://en.wikipedia.org/wiki/Chocolatehttp://en.wikipedia.org/wiki/Types_of_chocolatehttp://en.wikipedia.org/wiki/Henri_Nestl%C3%A9http://en.wikipedia.org/wiki/Maggihttp://en.wikipedia.org/wiki/Chocolate


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Nestl felt the effects of World War II immediately. Profits dropped fromUS$20 million in 1938 to US$6 million in 1939. Factories were established indeveloping countries, particularly Latin America. Ironically, the war helpedwith the introduction of the company's newest product, Nescafe ("Nestl'sCoffee"), which was a staple drink of the US military. Nestl's production andsales rose in the wartime economy.

The end of World War II was the beginning of a dynamic phase for Nestl.Growth accelerated and companies were acquired. In 1947 came the merger withMaggie seasonings and soups. Crosse & Blackwellfollowed in 1950, asdid Findus (1963), Libby's (1971) and Stouffer's (1973). Diversification camewith a shareholding in LOreal in 1974. In 1977, Nestl made its secondventure outside the food industry by acquiring Alcona Laboratories Inc.

In 1984, Nestl's improved bottom line allowed the company to launch a newround of acquisitions, notably American food giantCarnation and the Britishconfectionery companyRow tree Mackintoshin 1988, which brought theWilly Wonk a Brand to Nestl.

The Brazilian president, Lula da Silva, inaugurates a factory in Feira de

Santana (Bahia), in February of 2007.Products

We believe that food plays a key role in achievinga well-balanced person. Therefore, our philosophy is Good Food for a Good Life!

At Nestl, our products are developed keepingour consumers, their preferences and health inmind. Millions of consumers the world over trustNestl products for good reason: when they choose a Nestl product, theyhave the satisfaction of choosing quality, taste, variety, convenience and thegood nutrition.
http://en.wikipedia.org/wiki/Maggihttp://en.wikipedia.org/wiki/Crosse_%26_Blackwellhttp://en.wikipedia.org/wiki/Findushttp://en.wikipedia.org/wiki/Libby'shttp://en.wikipedia.org/wiki/Stouffer'shttp://en.wikipedia.org/wiki/L'Or%C3%A9alhttp://en.wikipedia.org/wiki/Alconhttp://en.wikipedia.org/wiki/Carnation_(trademark)http://en.wikipedia.org/wiki/Rowntree'shttp://en.wikipedia.org/wiki/The_Willy_Wonka_Candy_Companyhttp://en.wikipedia.org/wiki/The_Willy_Wonka_Candy_Companyhttp://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Lula_da_Silvahttp://en.wikipedia.org/wiki/Feira_de_Santanahttp://en.wikipedia.org/wiki/Feira_de_Santanahttp://en.wikipedia.org/wiki/Bahiahttp://en.wikipedia.org/wiki/Maggihttp://en.wikipedia.org/wiki/Crosse_%26_Blackwellhttp://en.wikipedia.org/wiki/Findushttp://en.wikipedia.org/wiki/Libby'shttp://en.wikipedia.org/wiki/Stouffer'shttp://en.wikipedia.org/wiki/L'Or%C3%A9alhttp://en.wikipedia.org/wiki/Alconhttp://en.wikipedia.org/wiki/Carnation_(trademark)http://en.wikipedia.org/wiki/Rowntree'shttp://en.wikipedia.org/wiki/The_Willy_Wonka_Candy_Companyhttp://en.wikipedia.org/wiki/The_Willy_Wonka_Candy_Companyhttp://en.wikipedia.org/wiki/Brazilhttp://en.wikipedia.org/wiki/Lula_da_Silvahttp://en.wikipedia.org/wiki/Feira_de_Santanahttp://en.wikipedia.org/wiki/Feira_de_Santanahttp://en.wikipedia.org/wiki/Bahia


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Nestle Milkpak

Welcome health, strength and happiness into your home with delicious andnutritious MILKPAK; standardized UHT milk that benefits from Nestlsexpertise in bringing you the very best in health, wellness and nutrition. MILKPAK is a trusted brand known throughout the country for its nutritiouswholesome goodness and pure natural taste .

Pakistans Favorite Water.

NESTL PURE LIFE is pure, safe and healthy drinking water for you and

your family. Every bottle of NESTL PURE LIFE is produced with the NestlSafety System and is carefully sealed with a proprietary seal. An optimalbalance of essential minerals, enhancing the health and wellbeing of your family, matches purity of the highest standards.


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Cerelacwhether it is your first-born or even your third bundle of joy each baby isunique and special. You want the best for your baby in every way and thatalso means the best nutrition for your babys healthy development, giving himor her solid foundation for a bright and healthy future!

Have a break, have a KITKAT

Chocolate is one of the most loved indulgences around the world.It is one of life's little pleasures, which delights the senses of all ages.

KITKAT is by far one of the most popular chocolates all around the world! Itstrademark red and white colors and the distinct KITKAT logo make it one of the most recognized brands ever.

KITKAT Chunky is a single solid finger that is perfect for those who want amouthful!


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MAGGI realizes that mums feel the need of being more fun around their children; therefore, it gives them a chance to break out from their mummould. Now involve your little ones in the kitchen for a supervised activity fullof fun and great learning as they help prepare MAGGI Noodles for themselves.

Topic

Managing, Decision Making and Problem Solving

Topic out line

1) The nature of decision making2) Rational Perspectives on decision making

3) Behavioral Aspect of Decision Making

4) Group and Team Decision Making in Organization

The nature of decision-making.

The act of choosing one alternative from among a set of alternatives.


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Decision making can refer to either a specific act or a general process.Making a decision implies that there are alternative choices to be considered,and in such a case we want not only to identify as many of these alternativesas possible but to choose the one that (1) has the highest probability of success or effectiveness and (2) best fits with our goals, desires, lifestyle,values, and so on.

Decision making is the process of sufficiently reducing uncertainty and doubtabout alternatives to allow a reasonable choice to be made from amongthem. This definition stresses the information-gathering function of decisionmaking. It should be noted here that uncertainty is reduced rather thaneliminated. Very few decisions are made with absolute certainty becausecomplete knowledge about all the alternatives is seldom possible. Thus,every decision involves a certain amount of risk. If there is no uncertainty,you do not have a decision; you have an algorithm--a set of steps or a recipethat is followed to bring about a fixed result.

Decision-Making Process The process of recognizing and defining the nature of a decision

situation, identifying alternatives, choosing the best alternative,and putting it into practice.

An effective decision is one that optimizessome set of factors such as profits, sales,employee welfare, and market share.

Managers make decisions about bothproblems and opportunities.

Types of Decisions Programmed Decisions

A decision that is a fairly structured decision or recurswith some frequency or both.


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Example: Starting your car in the morning.

Nonprogrammed decisions

A decision that is relatively unstructuredand occurs much less often a programmeddecision.

Example: Choosing a vacation destination.

Decision-Making Conditions Decision Making Under Certainty

A condition in which the decision maker knows with reasonable certaintywhat the alternatives are and what conditions are associated with eachalternative.

Decision Making Under Risk

A condition in which the availability of each alternative and its potentialpayoffs and costs are all associated with risks.

Decision Making Under Uncertainty

A condition in which the decision maker does not know all thealternatives, the risks associated with each, or the consequences of each alternative.


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The Classical Model of Decision MakingThe Classical Model of Decision Making is a prescriptive apporach thattells managers how they should make decision: assumes that managersare logical and rational and that their decision will be in the best interst of the organization.

Decision Makers have complete information about the decisionsituation and possible alternatives.

They can effectly eliminate uncertanty to achieve a decision conditionof certainty.

They evaluate all aspect of the decision situation logically.

Level of ambiguity and chances of making a bad decision

Lower

Higher

Moderate

Certainty

Uncertainty

Risk

ThedecisionMaker facesConditionsof...


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Steps in the Rational Decision-Making ProcessI.I. Recognizing and defining the decision situation

Some stimulus indicates that a decision must be made. The stimulus may

be positive or negative.for example , A plant manager sees that employeeturnover has increased by 5 percent.

II.II. Identifying alternativesBoth obvious and creative alternatives are desired. In general, the moreimportant the decision, the more alternatives should be considered.For example, The plant manager can increase wages, increase benefits, or change hiring standards.

III.III. Evaluating alternatives

Each alternative is evaluated to determine its feasibility, itssatisfactoriness, and its consequences. For example, Increasing benefitsmay not be feasible. Increasing wages and changing hiring standards maysatisfy all conditions.

IV.IV. Selecting the best alternative

When faced withadecisionsituation,manager s

Should

. . .

. . . and end upwith

a decision thatbestServes theinterestsof theorganization.

Obtaincompleteand perfectinformation

Eliminateuncertainty

EvaluateeverythingRationally andlogically


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Consider all situational factors, and choose the alternative that best fits themanagers situation. For example, Changing hiring standards will take anextended period of time to cut turnover, so increase wages.

V.V. Implementing the chosen alternative

The chosen alternative is implemented into the organizational system. For example, The plant manager may need permission from corporateheadquarters. The human resource department establishes a new wagestructure.

VI.VI. Following up and evaluating the results

At some time in the future, the manager should ascertain the extent to

which the alternative chosen in step 4 and implemented in step 5 hasworked. For example, The plant manager notes that, six months later,turnover has dropped to its previous level.

Behavioral Aspects of Decision Making

Sometimes when a decision is made with littleregardfor logic, it can stillturn out to be correct. An important ingrediant in how these forcese workis a Behavioral Aspects of Decision Making.

The Administrative Model of Decision Making

Administrative model is ac decision making model that argues thatdecision makers (1) have incomplet and imperfact information, (2) areconsterained by bounded rationality, and(3) tend to satisfied when makingdecision.

Bounded Rationality


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The concept that decision makers are limited by their values andunconscious reflexes, skills, and habits. Satisficing

The tendency to search for alternatives only until one is found that meetssome minimum standard of sufficiency to resolve the problem.

Coalition

A political force in decision making which consists of an informal alliance of individuals or groups formed to achieve a goal.

Intuition

An innate belief about something without conscious consideration.

Escalation of Commitment

A decision maker is staying with a decision even when it appears to bewrong.

Risk Propensity

The extent to which a decision maker is willing to gamble when makinga decision.

Ethics and Decision Making Individual ethics (personal beliefs about right and wrong behavior)

combine with the organizations ethics to create managerial ethics.


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Components of managerial ethics:

Relationships of the firm to employees.

Employees to the firm.

The firm to other economic agents.

Group and Team Decision Making in OrganizationsIn more & more organization today, important decision are made by groupor team rather then individuals. Example include the executive committeeof General Motors and marketing planing group at dell. Managers havechoose whether to have individual or team make a particular decision.

Forms of Group Decision Making Interacting groups or teams

are the most common form of decision-making groups whichconsists of an existing group or newly formed team interactingand then making a decision.

Delphi groups

are sometimes used for developing a consensus of expertopinion from a panel of experts who individually contributethrough a moderator.

Nominal groups

are a structured technique designed to generate creative andinnovative ideas through the individual contributions of alternatives that are winnowed down through a series of rank-ordering of the alternatives to reach a decision.


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Advantages and Disadvantages of Group and TeamDecision Making

Advantages

More information and knowledge are available. More alternatives are likely to be generated.

More acceptance of the final decision is likely.

Enhanced communication of the decision may result.

Better decisions generally emerge.

Disadvantages The process takes longer than individual decision

making, so it is costlier. Compromise decisions resulting from indecisiveness

may emerge.

One person may dominate the group. Groupthink may occur.

Managing Group and Team Decision-MakingProcesses

Managers Can Promote the Effectiveness of Group and TeamDecision Making


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Being aware of the pros and cons of having a group or team makea decision.

Setting deadlines for when decisions must be made. Avoid problems with dominance by managing group membership. Have each group member individually critically evaluate all

alternatives. As a manager, do not make your position known too early. Appoint a group member to be a devils advocate. Hold a follow-up meeting to recheck the decision.

Documents

Report of Waqar