Managerial Communication
Session 7
Dr Manisha Mathews
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Video: Daniel Kahneman on Decision
Making
https://www.youtube.com/watch?v=KBIKExrIlZs
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PACADI: The Framework
• Making decisions rationally by
▫ Examining the critical issues in the situation
▫ Defining the problem
▫ Listing options
▫ Evolving criteria for evaluation
▫ Examining each option against each criteria
▫ Selecting the option that best satisfies the criteria
▫ Outlining an action plan for implementation
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Report: Structure
• Preliminary Pages
• Main Report
• End Matter
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Preliminary Pages
• Cover Page
• Letter of Transmittal
• One Page Outline of the Report
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Main Report
• Situation Analysis
• Statement of the Problem
• Alternatives
• Criteria
• Evaluation of Alternatives Against Criteria
• Decision / Recommendation
• Implementation / Action Plan
• Contingency Plan (optional)
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Situation Analysis
• Analysis of factors relevant to the question/decision;
relevant inferences that can be drawn from the
description
• Your understanding of the situation and the dilemmas in
front of the protagonist
• NOT a case summary
• Must logically lead to definition of the problem,
alternatives and appropriate criteria
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Statement of the Problem
• Definition of the problem (not the
symptoms/options/question/…) logically flowing from
the Situation Analysis
• A sentence or two only
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Alternatives
• Solutions that address/solve the identified issue/concern
• Must flow from the Situation Analysis
• At times needs creativity, but each option must be
credible
• For the purpose of this course, options should be
mutually exclusive
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Criteria for Evaluation
• Features that are desired in a good solution
• Often include time, cost, risk and performance
• Must flow from Situation Analysis
• Should be a manageable number
• Reasons for selection and prioritization must be evident
or explained
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Evaluation of Alternatives
• Each alternative must be evaluated on each criteria
• If a criteria is not met by even one of the listed
alternatives, it needs to be reviewed
• Beware of ‘satisficing’ – beginning with a ‘workable’
solution and finding justification for that selection
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Decision / Recommendation
• The alternative that meets the criteria the best, especially
the ones with high priority
• If it is unsatisfactory, check if the list can be broadened
to include more alternatives
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Implementation Plan
• Steps needed to implement the recommended solution
• Reflect on the practicality of each step in the context of
the case; might need a different alternative if any step is
non-implementable (ability) or unlikely to be
implemented (willingness) by those responsible
• Associated downsides and risks must be listed, and steps
considered to alleviate these
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Contingency Plan
• Actions that need to be taken in case implementation of
the action plan goes wrong
• Not a requirement of every case
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End Matter
• Exhibits
▫ Tables / Figures
▫ Graphs
▫ Organizational chart
▫ Process flows
• Appendices
▫ Balance sheet
▫ Revenue calculations
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Things to Remember
• Emphasis is on following the PACADI process
• There is no wrong or right answer
• Ensure your arguments are logical
• Articulate your arguments well
• Use only the information provided in the case
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Fresh to Table – Case Discussion
• Would you want to work at FtF?
• How would you characterize FtF’s culture?
• Why do you think Showalter and her fellow Slackers are
acting in this manner?
• If these four employees could give feedback to
Mossberger without fear of retribution, what would they
do?
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Fresh to Table – Case Discussion
• Given Mossberger’s reaction to Showalter’s tweet, do you
think other Slackers have reason to keep their true
feelings hidden?
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Fresh to Table – PACADI ANALYSIS
• Define the problem.
• What are the alternatives in front of Mossberger and
team?
• On what criteria should they make a decision?
• How would they analyze the alternatives against the
criteria?
• What is the recommendation?
• What is the action plan?
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PACADI Framework for this Case
Problem:
Contain the misuse of company resources for personal
communication and take appropriate action against
erring employees.
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PACADI Framework for this Case
Alternatives:
1. Give the erring employees a stern warning
2. Put the erring employees on a Personal Improvement
Plan (PIP)
3. Fire the erring employees
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PACADI Framework for this Case
Criteria:
1. Should dissuade such behaviour / send a clear message
that such behaviour is not acceptable
2. Should be legally viable and defendable
3. Should not tarnish the company image and culture
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PACADI Framework for this Case
Analysis:
1. Weigh each alternative against each criteria
2. Justify your analysis
3. Stick to case facts
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PACADI Framework for this Case
Implementation Plan:
1. Consult the legal team and fire the employees or put
them on PIP
2. Send out a communication to all the employees
informing them of the decision and also advising them
to follow company policies
3. Revise company policies in view of the incident
4. Conduct training sessions to train employees on such
matters
5. Frame policies that provide a channel for employees to
voice their concern
