Critical Thinking Simulation

Critical Thinking Strategies in Decision Making

Thinking Critically Simulation Review

A successful manager is a leader that can provide guidance, direction and motivation to employees in order to improve a company. As a manager for Credenhill Industries the managerial assignment is to solve problems that have arisen within one of the electronics store. The main issue raised which must be resolved is the decline in the number of sales. Subsequently, the legal issue with the City Council for violation of local disability access laws must also be resolved. The evaluation process will assist in determining the problems which are contributing to the decline in sales. The manager must initially identify the problem, define the goals and objectives and evaluate the effects of the problems.

In order to raise the sales figure, the manger must assess the cause or causes of stagnant sales. To accomplish this task there must be a thought process that can help to implement proper decisions. Then the necessary tools must be present in the company to help implement these decisions. It is apparent that there are three major issues that are contributing to decreasing numbers in sales. First is variable pay, second is product mix and third is a new competitor. To help make the crucial changes needed in the company, all three issues must be analyzed.

First issue to address is variable pay. The lower level employees are frustrated because they believe they are earning far less than their senior coworkers at sales positions. A smart manger will have to take head complaints from all sides of the spectrum and analyze whether or not there is a legitimate dissatisfaction. The junior level sales associates are the first members of the company that greet and service the customers. With this fact it is essential to address their concerns and complaints to keep them highly motivated to sell the merchandise. Therefore variable pay is one of the major issues that need to be solved in order to increase sales. The variable pay scale would encompass a bar chart to show sales per employee. This would give individuals an idea of their sales for the month as well as their associated commissions. Positive thinkers would aspire to becoming the top performers.

The second issue to address is the product mix. When companies introduce a product to the market, it is always targeted towards certain income earners and above. It is the managers' and their subordinates task to keep up with the market and asses whether or not the product is selling. To be able to compete with the market decisions must be made to reduce accumulated inventories of certain out dated products and introduce the latest trends that consumers most respond to.

The third issue to address is the new competitor. Competition is healthy for every industry especially for retail business. Competition creates an atmosphere of constant ingenuity and new ideas for new products and services. A wise manager will constantly seek new ways to motivate, lead, inspire and generate higher sales, both in times of high or low competition. Many businesses need competition to overcome internal infighting or even stagnant sales. When a new competitor moves to an existing territory, many times managers are able to unite the employees to work diligently together to beat the new competitor.

To overcome these challenges the team of managers chose to rely on three types of tools. The team used histograms, brainstorming, and SWOT. Each of these tools assists in the identification and tracking of company activity. For instance, in the simulation presented to the team, histogram is a valuable way of understanding why