Essay Sample on Improving Decision Making

Paper Type:  Essay
Pages:  7
Wordcount:  1878 Words
Date:  2022-11-16

Introduction

Decision making involves identifying choices, gathering information and identifying the suitable ones. It is one of the vital components factors that contribute to the success of an organization. Organizations use different methods to make decisions and of the common ways are through step-step decision making. This method helps organizations to make thoughtful decisions by organizing the relevant information. Decision making should be based on the fountain of knowledge and sound reasoning for the long term successes of the organization. CVS Company runs a special loyalty program that gives it a competitive advantage in the market. It has the opportunity to join forces with other firms for it to widen its activities. Lawsuits are some of the activities that are likely to damage its reputation while tight government regulations are likely to speed down its operations.

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Company Background

CVS pharmacy deals with drugs and focuses on improving the health lives of their patients. Decisions in most pharmacies are based on various approaches including a clinical approach that focuses on identifying the best medicines for the patients (Oshima, & Emanuel, 2013). It also focuses on educating the patients and alternative medicine that could serve the patients' needs better. Secondly, the decisions should be ethical and based on the code of ethics and professional knowledge. Thirdly, the decisions should be based on identifying the problem facing the pharmacy and find the solutions, identify alternative solutions that could be better. Economic factors should focus on identifying and structuring the decisions and evaluating any alternative cost-efficient solutions. Lastly, decisions should be based on legal issues and ensure that each of these decisions does not violate the laws (Oshima, & Emanuel, 2013. 8). Good decision making has played a significant role in enabling the company to achieve its goals and ensure every stakeholder is content.

Strengths

The company is one of the largest drug retailer in the country compared to its competitors. This makes it one of the retailers that serve a large number of patients in the country. Consequently, this reflects on its excellent performances in the shareholder value compared to other health care providers. Their special loyalty program can serve more patients, and above all, it is competing effectively with the Over the Counter drug stores (Marlow & Bryant, 2004. 145). Lastly, it has a wide variety of drugs which are readily available, and this ensures that they can serve more patients across the country.

Weaknesses

The corporation has faced various lawsuits as well as controversies due to refill practices, and this has affected its image to the public. The company only operates within the country, and its failure to venture into international markets denies it a chance to grow its customer's base.

Opportunities

The corporation could venture into new markets, and this could be achieved through partnerships with companies in other countries. Secondly, it could venture in the sale of anti-aging drugs which are currently on demand both locally and internationally. The company could adopt Aetna, a health insurance policy which would enable patients to access health care facilities from the corporation easily. Lastly, the rampant abuse of opium and other hard drugs has become a crisis in the country (Kotler, Shalowitz, & Stevens, 2011. 34). This would be a perfect opportunity for the company to venture in solving this menace that has affected a lot of people in the country.

Threats

Government regulations and their interventions have affected how the corporation runs its businesses in the country. The company is facing competition on global levels especially for international drug stores that have ventured in the American market, and they appear to be more experienced. Lastly, there is increased competition from Mail order pharmacy that has become very popular among most clients.

Customers

CVS health provides healthcare to a lot of American citizens, and it has to ensure their clients receive quality health care, a health plan, and trust. CVS ensures that every patient gets the attention that meets their needs enabling the institution to establish a good relationship with its patients. Customers play a significant role in the success of every business. Customers require quality services for their money, and the pharmacy considers their well-being. The decisions made should focus on ensuring that the patients get all that they need and this way it is easier to offer them quality services.

Competitors

The corporation is facing stiff competition from its competitors who have used different tactics in their businesses. The corporation could focus its decisions on overcoming the competition posed by these competitors, and this will make them more competitive. It is essential to consider some of the services these competitors are offering that make their customers more satisfied (Kotler, Shalowitz, & Stevens, 2011. 50). Based on such considerations it is easier to identify the areas to work on as well as those to venture into to provide better services. However, it would be essential to focus on the areas of weaknesses and work on them to cope with competitors. The corporation has been focusing on implementing various policies to face stiff competition in the market.

Vendors

The corporation also bases these decisions on its vendors who supply them with various materials. Vendors enable the corporation to run their activities efficiently without inconveniencing their patients or even the workers. They play an essential role, and the corporation's decision-making considers the roles they play in the corporation. One of the critical decisions the corporation focuses on ensuring they have the best ways of identifying their reliable vendors. Moreover, they also focus on ensuring their vendors are paid in good time, and this has created trust between the two parties which is good for business.

Government Entities

Various laws govern all the business and CVS is not an exception, and it has to comply with all the regulations put in place. These laws are vital for the company, and it complies with all the requirements set in place by the government. This way it is easier to run their operations smoothly, and it helps them avoid ethical issues that arise when one fails to comply with all the laws. The company has faced several legal problems for failing to meet with some of these recommendations of these entities. Failing to comply with these laws could tarnish the brand especially to the clients who could lose trust in their services affecting the customers' base (Kotler, Shalowitz, & Stevens, 2011. 23). The corporation, however, has been carrying out legal business based on ethics, and this makes it easy for them to carry out their operations in the country.

Communities

The company should ensure that its decision-making process also focuses on the needs of the community. In most cases, people find it difficult to live with a neighbor who can hardly co-exist with others. The decisions of the company focus on ensuring their operations do not disturb the members of the community (Santilli, & Vogenberg, 2015). For instance, it focuses on ensuring that it does not pollute the environment within it which could affect people. Moreover, it participates in social responsibility programs by helping the less fortunate in society.

Employees

Employees are crucial in the success of the corporation, and their contribution should be appreciated. The decisions made by the company focus on ensuring that every worker is motivated and will to give their best for the company. In a corporation where the workers are motivated, way it is easier to run all the operations, and the patients enjoy the services delivery. Some of the decisions that managers have to make regarding their employees are the issue regarding the promotion of workers with outstanding performances. The decision on firing workers is also important because this ensures that workers who underperform are eliminated. Lastly, the corporation should ensure that all the workers have all the equipment they require for their work.

Shareholders

In every corporation, shareholders are important stakeholders, and it is essential to consider their opinions. They invest their money on the company and therefore and therefore and whenever the company makes profits the shareholder's benefit (Santilli, & Vogenberg, 2015). However, when the make loses the shareholders are affected and whenever they fail to invest in the company would affect the overall performance of the company. The corporation focuses on ventures that could gain profits. However, when venturing in risky investments, the company should make sound decisions on the ones that are likely to have a positive impact on their earnings which will be good for business.

Improving Decision Making

There are various ways through the company could improve its decision making, and this has a positive impact on all their stakeholders (Kotler, Shalowitz, & Stevens, 2011. 24). Firstly, they should focus on making decisions based on sound judgment taking into account on every stakeholder. Some of these decisions should be made by specialists who are aware of the issue at hand. For instance, decisions involving the patients can be made by the pharmacists who are specialties in this area. However, these specialties can focus on their

Good decisions can be made by making consultations from other stakeholders (Marlow & Bryant, 2004. 150). This is very crucial in sharing essential knowledge regarding the matters being discussed, and it helps them make their contributions. These stakeholders are also part of the corporation and involving them in such issues makes them feel part of the corporation, and this is crucial in motivating them. They will be willing to do anything for the company, and therefore it is likely to get some of the best ideas that could help in ethical decision making. Moreover, consulting gives one a chance to realize some of the effects could have to the cooperation and how such incidents could be avoided.

Good decision making should identify the underlying risks, and this enables one to determine some of the ways to avoid the worst scenarios from taking place. Every decision can impact the company either positively or negatively, and it is, therefore, critical to think out very wisely before making some of these decisions. The risks will always be there, and one should be bold and avoid panicking about making mistakes. The good thing about such cases is that one need to do ample research about the issue and this enables one to make the right decision.

There are some cases where people make mistakes and the effect the company negatively. These moments are critical, and they should act like lessons. Simple mistakes can cause bad decisions, and these can be evaluated and worked on to avoid a repeat of the same. Therefore the company can analyze its errors and determine what went wrong and this way it is easier to come up with better decisions. For instance, a company could introduce a new diet supplement to the market, and its sales could fail to make an impression. However, the marketing could have been poor and reintroducing it in the market again could be a good idea and this time round invests in marketing. Lastly, good decisions should focus on both short and long term results (Oshima Lee & Emanuel, 2013. 7). A corporation like CVS, a good choice will be based on its impact on the business. It is crucial to ensure a decision does not in any way affect the company's performance of the stakeholders especially the workers.

Conclusion

CVS is doing very well in the American market althou...

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Essay Sample on Improving Decision Making. (2022, Nov 16). Retrieved from https://proessays.net/essays/essay-sample-on-improving-decision-making

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