Role of Decision Making in a Business

A decision is the act of making up your mind about what to do, based upon your prior assessment of relevant situations and circumstances. Decision making is the driving force of most businesses. Without it, there is little business activity, progress or development.

Basis of Action

Business development arises from the collective decisions of management and staff. Policies, programs and strategies are converted into action through decisions.


The progress of a business organization from one level of success and performance to another may arise from the decisions of its Board of Directors. For example, the Board may decide to implement a profitable strategy that members of the organization’s decision-making body has suggested, which has the potential to bring progress to the organization.



The efficiency of staff and management of a business enterprise increases with the application of progressive and practical policies and principles. Employees must decide to apply these ideas to their work, management of customer requests and business practices in general.



About the Author

Based in the United Kingdom, Desmond Dirk has been writing since 1997. His articles have appeared on and other websites. Dirk holds a Master of Arts in professional writing from the London Metropolitan University.