Option #2: Using Tools to Solve a Problem. Management Essay

Option #2: Using Tools to Solve a Problem
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Option #2: Using Tools to Solve a Problem
The COVID-19 pandemic has highlighted notable flaws in the technological practices of most Australian businesses, which have led to the loss of many customers. Research done on 1,200 business decision-makers globally, together with 205 from Australia, discovered that a number of local companies believe poor communication was the reason behind their loss of customers and were unprepared to heavily rely on technology with many people working from home. A global survey was carried out from Pegasystems by a research company known as Savanta to show the scope of the impact of COVID-19 on businesses and their ability to adjust during the crisis. The survey showed that half of the Australian companies lost clients during the pandemic as a result of poor communication systems, a number that is much higher than the global 36% (Information Age, 2020). A further 85% believed the pandemic had initially exposed hidden flaws in their businesses, and their digital transformation efforts were encumbered by lagging technology. Additionally, 55% of the surveyed firms worried they had let customers down, whereas 64% admitted to not doing more to aid their customers. Lastly, 56% sent poorly received messages to clients that eventually damaged their reputation (Information Age, 2020). The survey concluded that Australian companies overestimated the effectiveness and completion of their digital transformation efforts, with the pandemic highlighting their business flaws. Although more than 80% of the surveyed companies were already in advanced digital transformation stages, the vast majority admitted to significant gaps in operational systems. The report found out that the negative impacts acted as a reality check for various business leaders as they vowed not to let their outdated technology risk company profitability during the next crisis.
More than 80 percent of the companies surveyed were forced to speed up their digital transformation efforts. To add on, more than 70 percent will now prioritize digital transformation, and more than 50 percent will increase their investments in technology (Information Age, 2020). However, the increased digital transformation efforts bring about a surge in cybersecurity risk. In order to solve the problem of security breaches, a rational decision-making tool could be used.
Rational Decision-Making Process
A rational decision-making process is used to reach decisions that are logically sound. In the model, a leader follows a series of steps to reach a decision. The rational decision-making model is best used when alternatives can be found (Eisenführ et al., 2013).
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Step 1: Identifying the Problem
Although this is the starting point, a failure to accurately identify the scope of the problem can impede the entire decision-making process. Serious investigations should be done in order to find out which issue needs to be addressed (Eisenführ et al., 2013).
A data breach occurs when confidential or sensitive information is accessed without the owner's permission. Breaches result from cyber-attacks, where cyber-criminals gain unauthorized access to computer systems and st...