The Effect of Decision Making for Organizational Effectiveness: A Case of Some Small and Medium Manufacturing Enterprises of Addis Ababa City

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Addis Ababa University


The purpose of this study was exploring two factors of decision making; decision making process and decision making style of the Addis Ababa city effective small and medium manufacturing enterprises. To achieve this aim, a quantitative research approach is used. A population of 175 enterprises is considered and a sample of 122 enterprises is selected using the stratified random sampling technique. Out of the 122 questionnaires distributed 98 of them are collected which makes the response rate of 80%. Descriptive statistics is used for analyzing the data. The result of the data analysis showed that all the five decision making styles are followed by the enterprise managers with the aggregate mean score value of 3.37, 3.34,2.89,2.74 and 2.14 for the , intuitive, rational , spontaneous ,dependent, avoidant decision making styles respectively. Moreover; the data analysis result showed that the rational decision making process is followed by the effective enterprise managers. Adaptation of decision making style over the situation the enterprises face over time and following rational decision making process are proposed as the recommendation of this study



Decision making style, Decision making Process, Addis Ababa city SME