Which type of decision-making is designed to meet the overall purpose and direction of the organisation?

• A. Operational decision-making
• B. Tactical decision-making
• C. Strategic decision-making
• D. Crisis decision-making

Answer: (C)

Strategic decision-making focuses on the organization's long-term direction and purpose. These decisions shape what the organization aims to become, which markets or activities it will pursue, and how it will allocate its scarce resources to follow that path. They are typically made by senior leaders and involve looking at the external environment, the organization's capabilities, and where best to position the business over several years.

In this sense, strategic decisions are wired to meet the overall purpose and direction of the organization by setting the course it will pursue. By contrast, operating decisions handle daily activities and efficiency (like day-to-day production or service delivery), tactical decisions translate strategy into near-term plans and budgets within departments, and crisis decisions address urgent, unforeseen problems requiring quick, practical responses.