What are the different models of decision -making analysis?
Models of decision -making analysis provide specific methods of data analysis related to potential decisions. Different models include Min-Max reviews, expected payouts or loss of opportunity expected in decision-making. Often there is an unlimited number of models of decision -making analysis that the company can use in a standard way. Companies should choose a model that best suits the situation and inputs available for the upcoming decisions. Owners and executives are usually individuals responsible for choosing a decision -making model, although input from operating managers can help provide an important view of the process.
When reviewing Min-Max, individuals often sort data according to each possible outcome of the decision. The order of the data is extremely important, and the least profitable outcome of the decision is min. All other results of the decision rise in order until the company reaches the maximum point - or the most profitabulka - ProstLEDEK decision. The review process focuses on two min-max options to assess what is happening in every decision, with min in most cases the worst scenario. Companies can decide on these models of decision -making analysis with the hope of achieving the result of the maximum decision, but the worst planning.
The expected models of the payment decision analysis review the probability that the company can expect to result in results. In many cases, this model coincides with the analysis of the decision -making tree and creates a hybrid model for decision -making. Every probable result has the amount of the dollar attached to it, so the company can assess the payment for capital expenditure. For example, the best case scenario has 20 % option, and there is 50 percent and 30 percent for the least profitable opportunity for the average result. Dollar amounts for each of these outcome pAF will help the company determine how much profit the company can expect to pay for the project -related expenses.
Models of decision -making on the loss of opportunities accept more access to analyze the results of decision -making. The Company must outline all costs associated with the potential decision -making results. They should represent all the costs of setting up the operations necessary to start the project and start it for several months. Potential income for each decision should also be stated for every outcome of the decision. Loss of opportunity is a lost income when the company selects one project before another, which can be significant depending on the number of available options for the company.