Essay on Decision Model of Choice - 1012 Words

Clifford Brown Week 1– MAIN POST (Redo) September 08, 2013 Business Research for Decision Making MGT600 - 1303D – 07 American InterContinental University Introduction: This report will show my views on whether the text model or the model of my choice is more business friendly. I will list the strengths and weakness of each model. I will also list some of the risks associated with each approach. Body: Business decision making definition according to BusinesDictionary.com: â€Å"The thought process of selecting a logical choice from the available options.† Decision making in business is very important. Many decisions are made in business every day. Some may be large and some may be small. Some decisions†¦show more content†¦2. Identify the criteria – This step sometimes requires more than on objective. This step could easily solve other problems. If a criteria is missed, it could change the outcome of the results. However, when all criteria has been identified, it optimizes the results. 3. Weigh the criteria – This step requires the manager to rank the criteria according to its importance. It could be very dangerous if the manager is not fully knowledgeable about its company’s processes. However, when the criteria have been correctly weighed, it really builds a frame work for generating alternatives. 4. Generate alternatives â₠¬â€œ This step could be very time-consuming. It can sometimes outweigh the value of the added information. This step provides many ways of solving the problem. 5. Rate each alternative on each criterion – This step requires the manager to forecast future events. If a criteria is missed, it could affect the decision. When done properly, this step provides the greatest tool for making the decision. 6. Compute the optimal decision – If all steps 1 thru 4 are not fully analyzed, an optimal decision cannot be made. ( Bazerman, M. H., amp; Moore, D. A.,2013) Following is an example of a decision matrix: | Safety | Inflation | Rate of | Management | Stability | Compatibility | Totals | | Risk | Risk | Return | Difficulty | | With Current | | | | | | | | Business | | RealShow MoreRelatedThe Decision Of Our Final Residential Location Choice Model1630 Words   |  7 PagesBefore the decision of our final residential location choice model, we tested how preferences of residential location are different among age and income groups. Stratifying the sample of households by age and income is helpful to identify some of the heterogeneity in housing preferences among different market segments as well as investigate whether differences of location preferences exist between different groups. 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