About This Chapter
Decision Making Tools & Analysis - Chapter Summary
Assign this interesting chapter on decision-making analysis and tools to your front-line managers to ensure they understand these subjects. The lessons discuss the decision-analysis approach to business decision making, quantitative decision-making tools, and qualitative analysis business decisions. Because this chapter is accessible on any smartphone, tablet or computer, your employees can review these topics at their own pace and convenience.
How It Helps
- Outlines key concepts: A wide variety of decision making tools are covered here, from Pareto charts to OODA loops, giving your managers a greater understanding of the methods available to them.
- Meets compliance: With lessons on ethical business decisions and legal decision making, this chapter ensures that your compliance requirements are met.
- Helps new hires and experienced staff: Use this entire chapter or just a selection of the lessons in it to train new managers or provide a review of these topics to experienced managers.
After finishing this chapter, your supervisors should be able to:
- Outline the decision analysis approach to decision making in business
- Discuss the tools and models in decision analysis
- Identify quantitative decision-making tools
- Explain business decisions in relation to qualitative analysis
- Define an OODA loop
- Detail Pareto charts and Pugh charts, and include examples
- Describe the force-field analysis change model as created by Kurt Lewin
- Outline the models and framework of legal and ethical decision making
- Use utility when making business decisions
- Identify the four ethical rules as they apply to business decisions
- Define 'decision-making wheels'
1. The Decision Analysis Approach to Decision Making in Business
How do you know what the best decision for your business is? What are the costs and benefits associated with each option? In this lesson, we'll examine decision analysis, including what it is and how to use value and uncertainty in your analysis.
2. Decision Analysis: Models & Tools
Each day we make important decisions, personally and professionally. Often we use decision-making tools without even realizing it. In this lesson, we'll discuss some important models and tools that we can use to improve our decision-making process.
3. Quantitative Decision Making Tools: Decision Trees, Payback Analysis & Simulations
Successful managers use decision-making tools to analyze a problem and try to determine the best solution for that problem. Here, we will discuss three main decision-making tools and help you to understand their function and implementation.
4. Qualitative Analysis Business Decisions
Do you want to know how qualitative analysis can help benefit your company? We will learn how qualitative analysis helps determine management quality, brand awareness, and customer satisfaction.
5. Pugh Chart: Definition & Example
There are many different ways to compare options, but in science we often want a quantitative way to compare data. The Pugh chart gives a way to quantitatively compare qualitative data.
6. Kurt Lewin's Force-Field Analysis Change Model
Kurt Lewin's force field analysis change model was designed to weigh the driving and restraining forces that affect change in organizations. The 'force field' can be described as two opposite forces working for and against change. In this lesson, we'll learn how to analyze the force field.
7. Legal Ethical Decision Making: Models, Steps & Framework
Ethical decision making involves making choices based on what is good for all people. The Golden Rule, public disclosure test and universalization test are three models that consider others in their application.
8. Using Utility in Business Decision Making
A company should always work to maximize profits, right? Well, yes and no. In this lesson, we look at the idea of utility and see how profits can sometimes come second if something with greater utility is needed.
9. The 4 Ethical Rules Applied to Business Decisions
In this lesson we will take a closer look at what makes a business decision ethical. We will explore four basic rules that can help us better understand how a decision will ultimately impact stakeholders.
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