Decision Making Method - Essay Example

Only on StudentShare

Extract of sample
Decision Making Method

An advantage of the benefit-cost framework is that it leads to a positive or negative (or zero) number for each program or practice evaluated and, therefore, does not require knowledge of a cost-effectiveness cutoff level to decide whether a particular practice should be undertaken. Finally, a limitation of both approaches is that the benefits and costs to individual members of society need to be aggregated. If the equitable distribution benefits and costs across individuals or groups are of concern, a single cost-effectiveness measure will not do. However, as economists are wont to argue, over large numbers of programs and practices the inequities are likely to even themselves out and, with some exceptions, may reasonably be ignored.
The main steps in this model include (1) identification of main problems and possible solutions to these problems, (2) analysis of financial costs and financial benefits of proposed programs, (3) selection of the best decision.
The first step is a search for alternative solution. The first solution is to buy computers for the training classroom. The second solution is to use company's computers located in different department. The third alternative is to rent a training classroom (in college or university) for the training program.
When generating alternative methods for solving the problem, decision makers must determine wheth ...Show more


Various decision strategies can be used by decision makers to choose which training solution they wish to implement. Decision makers may choose an optimizing strategy in which they determine the expected cost (not necessarily just the financial cost) and benefit of the outcome associated with all solutions…
Author : modestoklein
Save Your Time for More Important Things
Let us write a custom essay on your topic
"Decision Making Method"
with a personal 20% discount.
Find out more

Related Essays

Decision Making in Groups
Examples of these decisions may include choosing a financial management database for your company or even choosing the right product in an ever-competitive market. Managers in today's business environment are faced with numerous often-unplanned events that require decision-making.
8 pages (2000 words) Essay
Decision Making Essay
In addition, since there are many degrees of participation involved and many ways to measure its effectiveness, the whole notion of participative decision-making may be a little problematic to graph. Thus, effectiveness of participative decision-making may under various situations and in many different types of responses and the degree of participation.
2 pages (500 words) Essay
Decision Making Process
They continue with the decisions they have made. But, ‘unsuccessful’ are very sluggish to make any decision at all and they change the ones they have made very rapidly indeed (Kotelnikov, 2008). It is necessary
2 pages (500 words) Essay
Managerial Decision Making (see instructions)
Examples of these decisions may include choosing a financial management database for your company or even choosing the right product in an
8 pages (2000 words) Essay
Information based decision making Unit 5002
The source, selection, requirements, methods and process of organizational decision making are the main areas those will be addressed in this paper. The main points that will be discussed is the decision making models and their
12 pages (3000 words) Essay
Capital Asset pricing model is one such tool which is used to calculate the rate of return on any given security by considering the risk and return profile of the individual security. What is also important to understand that Capital
9 pages (2250 words) Essay
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email