Decision making - operation research, Operation Research

Decision making is not only the headache of management rather all of us make decisions. We daily decide about minor issues. The essential characteristics of all decisions are:

1. Objective

2. Alternative at the disposal and

3. Influencing factors

Once these characteristics are known one can think of improving the characteristics so as to improve upon the decision itself. Let us consider a situation where a decision concerns spending summer vacations at a hill resort. The next problem may be to decide the mode of conveyance from amongst the alternatives train bus and a taxi.

At the first level of decision making, bus is chosen as the mode of conveyance just by intuition ( may be at random). At the second level of decision making the three conveyances are compared and it is decided qualitatively that the bus will be preferred since it is less time consuming compared to the train and cheaper as compared to taxi. At the third level of decision making the three alternative are compared and it is suggested that the bus will be chosen as it will be taking only half the time taken by train and shall be 40 % less costlier than the taxi.

Although outcome of all these decisions is the same one can easily judge the quality of each decisions. We many brand the first decision as bad since it is highly emotional while we may call the second decision as good since it is scientific though qualitative. The third decision is doubtlessly the best as it is scientific as well as quantitative.

Posted Date: 3/20/2013 3:55:43 AM | Location : United States







Related Discussions:- Decision making - operation research, Assignment Help, Ask Question on Decision making - operation research, Get Answer, Expert's Help, Decision making - operation research Discussions

Write discussion on Decision making - operation research
Your posts are moderated
Related Questions
Determining Degrees of Freedom   One of the prerequisites for using chi square test is that we should calculate the number of degrees of freedom for the contingency table. T

application&techniques

. A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper

A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper i

Conclusions and Recommendations  Conclusions  should  be drawn with  direct  reference to the objectives  of the study. The  readers should  be able  to read the objectives. T


disadvantages of model in operational research

history of modi

Goal Programming This provides a more realistic model. In a modern setting, profit maximization may not be the only objective of a business concern. Other objectives or goals c

One Sample sign Test In a one  sample  test the  null  hypothesis μ = μ 0 against an  appropriate alternative on the basis of a random sample of size n we replace each sam