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Chapter 7 Decision Analysis

Chapter 7 Decision Analysis. Problem Formulation Decision Making without Probabilities Decision Making with Probabilities Risk Analysis and Sensitivity Analysis. Problem Formulation. A decision problem is characterized by decision alternatives, states of nature, and resulting payoffs.

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Operations Management Decision-Making Tools Module A

Operations Management Decision-Making Tools Module A. Out- comes. States of Nature. Alternatives. Decision Problem. Ways of Displaying a Decision Problem. Decision trees Decision tables. Fundamentals of Decision Theory. The three types of decision models:

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