country
$20 Bonus + 25% OFF
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!

Problem Solving Or Decision Making

tag 2 Downloads6 Pages / 1,311 Words tag Add in library Click this icon and make it bookmark in your library to refer it later. GOT IT

Question:

Discuss about the Relationship between Quantitative Methods and Decision Making.
 
 

Answer:

Introduction

Decision making is crucial for making appropriate choices and thereby ascertain the success of any given business. In the current marketplace, decision making has given immensely challenging considering the number of variables to be considered and the underlying uncertainty. As a result, there is a significant role of various quantitative methods which enable objective evaluation of the available choices which can improve the overall decision making. The objective of the given report is to present the various steps involved in problem solving or decision making. Further, using the process as a base, the relationship between the quantitative methods and decision making would be highlighting using a case study as an example.

Problem Solving or Decision Making

The process of solving a particular problem at hand or making a decision is referred to as problem solving or decision making. There are mainly four steps or processes that are involved in decision making. The first step is recognition of problem i.e. the concerned manager or decision maker must realise that there is a problem which needs to be solved or a situation where a decision needs to be made. This is imperative because once the concerned person realises the presence of problem would there be steps to resolve the same. Usually the problem is recognised when the performance or output is not as desired (Eriksson & Kovalainen, 2015).

 


The next step is decision making is to search for various alternatives that could potentially resolve the situation or problem at hand. Thus, based on the nature of the problem or decision, the decision maker or manager would take requisite assistance so as to narrow down on the available courses of action. For a routine problem, identification of the alternatives is rather easy but for a complex problem, even searching for the alternatives could be an arduous task which may require reference to the available literature.  Once the alternatives have been identified by the decision making, the next step commences which requires rational evaluation of the available options or alternatives so that the best alternative may be chosen for the problem at hand (Flick, 2015).

For programmed decisions, this is quite easy as there are established procedures along with available tools to evaluate the alternatives available. However, the same is not true for non-programmed decisions as enough information is not available or the same is not reliable due to which rational decision making or evaluation is hampered. Once the evaluation of alternatives is done, then a decision is taken and implementation is done. This usually involves putting the decision taken into implementation. This is followed by feedback so as to ensure that the desired output or outcome is achieved failing which rectification needs to be done (Hair et. al., 2015).

 

Quantitative Methods

Quantitative methods may be defined as those computation techniques which tend to emphasize on data collection through various means and carrying out the numerical or statistical analysis of the same. These methods are critical for taking sound managerial decisions. This is primarily because the results obtained from these methods are objective and reliable. Further, the quantitative methods if implemented appropriately could potentially improve the quality of the managerial decisions made as they would be more rational considering the availability of strong evidence in the form of numerical analysis. The quantitative methods tend to identify the various relationships that tend to exist between the various variables present in the available data and thereby enable the decision maker to base the decision based on these underlying patterns. Examples of quantitative methods tend to include various statistical techniques such as hypothesis testing, regression analysis, correlation analysis and other descriptive statistical techniques (Hillier, 2006).

Relationship between quantitative methods and decision making

One of the key steps which is involved in the decision making process is the evaluation of alternatives. In this process, the various quantitative methods are quite useful. This is because they enable the decision maker to recognise patterns of association and relationship between the variables of interest and hence provide useful information in the form of expected outcome provided a given decision is taken. A case in point could relate to whether an incremental expenditure on advertisement must be done or not. In order to evaluate the proposal, the impact of advertisement on sales needs to be understood using the historical data through the usage of correlation or regression analysis. This would allow the decision maker to work out whether the respective benefit likely to arise in the form of sales would outweigh the expected incremental cost (Hastie, Tibshirani & Friedman, 2011).

 


While the above is relatively a straight forward example, the quantitative methods could be used for more complex analysis particularly for estimating the likely scenarios and the possible outcome in each of these. Then probabilities could be accorded to these scenarios based on their respective chance of happening. On the basis of this analysis, it would be possible to estimate the likely payoff associated with the various alternatives that the manager or respective decision maker might have identified. Further, since these quantitative methods are based on data, hence the output thus obtained has higher reliability as the same can be easily verified. Thus, the use of quantitative methods play a significant role in the decision making process at the corporate level (Flick, 2015).

Example (Case Study)

A real life case study has been obtained from a Journal named Journal of Political Economy where an article named economic effects of broadcast licensing was published in 1964 by H, Levin. The quantitative method which had been used by the author was regression analysis. Based on the sales transactions of 31 radio stations, the data regarding the independent variables and dependent variable (price) was obtained. The various independent variables outlined in the case are highlighted below (Levin, 1964).

 

The relevant regression output obtained from the study is highlighted below.

The above output highlights various regression models with price acting as the dependent variable and different variables acting as the independent variables. There are three different regression models with one model using only spotrate with the other adding income also and the third adding networks also. Using the significance values in the last column, a decision maker can narrow down on the respective independent variables that should be considered important while predicting the price. For instance, for a significance level of 5%, the networks variable does not seem significant as the p value (0.147) exceeds the significance level. Hence, the model 2 would be termed as the most superior which is also established from the fact that it leads to the lowest standard error. Hence, the decision maker would use the given model for estimation of a reasonable price (Flick, 2015).

Conclusion

Based on the above discussion, it is apparent that decision making has various stages and increasingly the evaluation of alternatives is getting more challenging. In the light of the same, quantitative methods serve critical role by providing key support to the decision maker in relation to evaluating the available alternatives. This has also been highlighted using an actual case study whereby the price of the radio station has been predicted based on the empirical data available in this regards.

 

References

Eriksson, P. & Kovalainen, A. (2015). Quantitative methods in business research (3rd ed.). London: Sage Publications.

Flick, U. (2015). Introducing research methodology: A beginner's guide to doing a research project (4th ed.). New York: Sage Publications.

Hair, J. F., Wolfinbarger, M., Money, A. H., Samouel, P., & Page, M. J. (2015). Essentials of business research methods (2nd ed.). New York: Routledge.

Hastie, T., Tibshirani, R. & Friedman, J. (2011). The Elements of Statistical Learning (4th ed.). New York: Springer Publications.

Hillier, F. (2006). Introduction to Operations Research. (6th ed.). New York: McGraw Hill Publications.

Levin, H. (1964). Economic Effects of Broadcast Licensing, Journal of Political Economy, 72(4), 152-162.

Download Sample

Get 100% money back after download, simply upload your unique content* of similar no. of pages or more. We verify your content and once successfully verified 100% value credited to your wallet within 7 days.

Upload Unique Document

Document Under Evaluation

Get Credits into Your Wallet

*The content must not be available online or in our existing Database to qualify as unique.

Cite This Work

To export a reference to this article please select a referencing stye below:

My Assignment Help. (2018). Problem Solving Or Decision Making. Retrieved from https://myassignmenthelp.com/free-samples/problem-solving-or-decision-making.

"Problem Solving Or Decision Making." My Assignment Help, 2018, https://myassignmenthelp.com/free-samples/problem-solving-or-decision-making.

My Assignment Help (2018) Problem Solving Or Decision Making [Online]. Available from: https://myassignmenthelp.com/free-samples/problem-solving-or-decision-making
[Accessed 12 July 2020].

My Assignment Help. 'Problem Solving Or Decision Making' (My Assignment Help, 2018) <https://myassignmenthelp.com/free-samples/problem-solving-or-decision-making> accessed 12 July 2020.

My Assignment Help. Problem Solving Or Decision Making [Internet]. My Assignment Help. 2018 [cited 12 July 2020]. Available from: https://myassignmenthelp.com/free-samples/problem-solving-or-decision-making.


With time, MyAssignmenthelp.com has become one of the best college essay writing services. Our all rounded services give students the confidence to overcome assignment related issues. Our services are fast enough to meet most urgent deadlines. We are capable of delivering fast essay writing services with the help of our specially designed provisions and writers' teams. Our urgent essay help services guarantee most rapid delivery of assignment solutions. Some of our most popular essay services are application essay help, exploratory essay help, literary review essay help and argumentative essay help.

Latest Statistics Samples

BSB123 Data Analysis

Download : 0 | Pages : 3
  • Course Code: BSB123
  • University: Queensland University Of Technology
  • Country: Australia

Answers: Question One The significance level is an evaluation of the strength of proof that must exist in a statistical test to reject the null hypothesis and conclude that the alternative hypothesis is true. It is denoted as alpha, and the researcher must determine it before experimenting. The significance level is the likelihood of rejecting the null hypothesis when it is true(Kenton, 2020). For instance, at the 0.01 significance level, w...

Read More arrow Tags: Australia 18 Data Analysis Queensland University of Technology 

8766 Gender And Development

Download : 0 | Pages : 10
  • Course Code: 8766
  • University: University Of Canberra
  • Country: Australia

Answer: Gender issues are a harsh reality and are very much prevalent in the society in recent times. Gender issues usually include various aspects and also concerns that are related to the lives of both men and women and also situations in the society, the way in which both men and women interrelated and also their differences in terms of accessibility and the usage of resources, the way both the genders react to any kind of change, activities,...

Read More arrow Tags: Australia Canberra Gender and development.G (8766) University Of Canberra 

HI6007 Statistics For Business Decisions

Download : 0 | Pages : 3

Answers: 1. Population parameter refers to the population characteristics such as mean and standard deviation. The population mean is represented by µ while population standard deviation is indicated by the symbol sigma (Flick, 2015). Sample statistic refers to the sample characteristics such as those describing the central tendency and the dispersion. For example, Xbar is used to indicate sample mean while s is used to denote samp...

Read More arrow Tags: Australia Melbourne 18 STATISTICS FOR BUSINESS DECISION Holmes Institute 

BUACC5931-Quantitative And Qualitative Job Insecurity And Well-being

Download : 0 | Pages : 3
  • Course Code: BUACC5931
  • University: Federation University
  • Country: Australia

Answers: 1.In selection of appropriate sample size, a tradeoff exists owing to higher accuracy of a larger sample versus a lower cost of a lower sample. The relevant factors for determining the minimum sample size are the accuracy desired by researcher (captured as Margin of Error) along with population standard deviation (σ) which highlights the underlying heterogeneity in  population. The formula for minimum sample size is given b...

Read More arrow

MGT 602 Business Decision Analytics

Download : 0 | Pages : 5

Answer: Introduction According to me, life is a series of decisions some good and others bad. For example, I make a conscious decision to consume coffee instead of tea or cocoa every morning for breakfast. Other decisions I have made recently or continuously make on a daily basis are listed as follows: I normally take a bus or taxi to get to school I complete all assigned school tasks by 5pm, I only watch movies after 8pm and ensure that...

Read More arrow
Next
watch

Save Time & improve Grade

Just share Requriment and get customize Solution.

question
We will use e-mail only for:

arrow Communication regarding your orders

arrow To send you invoices, and other billing info

arrow To provide you with information of offers and other benefits

1,360,163

Orders

4.9/5

Overall Rating

5,081

Experts

Our Amazing Features

delivery

On Time Delivery

Our writers make sure that all orders are submitted, prior to the deadline.

work

Plagiarism Free Work

Using reliable plagiarism detection software, Turnitin.com.We only provide customized 100 percent original papers.

time

24 X 7 Live Help

Feel free to contact our assignment writing services any time via phone, email or live chat.

subject

Services For All Subjects

Our writers can provide you professional writing assistance on any subject at any level.

price

Best Price Guarantee

Our best price guarantee ensures that the features we offer cannot be matched by any of the competitors.

Our Experts

Assignment writing guide
student rating student rating student rating student rating student rating 4/5

1309 Order Completed

100% Response Time

Gemmie Chen

MSc in Nursing

Singapore, Singapore

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

2279 Order Completed

97% Response Time

Zachary Perez

PhD in Computer Science and Information System

Washington, United States

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

234 Order Completed

100% Response Time

Samantha Ji

PhD in Chemistry with Specialization in Organic

Singapore, Singapore

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

529 Order Completed

95% Response Time

Ivan Blank

PhD in Functional Human Biology

Wellington, New Zealand

Hire Me

FREE Tools

plagiarism

Plagiarism Checker

Get all your documents checked for plagiarism or duplicacy with us.

essay

Essay Typer

Get different kinds of essays typed in minutes with clicks.

edit

GPA Calculator

Calculate your semester grades and cumulative GPa with our GPA Calculator.

referencing

Chemical Equation Balancer

Balance any chemical equation in minutes just by entering the formula.

calculator

Word Counter & Page Calculator

Calculate the number of words and number of pages of all your academic documents.

Refer Just 5 Friends to Earn More than $2000

Check your estimated earning as per your ability

1

1

1

Your Approx Earning

Live Review

Our Mission Client Satisfaction

good it was perfect clear answer just what i need for ode thank you so much!! clear and in steps

flag

User Id: 304633 - 12 Jul 2020

Australia

student rating student rating student rating student rating student rating

The current help needs to improve on his English writing. While the coach was helpful in providing the content, I had to rework the context of whole paper to make it readable for the level of output expected. But overall it was helpful since I don't ...

flag

User Id: 223122 - 12 Jul 2020

Australia

student rating student rating student rating student rating student rating

Work is perfectly written, though not graded yet but I’m being optimistic that a good grade will be awarded.

flag

User Id: 369420 - 12 Jul 2020

Australia

student rating student rating student rating student rating student rating

It was well written and I\'m 100% satisfied. The expert knew exactly what to do and finished well above my expectations.

flag

User Id: 332269 - 12 Jul 2020

Australia

student rating student rating student rating student rating student rating
callback request mobile
Have any Query?