Quantitative Techniques In Management Nd Vohra.pdf

Mastering Managerial Decisions: A Comprehensive Guide to "Quantitative Techniques in Management" by N.D. Vohra (PDF)

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5. Decision Theory

• Decision environment: Certainty, risk, uncertainty.
• Payoff table & regret matrix.
• Decision under uncertainty: Maximax, Maximin, Minimax regret (Savage), Hurwicz criterion, Laplace criterion.
• Decision under risk: Expected Monetary Value (EMV), Expected Opportunity Loss (EOL), EVPI (Expected Value of Perfect Information).
• Decision trees: Sequential decisions, rollback technique.

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