METHODOLOGICAL FOUNDATIONS OF DECISION MAKING

Lecture



As a result of studying this section, the student must:

know

  • • approaches to defining the concept of «system»;
  • • what «the state of a system» is and what it is described by;
  • • the life cycle of a managerial decision and its use in constructing a managerial decision;
  • • decision-making models;
  • • decision-making strategy in descriptive models;
  • • the influence of psychological aspects of human behavior;
  • • approaches to forming the procedure for constructing a managerial decision;
  • • the hierarchical structure of decision-making in an organization;
  • • the interrelation of data, information, knowledge and decision;
  • • the levels and functions of information systems, the levels of decision-making;
  • • the types of information and categories of information systems;
  • • the kinds of information systems, classes of tasks;
  • • the methodological aspects of creating decision support systems;

be able to

  • • distinguish variants of transferring the system under study into an optimal state;
  • • generate criteria implementing the goals of an individual managerial decision;
  • • distinguish normative and descriptive decision-making models;
  • • substantively form the stages of constructing a managerial decision on the basis of the scheme of its life cycle;
  • • find the features of the controlled system under study that determine the content of the factors influencing the procedure for constructing an individual managerial decision;
  • • use data, information and knowledge for decision-making;
  • • distinguish, when making decisions in an organization, the levels of goal-setting management, functional regulation, information support, operational execution and the corresponding supporting information systems;
  • • distinguish information systems by the tasks they solve and their purpose, in particular: executive support systems, office automation, knowledge work systems, transaction processing systems and others;
  • • determine the specific content of the main methodological aspects of creating a system, which will determine its specificity;

master

  • • skills in constructing complex and simple managerial decisions;
  • • ways of applying the procedure for constructing a managerial decision on the basis of the scheme of its life cycle;
  • • methods of applying the procedure for constructing a managerial decision, based on its life cycle and taking into account the influence of factors caused by the management process;
  • • skills in distinguishing decision support systems from other information systems;
  • • methods of recognizing the levels of decision-making and their corresponding supporting information systems;
  • • ways of populating the decision support system being created with the necessary information.

Keywords

System; state of a system; managerial decision; life cycle of a managerial decision; alternative managerial decisions; procedure for adopting a managerial decision; short-term and long-term memory; normative and descriptive approaches; concepts of maximum utility and bounded rationality; decision-making strategies; phenomenon of human psychological behavior; management system; controlled system; time horizon; planning horizon; data; information; knowledge; information system; decision support system.

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Lectures and tutorial on "Decision theory"

Terms: Decision theory