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Decision Analysis

Framing a Decision - Metadecision


BITS Pilani PB Venkataraman
Mechanical Engineering Department
Pilani Campus
Decision Making Process

Where do you spend most of your time?

Reasoning
Alternative Informatio
Meta- Framing How do I
s n
decision What is the ensure my Decision
What is the What do I
What is problem & trade-off My act
trade-off need to
going on? objective? gets my
for what? know?
objective

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BITS Pilani, Pilani Campus
Meta-Decision

What is the issue about?

What is its gravity?

Should we decide NOW?

Should I decide?

Is it ‘Risk’ or ‘Uncertainty’?

Which process challenges?

Do we need external help?

How will a leader decide?

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BITS Pilani, Pilani Campus
Answer the Questions

• Why organic food is expensive?


• You are in a flight which has landed in HAL airport because the BIAL is
crowded. Airhostess announces that you can’t alight here and need to wait
for further information. What is your decision?
• You are in your seat and the phone on the next desk rings. As a courtesy you
attend the call because your colleague is not in seat. The caller asks for some
information about your company, which you can answer. What is your
choice?
• Your friend seeks your advice on her higher studies. How will you decide?
• Purchasing an automobile is a decision or meta-decision?
• Identify the nature of these as ‘risk’ or ‘uncertainty’:
– Gambling
– Stock market
– Mutual fund
– Fixed deposit
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BITS Pilani, Pilani Campus
END OF SLIDE

BITS Pilani, Pilani Campus

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