SCHEDULE FOR DAY 7

I. REVISION:
Chapter 9. Decision Analysis (QM FOR WINDOWS)

1. Decision Analysis
CASE STUDY: GOFERBROKE Co.
2. Decision Criteria
APPICATION: 4 MAIN CRITERIA IN QM FOR
WINDOWS.
3. Decision Trees
APPICATION: QM FOR WINDOWS.

HOW TO APPLY QM FOR WINDOWS TO IDENTIFY 4

DECISION CRITERIONS AND TO DRAW THE DECISION
TREE FOR GOFERBROKE CASE STUDY
https://www.youtube.com/watch?v=cptyQ4Hyzdk

GHW 5: Students: prepare LMS (Group homework 2):

Solving the case of Case 9.S1a: New Vehicle
Introduction. (Video clip AND Presentation- SUBMIT ON
LMS)
GHW 6: Students: prepare LMS (Group homework 2):
Solving the case of Case 9.S2a: Settle or Go to Trial.
(Video clip AND Presentation- SUBMIT ON LMS)

II. Chapter 9. Decision Analysis (Cont.)

4. Checking whether to obtain more information P.338

The expected value of perfect information is then

EVPI = EP (with perfect information) – EP (without
perfect information)

5. Using new information to update the probabilities

P.340
6. Case study: Goferbroke Co.
7. Template for updating posterior probability (LMS)

8. GHW FOR NEXT WEEK: NO

READING: CHAPTER 10. FORCASTING TECHNIQUES:

REVISION FOR FINAL EXAM

MARKS/BONUS/GHW/QUIZZES/MIDTERM.
SUGGESTED EXERCISE: IMAGINE A DECISION PROBLEM.
USE DECISION TREE IN QM FOR WINDOWS TO SOLVE IT.