Management Decision Making is a spreadsheet-based introduction to the tools and techniques of modern managerial decision making. The author shows how to formulate models in Microsoft Excel that can be used to analyse complex problems taken from all the functional areas of management, including finance, marketing, operations, and human resources. Throughout the book, the goal is to understand how business decisions are reached, what tradeoffs are made, and how outcomes depend on the underlying data. A broad range of analytical methods is discussed, including linear programming, integer linear programming, decision analysis, decision trees, queues, and Monte Carlo simulation. Included is a CD-ROM that contains the widely-used decision analysis software applications TreePlan and Crystal Ball. The book is aimed at students of business, economics and engineering, including those taking MBA courses. It will also be of great interest to business managers who want to learn more about practical spreadsheet modeling.
• All decision problems discussed from a managerial perspective • CD-ROM containing Excel files for all examples, plus decision analysis software, TreePlan and Crystal Ball • Extensive Excel primer included as an appendix • Solutions manual and transparencies of all figures available on the web
1. The science of managerial decision making; Part I. Decision Making Using Deterministic Models: 2. Introduction to linear programming models; 3. Developing model formulation skills; 4. More advanced linear decision problems; 5. Output analysis I: small changes; 6. Output analysis II: large changes; 7. Integer linear programs; Part II. Decision Making Under Uncertainty: 8. Introduction to probability models; 9. Decision making under uncertainty; 10. Decision trees; 11. Management of congested service systems; 12. Monte Carlo simulation; Appendix - an Excel primer.