Decision Making and Data Analysis Report

This assignment focuses on the role of research and data analysis in decision-making at Balti Palace. It examines primary data collection methods, their importance for accurate information, and how managers interpret results to improve decisions. The report also highlights the use of Decision Support Systems (DSS), Transaction Processing Systems (TPS), and Management Information Systems (MIS) as tools for effective goal achievement. Furthermore, it discusses the application of Net Present Value (NPV) and Internal Rate of Return (IRR) in project profitability assessment.

BDM

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Creation of plan by use of primary and secondary data........................................................1
1.2 Research methodology and designing of sample frame........................................................2
1.3 Designing of questionnaire for business problems...............................................................3
TASK 2............................................................................................................................................4
2.1 Summarisation of data by using representative values.........................................................4
2.2 Evaluation of the results to draw valid conclusions..............................................................7
2.3 Evaluation of the data by using measures of dispersion.......................................................8
2.4 Contribution of quartiles, percentiles and correlation coefficient to interpret information. .9
TASK 3..........................................................................................................................................10
3.1 Production of graphs and pie charts....................................................................................10
3.2 Creation of trend lines to forecast specified business information.....................................14
3.3 Covered in PPT...................................................................................................................15
3.4 Preparation of formal business report.................................................................................15
TASK 4............................................................................................................................................1
4.1 Application of information processing tools.........................................................................1
4.2 Preparation of project plan and determination of critical path..............................................1
.....................................................................................................................................................3
.....................................................................................................................................................3
4.3 Application of financial tools for decision-making..............................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Decision-making is the important concept for every organisation whether small or large
in organisation. To improve decision making power research plays an important role for
collection of information from respondents about their existing services. The different benefits
which are gathered by the management are effective workforce decisions, employee input, leads
to good morale, quick decisions etc. There are many statistical methods which are used further
for interpretation of information and draw important conclusions. Such methods are named as
mean, median and mode. Balti Palace is a restaurant which provides their services in UK (Saaty
and Peniwati, 2013).
In the present report explain about, application of primary and secondary sources of data
collection, designing of sample frame and research methodology, preparation of questionnaire,
summarisation of data through application of representative values and interpretation of
important results through use of measures of dispersion, quartiles, percentiles and correlation
coefficient. Also, Creation of graphs to draw valid conclusions, application of information
processing and financial tools to improve decision making.
TASK 1
1.1 Creation of plan by use of primary and secondary data
Balti Palace is a restaurant which provides their services in UK. The management of
restaurant has aim to expand their business operations through opening of new branch in
London. To check the viability of their new project, decided to conduct research which helps to
ascertain their viewpoints regarding their current services and quality of food items. There are
many other benefits which are gathered with the help of this research are determination of
preferences of customers, factors which are present in market, current market positioning etc. All
such information helps in accomplishment of the objectives within stipulated period of time. The
two different methods of data collection are primary and secondary which are mentioned below:
Primary source: This method is used for collection of first hand information directly
from respondents. There are different methods which are comprises in this source are survey,
questionnaire, public opinion poll etc. All these methods helps in collection of true information
which provides accurate results. There is less chance of biasses while using this method. The
different methods are defined below:
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 Questionnaire: It is a list of questions which is asked to several individual which are
selected from total population for collection of information about research questions.
Under this method, there is no face to face interaction with respondents.
 Survey: Research questions are asked to respondents. It involves the face to face
interaction and helps to grab information from their gestures also (Nooraie, 2012).
 Public opinion polls: The information is collected by sampling from respondents to
predict the results. It also helps in estimation of public attitudes on different issues.
Secondary source: It includes the information which is created by someone other. Under
this, researcher is not need to take part into research activities. The different sources from where
information is collected are newspapers, magazines, articles etc. It aves the time and cost but
doesn't provide reliable and accurate information.
1.2 Research methodology and designing of sample frame
There are different types of method of research. It is the the duty of researcher is to select
the best method which is most suitable to the objectives of restaurant. The main objective of
research is to check the viability of their move regarding growth of their business operation in
London through opening of new branch. There is also huge need to draw the outline and
designing of sample framework which helps in selection of respondents from population.
Research methodology: It includes about the selection of research or survey method
which is used regarding collection of information. One of the best which is identified is primary
source of data collection. Under this questionnaire technique is used and different research
question are prepared. Researcher of Balti palace prepares close-ended questionnaire which
contains different options and respondents have to select answer from such given options. 10
different question are included in questionnaire (Kacprzyk and Fedrizzi, 2012).
Sample framework: It includes the process of designing of framework which provides
direction during research activities. It improves the efficiency of researcher and improvement of
their existing skills. The different methods which are available for selection of respondents from
total population are stratifies, cluster and random sampling. In the present report, researcher of
Balti palace select uses random sampling method and select 80 respondents. The different
questions of research which are included in questionnaire are mentioned below:
 Importance of Expansion plan of Balti palace in London
 Current position in market
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 Recommendation regarding their current services
 Identification of preferences of customers
1.3 Designing of questionnaire for business problems
Questionnaire: It is primary method of data collection. It is the document which contains
the list of survey questions to extract specific information. It can be of two types open-ended and
close-ended. Open-ended questionnaire provides the opportunity to respondents to formulate
their own answer (Cosgrove and Rijsberman, 2014). On other hand, Close-ended questionnaire
provides number of options from which respondent has to pick one answer. In present report,
Close-ended questionnaire is prepared.
Questionnaire
Name:
Age:
Gender:
Occupation:
Q1. Is it viable for Balti Palace to open new restaurant in London?
 Yes
 No
Q2. Does expansion helps to earn large number of profits?
 Yes
 No
 Can't say
Q3. How often you visit Balti palace?
 Once in a month
 Twice in a month
 More than four times
Q4. Would you like to recommend Balti palace to their friend or relative?
 Yes
 No
Q5. What dish you prefer most in Balti Palace?
 Italian
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 Thai
 French
Q6. What attracts you most in Balti Palace?
 Multiple-cuisine
 Surroundings
 Services
Q7. Are you satisfied with the quality of food and services of Balti Palace?
 Highly satisfied
 Satisfactory
 Dissatisfied
Q8. What place you recommend for starting new branch of Balti palace in London?
 Near tourist destination
 Country side
 Prime location
Q9. Are you satisfied with the pricing policy of Balti Palace?
 Highly satisfied
 Satisfactory
 Dissatisfied
Q10. What you would like to recommend to the management of Balti Palace for their
expansion?
TASK 2
2.1 Summarisation of data by using representative values
Q1. Is it viable for Balti Palace to open new restaurant in London?
Particulars
No. of
Respondent
s
Yes 65
4

No 15
Total 80
Mean 40
Median 40
Mode 5
Q2. Does expansion helps to earn large number of profits?
Particulars
No. of
Respondent
s
Yes 55
No 15
Can't say 10
Total 80
Mean
26.6666666
667
Median 15
Mode 5
Q3. How often you visit Balti palace?
Particulars
No. of
Respondent
s
Once in a
month 42
Twice in a
month 28
More than
four times 10
Total 80
5

Mean
26.6666666
667
Median 28
Mode 2
Q4. Would you like to recommend Balti palace to their friend or relative?
Particulars
No. of
Respondent
s
Yes 58
No 22
Total 80
Mean 40
Median 40
Mode 14
Q5. What dish you prefer most in Balti Palace?
Particulars
No. of
Respondent
s
Italian 38
Thai 22
French 20
Total 80
Mean
26.6666666
667
Median 22
Mode 16
Q6. What attracts you most in Balti Palace?
Particulars
No. of
Respondent
s
6

Multiple-
cuisine 42
Surrounding
s 18
Services 20
Total 80
Mean
26.6666666
667
Median 20
Mode 6
Q7. Are you satisfied with the quality of food and services of Balti Palace?
Particulars
No. of
Respondent
s
Highly
satisfied 28
Satisfactory 38
Dissatisfied 14
Total 80
Mean
26.6666666
667
Median 28
Mode 28
Q8. What place you recommend for starting new branch of Balti palace in London?
Particulars
No. of
Respondent
s
Near tourist
destination 28
Country side 10
Prime 42
7

location
Total 80
Mean
26.6666666
667
Median 28
Mode 8
Q9. Are you satisfied with the pricing policy of Balti Palace?
Particulars
No. of
Respondent
s
Highly
satisfied 22
Satisfactory 48
Dissatisfied 10
Total 80
Mean
26.6666666
667
Median 22
Mode 22
2.2 Evaluation of the results to draw valid conclusions
Year Sales Net Profit
2008 2430 1000
2009 2300 1200
2010 2550 1350
2011 2600 1590
2012 2790 1670
2013 3150 1780
2014 3450 1890
2015 3200 2150
2016 3600 2250
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2017 4200 2450
Mean 3027 1733
Median 2970 1725
Mode 2430 1000
Mean: It is statistical method which helps in determination of the average of the figures
which are present in series. It shows the expected value which is received by restaurant from
their sales and net profit figures over the period of time (Sinha and Labi, 2011). It helps in
summarising the whole data in to one precise figure which makes decision-making process good.
Mean of sales and net profit is concluded by Balti palace as 3027 and 1733.
Mean: ∑X/N
Median: This method provides the middle value of series. By using this method, data
which is present in series is divided into two parts called upper and lower. The median of sales
and net profit is calculated by Balti palace as 2970 and 1725.
Median: [L1 + (N/2) – c/F*i]
Mode: It represents the data which is appears most often in a series. This method plays
an important role to draw important conclusions. The mode of sales and net profit is attained by
Balti palace as 2430 and 1000.
Mode: L + h ( fm – f1 / 2fm – f1 - f2 )
2.3 Evaluation of the data by using measures of dispersion
Year Sales Net Profit
2008 2430 1000
2009 2300 1200
2010 2550 1350
2011 2600 1590
2012 2790 1670
2013 3150 1780
2014 3450 1890
2015 3200 2150
2016 3600 2250
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2017 4200 2450
Minimum 2300 1000
Maximum 4200 2450
Standard
deviation
603.619637
4097
468.402723
2106
Correlation
coefficient
0.92956010
33
Range: This method is used by Balti palace regarding identification of the minimum and
maximum range of figures from sales and net profit. Through the comparison of such figure
more important results are identified regarding their best and worst services provided by Balti
palace. The minimum range of sales and net profit is 2300 and 1000. Maximum range of sales
and net profit is 4200 and 2450.
Standard deviation: This method helps in measurement of the dispersion of a series
from its mean. It is used by the manager of Balti palace to identifies the risks which are
associated with new project. The standard deviation of Sales and Net profit as 603.6196374097
and 468.4027232106.
2.4 Contribution of quartiles, percentiles and correlation coefficient to interpret information
Quartile: This method helps in identification of the deviations in the data which is
present in a series. This method easy to use because not includes mathematical obligations. It
uses the terms which are mid of 50%, thus it helps in better measurement of range and percentile
value (Tzeng and Huang, 2011).
Percentile: This method helps in resolving issues in more easy manner. One of the
important percentile is 25th. It helps in comparison of data and attain better results.
Correlation coefficient: It is one of the effective method which helps in identification of
the strength and relationship between variables. Balti palace used this two understand the relation
between sales and net profit. One of the limitation of this method is that having no control over
third variable. It improves the decision-making power of management.
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TASK 3
3.1 Production of graphs and pie charts
Q1. Is it viable for Balti Palace to open new
restaurant in London?
Frequency
Yes 65
No 15
Yes No
0
20
40
60
80 65
15 Column B
Q2. Does expansion helps to earn large number
of profits?
Frequency
Yes 55
No 15
Can't say 10
55
15
10
Yes
No
Can't say
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Q3. How often you visit Balti palace? Frequency
Once in a month 42
Twice in a month 28
More than four times 10
42
28
10
Once in a month
Twice in a month
More than four times
Q4. Would you like to recommend Balti palace
to their friend or relative?
Frequency
Yes 58
No 22
Yes No
0
10
20
30
40
50
60
70
58
22 Column B
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Q5. What dish you prefer most in Balti Palace? Frequency
Italian 38
Thai 22
French 20
Italian Thai French
0
5
10
15
20
25
30
35
40 38
22 20
Column B
Q6. What attracts you most in Balti Palace? Frequency
Multiple-cuisine 42
Surroundings 18
Services 20
42
18
20
Multiple-cuisine
Surroundings
Services
Q7. Are you satisfied with the quality of food Frequency
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and services of Balti Palace?
Highly satisfied 28
Satisfactory 38
Dissatisfied 14
28
38
14
Highly satisfied
Satisfactory
Dissatisfied
Q8. What place you recommend for starting
new branch of Balti palace in London?
Frequency
Near tourist destination 28
Country side 10
Prime location 42
14

Near tourist destination
Country side
Prime location
0
5
10
15
20
25
30
35
40
45
28
10
42
Column B
Q9. Are you satisfied with the pricing policy of
Balti Palace?
Frequency
Highly satisfied 22
Satisfactory 48
Dissatisfied 10
22
48
10
Highly satisfied
Satisfactory
Dissatisfied
3.2 Creation of trend lines to forecast specified business information
Trend line: These lines shows the future trend of the activities of restaurant which they
are going to achieve in future period of time from their business functions. Balati palace uses
trend line to show forecast about their sales and net profit figures (Xu, 2015).
Year Sales Net Profit
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2017 4200 2450
2018 5500 2900
2019 6550 3150
2020 7560 3450
1 2 3 4
0
1000
2000
3000
4000
5000
6000
7000
8000
2017 2018 2019 2020
4200
5500
6550
7560
2450 2900 3150 3450
Column A
Linear (Column A)
Column B
Linear (Column B)
Column C
Linear (Column C)
From the above chart it is observed that, future of Balti palace is good. The estimated
sales figure proves that customers are satisfied with their current services and they enjoy to take
meal in Balti palace. There is continuous growth is shown in the sales figure which helps to earn
large number of profits. So, there is proper amount of funds are available with the management
of Balti palace is to start new branch and makes changes in their existing services to attain better
results (Shapiro and Stefkovich, 2016).
3.3 Covered in PPT
3.4 Preparation of formal business report
Report
To,
The Restaurant Manager
Date- 12th March, 2018
Subject: Ascertain the views and feedbacks of respondents about the opening of new branch of
Balti palace in London.
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Introduction
Research is conduct by the management of Balti palace. In this process researcher
analyse the importance of both methods of data collection which are primary and secondary. As
per using the primary source of data collection, close-ended questionnaire is prepared which
helps to attain the reviews of respondents about their growth plan of one more restaurant in
London.
Methodologies
There are many research methods which improves the working of researcher and
provides the opportunity to attain better outcomes for the restaurant. Qualitative and descriptive
research method is most suitable to accomplish the objectives of research and restaurant. One of
the important method which is used for selection of respondents from total population is
random sampling method. Through application of this method 80 respondents are selected.
Findings
After selection of 80 respondents, such 10 different research question which are
prepared by researcher is asked to them. There are different statistical methods are used by the
researcher like mean, median and mode to interpret the important results and attain their
objectives successfully. It is observed through the answers given by respondents the quality of
their services is good but need to make some improvement in their surroundings and services.
Recommendation
The major recommendation for Balti palace is to implement the changes and try
some innovation in their dishes for satisfaction of the different requirements of their customers.
It provides the opportunity regarding improvement of their sales and profitability.
Conclusion
It has been concluded from the above report that, the plan of expansion of new
branch is viable for Balti palace. They receive the positive feedback from the customers side
about their current services also.
TASK 4
4.1 Application of information processing tools
The main aim behind the application of information processing tools in Balti palace
restaurant is to improve overall communication and coordination among the different
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departments and employees (March, 2013). It helps the management to take informed decisions
and accomplish their objectives within given period of time. It improves the efficiency of
employees and restaurant regarding providence of their diversified services. Different tools are
mentioned below:
 Management information system: It includes about the processing of the information
with the helps of computerised system to support managerial decisions and disseminate
information among all staff members effectively. It helps in performance of functions
according to standards which are set by management.
 Transactional processing system: This system is used for business transactions
regarding collection, modification and retrieval of important information. The main
characteristics of this system are performance, reliability and consistency.
 Decision support system: This system helps in business decision makings. It used at all
level of organisation whether planning, organising, managing etc. It contributes to make
decisions about the problems which are rapidly changes (Crowfoot and Wondolleck,
2012).
4.2 Preparation of project plan and determination of critical path
Critical path: Through this method different paths are identified which are involved in
the process of completion of project. It provides that the longest sequence activity in the project
is must be completed on time to accomplish their objectives effectively. If such path is not
completed on time then whole project is delayed. The activities which are present on critical path
is not started unit its predecessor activity is completed (Rothman, 2017).
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From the above Critical path diagram, the various paths are determined which shows the
time period regarding completion of project:
 Path A: 1
 Path B: 2,8= 10
 Path c: 5,9= 14
 Path d: 6, 10= 16
As per Critical path method, longest path is selected to complete on time. So, path is
selected which takes 16 days to complete (Sethi and Zhang, 2012).
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4.3 Application of financial tools for decision-making
Particular Project Discounting factor Discounted cash inflow
Year Cash Flow 12.00% Present Value
0 -190000 1 -190000
1 50000 0.893 44645
2 64000 0.797 51020.8
3 58000 0.712 41284.4
4 70000 0.636 44485
Total P.V 181435.2
Initial
investment
of year -190000
NPV -8564.8
IRR 9.94%
It is observed from the above calculation that, the initial investment of 190000 is made in
project. NPV shows the negative of 8564.8. it means the project is not profitable but on other
hand, IRR shows the return at the rate of rate of 9.94% (Pourshahid, Richards and Amyot,
2011).
CONCLUSION
It has been concluded from the above report that, research is one of the important method
which helps in collection of feedback from respondents. Primary sources of data collection is the
important method which helps to attain reliable and accurate information. Such information is
further used by the manager of Balti Palace to improve their decision-making through
interpretation of results by application of statistical methods. DSS, TPS and MIS are information
processing tools which helps to attain common goals effectively. NPV and IRR helps in
determination of the profitability of project.
20