Optimal Business Performance Assignment

Running Head: RESEARCH
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MGT602 BUSINESS DECISION ANALYTICS
RESEARCH ANALYSIS REPORT
Name of Student:
Name of Institution:
Date:

RESERACH
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Executive Summary
Decision making is one of the critical components that improves optimal business
performance. Decision making is a process for determining the appropriate steps to take to
ensure that revenues or profits are maximized and costs minimized. Decision-making is applied
when there are various options for action that can be taken by business stakeholders. Decision-
making should follow a number of steps. The initial step in decision making is to identify the
objective of the decision. The objective of the decision should be designed to avoid
misalignment of the decisions that stakeholders make.
The report applied a descriptive study design. The main sources of data for decision
making are: company records, customer feedbacks and internet/social media. There are a number
of tools and decision-making systems that help stakeholders choose the best choice from a
variety of alternatives. The main decision-making tools that have been discussed in this report
are the decision matrix, decision trees, pareto analysis, joint analysis, SWOT analysis and PEST
analysis. On the other hand, the main decision-making systems that have been discussed in this
report are: The graph T-, Multi-voting and cost-benefit analysis.
SWOT is an abbreviation of Strengths, Weaknesses, Opportunities and Threats. Strengths
are evaluated to investigate what the alternative can best offer to other alternatives. Weaknesses
are assessed to find areas that need improvement if the alternative is chosen. A peer review is a
decision-making tool that is applied when there are several (more than one) decisions that need
to be made. A decision tree is a representation of available alternatives in the form of a graph
that looks like a tree. The graph has a main node and the branches of the node. The branches
represent the alternatives and their possible or expected outcomes. A decision matrix is a

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technique that is applied to evaluate all available options in a decision-making process. Building
a decision matrix involves creating a table of all available alternatives or decision options. PEST
is one of the techniques that are used by business stakeholders to make decisions. PEST is an
abbreviation of Political, Environmental, Social and Technological Factors. Therefore, the whole
process of PEST analysis requires that political, environmental, social and technological aspects
are taken into consideration before a final decision is made.
Table of Contents

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Introduction.................................................................................................................... 4
Objectives of the Study..................................................................................................... 6
Research Question........................................................................................................ 6
Methodology.................................................................................................................. 6
Decision making Tools...................................................................................................... 6
Decision Tree.............................................................................................................. 7
Pareto Analysis............................................................................................................ 8
SWOT analysis............................................................................................................ 9
PEST analysis............................................................................................................ 10
Sources of Data............................................................................................................. 10
Decision making Systems................................................................................................ 10
T-Charts................................................................................................................... 10
Multi-voting.............................................................................................................. 11
Cost-benefit analysis................................................................................................... 11
Conclusions.................................................................................................................. 12
References.................................................................................................................. 14
Introduction
Decision making is one of the critical components that improves optimal business
performance. Decision making is a process for determining the appropriate steps to take to