GSM 514 Analytical Decision Making for Managers
Effective managerial decision making requires the application of two distinct skill sets: disciplined analytics and sound judgment. This course provides students with a foundation of decision analysis skills, including the use of decision trees, expected value analysis, and the evaluation of imperfect information. It then applies the concepts of behavioral economics, identifying patterned sources of bias in decision making and tools to neutralize those biases. Topics to be explored include expected value, sensitivity analysis, risk aversion and loss aversion, use of ambiguous and incomplete information, and sunk costs. The course emphasizes application of these concepts to actual business decisions through case studies and frequent student exercises. (2 credits)