Degrees of Uncertainty


Statistical decision theory is based on the idea that a manager may face three degrees of uncertainty in making a decision. Some decisions are made under conditions of certainty. Here, the manager knows in advance the outcome of decision. At the opposite extreme, some decisions are made under conditions of uncertainty. Here, the manager cannot even assign probabilities to the likelihood of the various outcomes. Conditions of complete uncertainty are also relatively infrequent. Most management decisions are made under conditions of risk. Under conditions of risk, the manager can at least assign probabilities to each outcome. In other words, the manager knows (either from past experience or by making an educated guess) the chance that each possible outcome will occur.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

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Golden Chain


Today’s new customers must be seen as golden chains of future revenue not just a one-off, hit and run sale. Customers are just too expensive to attract and too valuable to loose after one or two transactions.

 

Even if your customer buying cycle is infrequent, the customer can still benefit from support, and opportunities for extra sales can be identified.

 

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please contact www.asifjmir.com, Line of Sight