Experience with decision making models
As I first thought about the concept; decision making models, my first thought was: “I have never used them.” But when I read chapter 3: Managerial Decision Making in the book Management: The New Competitive Landscape, I realized that I had used these decision making models, just without knowing. (Bateman & Snell, 2004, p. 65-103).
For example, we went through the University of Phoenix 9 steps of problem solving (2008) when we decided to buy a house. The situation was: we were losing the apartment we rented. There was a baby on the way and we had already decided we wanted to settle down in Reyðarfjordur (step 1). The problem was that we were soon to be on the street so some kind of action was inevitable (step 2). We wanted to find ourselves a small house or an apartment, not to expensive since we just finished school (step 3). We could try to find another apartment for rent or we could start to go house hunting. We went house hunting and saw 3 apartments that were optional (step 4). We evaluated each apartment, made pros and cons lists and went over what apartment would financially be the best solution for us. We even considered whether or not the apartment would be easy to sell again after a few years (steps 5 and 6). We then made a decision to buy a 3 bedroom (85 fm2) apartment in a duplex (step 7). We did of course, all the things that come with buying a first house (step 8). We evaluated the decision in a way, we were happy there, the payments of the loans were lower that on the rent market (step 9). We sold the apartment 3 years later for 50% higher price that we paid. From now on I will be using decision making models more often and knowingly, both in my personal life and my career.
Referen ...