Thursday, December 6, 2007

The decision-making approach strictly used is the rational choice paradigm

My opinion: The approach used is viable but the person-in-charge has to be careful.
ADVANTAGES
1) As seen in the textbook, the approach allows him to minimize biasness and preferences of choice. Just because he likes pink, he won’t get to choose a pinker hotel as the system will choose.
2) The system can analyze accurately, not by human intuition or biasness
DISADVANTAGES
1) The system if passed down by the economic planning friend may be simple, sufficient for cost and budget planning. There are complex relating links of factors that system, if too simple, cannot manage. For example, cost may be important but the additional facilities available in the hotel may oversee the heavier costs. Simple systems are unable to make the decision of overlooking the heavier costs for the better facilities.
2) Human emotions and preferences will still affect what is of importance, and what is of relevance
3) System is insensitive to needs of minority groups of the 2000, for example, pregnant ladies, vegetarians, etc
4) The system may not be complicated enough to make complex decisions, nor be fast enough.
5) Throwing the final decision to a system seems rather… dangerous. You are asked to PERSONALLY recommend, not throw to a system to recommend. If a mathematical system could replace human decision, you can jolly well be asked home. A failed final decision from the system would be the individual’s failed decision and fault; you will have to bear total responsibility for the outcome of what the system chooses.
6) Using the system is rational choice paradigm at its extreme.
SUGGESTIONS
1) Be clear of the company’s needs (Do the company need good facilities? Or a strategic location?)
2) Be aware of personal emotions and preferences
3) Try to minimize blind spots by including wide range of factors, from input from others, not just one’s own as there may be factors we fail to consider
4) Practice scenario planning: what if the pregnant lady suddenly has to give birth?!?! Where is the hospital nearby/ medical facilities?
5) Choose the top ranked three from the system and then form a group to make the final decision.

Huan Ser Fee,
"She understands, but nevertheless..."

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