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Decision model- using precision tree(excel) and sensitivity analysis.

01 / 10 / 2021 Essays

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Statistics

Decision model- using precision tree(excel) and sensitivity analysis.

When using excel, use the precision table and use statiticts report
use only mean, minmium, max, and ste. Deviation.
alternative #1 and #2
fact that the com. Dev. cross it means that there is dominant alternative.
dominant alternative is good
2 graphs
cumulative graph to check for dominace
risk graph

IMPORTANT please use both precision tree and a sensitivity analysis.

EXPLANATION OF SENSITIVITY ANALYSIS- see powerpoint 2 sensitivity analysis.
When doing the precision tree, you have to do the sensitivity analysis. Go to sensitivity analysis, then in the sensitivity input you will have to label the things. METHOD- ACTUAL MIN AND MAX. Type in the max and min, use only the black numbers from the precision tree. For percentage in min and max the min is 0 and max 1. For numbers you can choose whatever number you want.show 5-8 variables (strategy graph) and show interpretation of it. You might also have to use a tornado graph. All tornado diagram alternatives should be different.



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