Objectives and competences
Student will:
• in-depth understanding of decision theory, its role and meaning in the process of complex problem solving;
• ability to independently organize and lead complex decision processes;
• Ability to independently develop decision models in the a specific context;
• ability to argument the selected alternative and critically evaluate decision analysis results.
Content (Syllabus outline)
- Cybernetic based decision-making, Sets and measurement
- Decision Models.
- Decision matrics and decision trees.
- Decision making under uncertainty.
- Value of Information.
- Bayesian decision model.
- Basics of Game Theory in decision-making and Decision making under complete uncertainty.
- Judgement under uncertainty and the certainty equivalent.
- Framing of Information and Prospect theory.
- Multiple criteria decision making.
- Group decision-making.
- Contemporary Decision Support Systems (data-driven decision-making, data analytics, data mining, artificial intelligence methods in decision-making).
Learning and teaching methods
• Lectures,
• seminars,
• case studies,
• practical work on the PCs.
Intended learning outcomes - knowledge and understanding
Knowledge and understanding:
After completing the course the students will be able to:
• Identify and formulate the decision problem (alternatives, criteria, and state of the environment).
• Select an appropriate method for the decision-making while taking into account limitations and risks.
• Form the criteria function and to select the solution and critically assess results of decision analysis
• Master the use of group decision making techniques.
• Master the use of decision support software.
Readings
1. Kljajić Borštnar, M. (2021). Modeliranje odločitvenega znanja: učbenik (str. 52). Fakulteta za organizacijske vede.
2. Bohanec, M. (2006). Odločanje in modeli (str. XV, 312). DMFA - založništvo.
3. Omladič, V. (2002). Matematika in odločanje (Let. 73, str. 184). DMFA - založništvo.
4. Peterson, M. (20092010, cop.). An introduction to decision theory (str. X, 317). Cambridge University Press.
5. Courtney, J. F. (2001). Decision making and knowledge management in inquiring organizations: toward a new decision-making paradigm for DSS [Journal Article]. DECISION SUPPORT SYSTEMS, 31(1), 17–38. https://doi.org/10.1016/S0167-9236(00)00117-2
Prerequisits
Conditions for taking the exam are:
- completed assignements of e-study units and seminal work.
- positive evaluation of a seminar work and its defence (positive is 50% or more)
Additional information on implementation and assessment coursework (20%)
Written exam (80%)
project (20%)
