Decision Making And Tree Diagram

Decision Making And Tree Diagram

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Decision Making And Tree Diagram


A Tree Diagram is a diagram that takes a situation and sets out the possible effects of the decisions made in that situation. It is used in strategic Decision Making and is a very useful tool because it acts as a visual map of a decision, or number of possible decisions, and the processes and consequences that result from and because of it.

Tree Diagrams are known for their simplicity and are used in a great range of industries including engineering, finance, pharmaceuticals and town planning. In their most simplistic forms they are the flow charts that we learnt at school. Tree diagrams are very effective tools that can be used to explore the different options available, and they also provide a visual picture of the risks involved with those different options.

The advantages to using Tree Diagrams in Decision Making are that they are
  • Simple to understand: They are visually easy to read and follow, and can therefore be a positive tool. They donít usually require more than a brief explanation so their benefits are relatively immediate.
  • They do not require all the facts: Tree Diagrams can be valuable in the Decision Making process, even by using probabilities and suppositions.
  • Provide the opportunity to analyze all options: Tree Diagrams can be used as to explore different options within the Decision Making process and the risks, rewards and outcomes of them.

Tree Diagrams are generally drawn from left to right so that they read in the same way that we read a book. The decision or subject to be decided upon is put into a square box, and lines branch off this box leading to other information, such as additional decisions to be included in the process, decision possibilities and possible decision outcomes. They range from simple to extremely complicated, but as a tool provide a clear visual plan of a situation and its possible resolutions.

Tree Diagrams can either be hand drawn, or the Internet provides a large variety of software alternatives. They are very useful tools, but they should not be used solely in the Decision Making process. Successful Decision Making requires a number of methods and strategies to produce the best outcome.

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Decision Making And Tree Diagram

Decision-Making-At-Whole-Foods      Founded in 1980 in Austin Texas, The "Whole Foods Market" today is the world leader in natural and organic foods. The company has consistently ranked in Fortune Magazine's list of the "100 Best Companies to Work For" and its use of a decentralized process of Decision Making is an important contributing factor towards this.More..