Management is a process used to achieve certain goals through the utilization of resources (people, money, energy, materials, space, time). The resources are considered the inputs, and the attainment of the goals the output of the process. The degree of success of the manager’s job is often measured by the ratio between the outputs and inputs. This ratio is an indication of the organization’s productivity. Productivity is a major concern for any organization since it determines the well-being of the organization and its participants. Productivity is also one of the most important issues at the national level. National productivity is the sum of the productivities of all organizations and individuals, and it determines the standard of living, the employment rate, and the economic well-being of the country. The level of productivity, or the success of management, depends on the execution of certain managerial functions such as planning, organizing, directing, and controlling. To carry out these functions, managers engage in a continuous process of making decisions. Therefore, management is considered by many as equivalent to decision making. If one examines the reasons for bankruptcies of small and even large corporations, one frequently finds that the bankruptcy is the result of a single wrong decision. For example, lack of cash flow leads to bankruptcy. Similarly, excess inventories caused huge losses and bankruptcies. Business and its environment are more complex today than ever before, and the trend toward increasing complexity is continuing. Making decisions today is much more complicated than in the past for three reasons. First, the number of alternatives is usually much larger. Second, the consequences of the decisions are more difficult to predict due to increased uncertainty. Finally, the cost of making errors has become larger and larger, mainly due to the size of operations, automation, and a resulting chain-reaction situation in which the impact of an error may be felt in many places due to complex interrelationships. Managerial decision making can be approached from two different perspectives: behavioral and decision support. Our major concern is with the latter.

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