Topic > Decision Models - 971

Decision Models Negotiations and decisions are part of everyday business. To make a successful decision, you need to understand how to make rational and sound decisions. Rash decisions made based on hasty judgments and past experiences can prove detrimental to a company. A deficit in basic thinking and decision making is felt at all levels of an organization (Gary, 1997). Decisions can have long- and short-term impacts on organizations and the world in which they exist (Turner & Dean, 2008). To understand the process that leads to making a healthy and good decision, it is necessary to define and understand different decision-making models. These models help clarify the issues to be addressed and the objectives to be achieved before a final decision is made. This article will discuss zero-sum games, win-win, satisfactory solutions, and fixed-pie models. The zero-sum game can play an important role in which one entity wants or needs to dominate the other. Among the numerous decision-making models that can be implemented, the zero-sum game is one of the decision-making models used in negotiations. In this case there is a winner and a loser. There is no give and take or compromise. Zero sum can be seen in chess: only one player can win. However, in Monopoly, if it is not played with the intention of having a winner, but several players to place, it is a non-zero-sum game, also called win-win (US Department of State, n.d.). the second model is the non-zero model, also known as the win-win model. This is used in compromises so that each of the "players" feels like a winner. The total amount earned is variable; therefore, both players win and lose goals (Heylighen, 1993). In this model, each...... half of the sheet......9712C, 15-18.Heylighen, F. (2000). Principia Cybernetica Web, in: Heylighen, F., Joslyn, C., and Turchin, V. (eds.): Principia Cybernetica Web. Retrieved November 15, 2010, from http://pcp.lanl.gov/ZESUGAM.htmlSpangler, B. (2003). Distributive bargaining: beyond intractability. Guy Burgess and Heidi Burgess (eds.). Conflict Research Consortium, University of Colorado, Boulder. Retrieved November 16, 2010, from http://www.beyondintractability.org/essay/distributive_bargaining.Turner & Dean (2008). Testing the effects of prior performance on decision regret: Double down or all bets are off? Journal of Global Economic Affairs; 2, 1 13. US Department of State (n.d.). US Consulate General: The zero-sum game between Russia and the United States ended with the Cold War. Retrieved November 15, 2010, from http://www.vladivostok.usconsulate.gov/zerosum.html