Code:

BERM.ASC.004

Study year:

2008 - 2009

Long name:

Managerial Decsion Making and Decision Support with Applications in Marketing

ECTS:

5

Language:

English

Lecturer(s):

Berend Wierenga, Jehoshua Eliasberg

Faculty:

RSM Erasmus University

Number of lectures:

Hours per lecture:

Goal:

The first part of the course will provide the participants with in-depth insights about decision making and the use of models in the area of new product development, which is important for the management of innovation.

In the second part of the course the participants will become familiar with the major concepts and theories, relevant for the study of decision making in management. Topics include expected utility theory, judgment and choice, dual-system processes, expert systems, neural networks and the brain. We will also pay attention to decision support technologies, their principles, their effectiveness for different types of problems, and their adoption in organizations.

Marketing decision making is chosen as the application domain, but the content of the course is also very relevant to other areas of managerial decision making.

Course contents:

First part of the course (Prof Eliashberg)

Decision making in new product development (innovation)

The following topics will be treated:

Market Sizing Models for New Products

Sales Forecasting Models

Market Share Models

Diffusion and Dynamic Models

Models in the Entertainment Industry

Second part of the course (Prof Wierenga)

Topics:

How do managers actually make decisions (data-and information processing; reasoning; timing) and how does this compare to normative decision models (e.g. expected utility theory)?

The psychology of decision making: limited cognitive capabilities, time constraints, social context, contingencies e.g. characteristics of the task, the decision maker and the decision environment. Intuitive/automatic (tacit) decision making versus analytical (deliberate) decision making. What is the value for decision making of recent results in neuroscience about the functioning of the brain during decision making? Decision support technologies: their effectiveness, their contingencies with different problem-solving situations, and the factors that drive adoption and success of decision support systems.

Examination:

Two assignments (for both parts of the course)

Literature:

Reader

Additional information: