Consistency and Optimality in Managerial Decision Making

Abstract

This paper reports some research, ideas, and theory about managerial decision making. The first research projects dealt with are aggregate production and employment scheduling. From this is developed the idea that management's own (past) decisions can be incorporated into a system of improving their present decisions. Decision rules are developed, with the coefficients in the rules derived from management's past decisions (rather than from a cost or value model). Half a dozen test cases are used to illustrate and test these ideas (theory). Some rationale about decision making in organizations and criteria surfaces is supplied to help interpret the major ideas presented.