A System Costs Planning Decision Support System
Abstract
This thesis undertakes the task of analysis and design to create a prototype microcomputer-based decision support system for cost planning. System acquisition cost planning is a complex process in which a variety of ill- defined, often conflicting variables influence the decision to be made. Multi- Attribute Utility Theory (MAUT) offers a Multicriterion decision method to incorporate and quantify these variables in the search for an optimal solution. A decision is defined by the options among which one must choose, the possible outcomes, or consequences. Typically, there exists a measurable preference among various choices when making a decision. This preference is called 'utility'. Microeconomic marginal analysis applied to utility curves generated from MAUT data derivation reveals insights to decision risk assessment and cost planning limitations. In a decision with preferences spread among several goals, the utilities may be assigned different weights to determine overall utility value. This theory of weighted utility is the basis for this prototype. This study envelopes user-oriented analysis and design of a prototype. The microcomputer code is developed for in-house use by decision makers, thus facilitating the management decision process more cost effectively and in less time.
Document Details
- Document Type
- Technical Report
- Publication Date
- Sep 01, 1988
- Accession Number
- ADA202068
Entities
People
- Craig L. Riddle
Organizations
- Naval Postgraduate School