QUANTITATIVE DECISION MAKING Essay Example | Topics and Well Written Essays - 250 words

QUANTITATIVE DECISION MAKING - Essay Example Requirements of performing a quantitative analysis are the presence of a sample (upon which the analysis would be performed), descriptive statistics, and a deductive reasoning. Practical examples of quantitative Analysis Some practical examples of quantitative analysis are ‘Financial Systems Analysis’ and ‘Time Value of Money’. Financial systems analysis used by managers, creditors and investors are used to measure the success of a company’s financial goals. The income sales ratio of two organizations can quantitatively be compared by analysis. How do managers use this in the business world? Managers use quantitative analysis essentially at every step and decision within their organization. For a manufacturing firm for example, the record of orders fulfilled, the ratio of manufacturing parts incorporated, the record of sales made, the record of labor incorporated and the record of expenses incurred can be analyzed at separate levels by performing quan titative analysis techniques on the raw data. The analysis techniques quantify the raw data by sampling and grouping it. The data is then analyzed and graphically projected. The graphical representation of quantified data displays current and projected trends of the organization.