SYST 672 - Decision and Risk Analysis

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This course provides an overview of decision and risk analysis techniques. It focuses on how to make rational decisions in the presence of uncertainty and conflicting objectives. It covers modeling uncertainty, the principles of rational decision-making, representing and solving decision problems using influence diagrams and decision trees, sensitivity analysis, Bayesian decision analysis, deductive and inductive reasoning, objective and subjective probabilities, probability distributions, regression analysis, defining and calculating the value of information, modeling risk attitudes and utility functions. Concepts will be illustrated through case studies and practiced by students through homework.
Components: Lecture
Grading Method: Regular