Decision Sciences and Stakeholders Processes

Abstract

Most real world problems involve uncertain information. Although uncertainty can often be reduced, it can be seldom completely eliminated. Whether we are dealing with scientific, engineering, or personal problems, we are forced to make decisions that are based on incomplete knowledge. Even the choice of whether more information should be collected before making an actual decision is itself a decision under uncertainty. Decision making under uncertainty has been addressed in mathematics by probability theory and expected utility theory. These two together are known as decision theory. The art and practice of decision theory is known as decision analysis. Large applications of decision analysis/decision sciences can be found in risk engineering.