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Handbook of Decision Analysis
book

Handbook of Decision Analysis

by Gregory S. Parnell PhD, Terry Bresnick MBA, Steven N. Tani PhD, Eric R. Johnson PhD
March 2013
Intermediate to advanced
432 pages
12h 33m
English
Wiley
Content preview from Handbook of Decision Analysis

CHAPTER TWELVE

Portfolio Resource Allocation

TERRY A. BRESNICK, ERIC R. JOHNSON, and GREGORY S. PARNELL

Good portfolio decisions begin with a conducive culture, effective behaviors, a decision quality framework, and a good process

—Michael Menke

12.1 Introduction to Portfolio Decision Analysis
12.2 Socio-Technical Challenges with Portfolio Decision Analysis
12.3 Single Objective Portfolio Analysis with Resource Constraints
12.3.1 Characteristics of Portfolio Optimization
12.3.2 Greedy Algorithm Using Profitability Index and the Efficient Frontier
12.3.3 Application to Roughneck North American Strategy Portfolio
12.3.4 Portfolio Risk Management
12.3.5 Trading off Financial Goals with Other Strategic Goals
12.4 Multiobjective Portfolio Analysis with Resource Constraints
12.4.1 Characteristics of Incremental Benefit/Cost Portfolio Analysis
12.4.2 Algorithm for Incremental Benefit/Cost Portfolio Analysis
12.4.3 Application to the Data Center Portfolio
12.4.4 Comparison with Portfolio Optimization
12.4.5 Strengths and Weaknesses of Incremental Benefit/Cost Portfolio Analysis
12.5 Summary
Key Terms
References

12.1 Introduction to Portfolio Decision Analysis

In earlier chapters, we show how to use decision analysis to select the best single choice from a set of well-defined alternatives. But in many cases, the goal is not to select the single best alternative, but rather, to select the combination, or portfolio of alternatives that best meets the articulated goals of the leadership. Many ...

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Publisher Resources

ISBN: 9781118515846Purchase book