Management (Research Paper Sample)

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Management Decision
Introduction
By delineation, management decision refers to all the processes that improves and streamlines the actions on items by the process of using available information in a firm. The information to be used will help in improving consistency, precision, and making of good decision choices by managers. Manages need to use tools such as the continuous improvements, businesses intelligence, artificial intelligence while taking known business risks in a predictive analysis.
In management decisions, management systems treat them as reusable assets when they introduce the use of technology decision points into a decision analysis process. Such decisions may be fully automated or presented in a manner that the humans can make choices form them to determine the best strategy to go after. Most of the organizational organizations deal with financial services, the banking services which need to be integrated by either humans or by using software in determining the route to follow while making business decisions. Such an application is useful when using or dealing with voluminous transactions that need a lot of thinking and involves calculations.
This is a business enterprise that manufactures wine goblets. When orders are received for example in the example given, an order of selling 10,000 goblets to japan, means that the expected amount to be paid was due in the month of December after six months from the date of delivery. According to the given rates of exchange, 1$=130 Yen at present, and in December, the rate will go up to become 1$=100 Yen so that to make it easy for the business to borrow the Yen at a slightly lower interest rate. The decision of the business will depend on the urgency of the Yen, if the business is indeed sure of the expected rise in the value of the Yen, then it will have to wait till December.
This argument is based is based on the fact that interest rate is the point of consideration in this case. The fact that in December, 1$ shall be exchanged with 100 Yen will be advantageous to the business in the sense that, the value of the loan to be paid in interest terms shall be slightly low compared to if the amount was obtained at 1$ at 130Yen. In the first case at 100Yen per dollar, the business will be able to get more of the dollars than if the rate was at 130Yen per dollar.
Illustration;
Consider a business with 50000 Yen and wishes to exchange at the two rates of 130/Yen and 100/Yen. For the first firm;
If 1$= 130Yen
? =50000Yen
Then $= (50000 Yen* 1$)/130 Yen
= $ 384.6154
Firm Two;
1$= 100Yen
? =500000Yen
50000*1/100= 500 $
Then firm two will get higher amount th...