Discuss the need and utility of statistical quality management in enterprise decision-making. What are its limitations?
Technique States of Nature
N1 N2
S1 40 60
S2 10 -20
S3 -40 150
The next is a payoff (in $000) desk for 3 methods and two states of nature for our firm
Choose a method utilizing every of the following resolution standards: (a) Maximax, (b) Minimax remorse, (c) Maximin, (d) Minimal danger, assuming equiprobable states.
