Decision Engineering (ULB)

• The course was taken in autumn 2013 at the ULB
• Taught by professor Yves De Smet

Syllabus

Decision Engineering is about helping to make a decision

It includes several disciplines:

• Voting Theory
• Multicriteria Decision Aid
• Decision Under Risk and Uncertainty
• Game Theory

Voting Theory

• Voting Theory Relations
• Voting Theory Examples
• Voting Theory Exercises

| Methods | Criteria | |Plurality Voting
Two-Round Voting
Borda’s Rule
Condorcet’s Rule | |Monotonicity
Independence to Third Alternatives
Condorcet Fairness Criterion
Separability

Theorems:

• May’s Theorem
• Arrow’s Impossibility Theorem

Other concepts:

• Banzhaf Power Index
• Parliamentary Allocation
  • Hamilton’s Method
  • Jefferson’s Method

Multi-Criteria Decision Aid

Multi-Objective Optimization

• Dominance
• Waste Utilization Problem
• Weighted Sum Model
• Ideal Point Model

MCDA:

• Modeling Preferences
• Preferential Independence

Methods:

• Multi-Attribute Utility Theory
• ELECTRE
• PROMETHEE

Game Theory

• Normal Form Games
• Nash Equilibrium, Dominance, Iterative Removal
• Prisoner’s Dilemma, Battle of the Sexes
• Cournot Duopoly Model and Bertrand Duopoly Model
• the Median Voter Theorem

Decisions Under Risk and Uncertainty

Decision Under Uncertainty

• Max Min Strategy and Max Max Strategy
• Hurwitz’s Index
• Min Max Regret Strategy
• Laplace Rule

Decision Under Risk

• Decision Trees and Decision Tree Exercises
• Expected Values for Lotteries
• Expected Utility Theory

Inventory Management

• Wilson EOQ Model
• EOQ with Gradual Replenishment
• EOQ with Planned Storage

Info

• no public webpage
• http://uv.ulb.ac.be/ course: MATH-H-405, user: visiteur, password: visiteur
• folder with all the materials: https://www.dropbox.com/sh/gu9dn03vl3y3gk9/u2pLE109sn