Bus- STEEPLE, CBMs, decision trees

I did decision trees, CBM, and then STEEPLE -this has everything's, made bf test topics were revealed.

Decision trees

Quantitative decision making tool. Diagrammatic representation of different options that are available to a business.

Use of decision trees

1. Allows managers to calc the expected value of each decision in order to choose the best.

Rules to construct decision trees diagrams

1. Constructed from left to right

2. Decision nodes are square, used when there is a choice or decision to be made

3. Chance nodes are circle, used when there is a different possible outcome. Usually two or more routes for each chance nodes.

4. Actual values are stated at the end of each branch.

5. Rejected decisions are crossed by two parallel lines.

Expected value

average outcome if the decision was made many times over.

Advantage of decision trees

1. Allow managers to have visually clear and logical manner

2. All potential options can be seen

3. Consider risks involved

4. Enable more scientific & objective decisions to be made

5. Provide insight to the decision rather than ppls views, intuitions, feelings

Disadvantage of decision trees

1. Probabilities are only estimates and subject to error

2. Probabilities may be subject to bias

3. Technique doesn’t reduce risks

4. Delays in planning may invalidate data

5. Qualitative data are looked up on (not considered)

Qualitative factors considered in the making of Decision trees

1. Location

2. Employees

3. Brand

4. Products

5. Competitors

Traditional Business models

only concerned about the financial cost of using resources, focus on; producing, selling, using & throwing.

Linear Business model

Do not consider the long term environmental impacts of business activities.

Disposable society

Consumers replace or upgrade products simply because they are not interested in them rather than actual need to change.

Circular business models

Decision making tools that focus on the environmental impacts of business activity. (reuse, reduce, repair, recycle)

Advantages of using circular business models

1. Offers new commercial opportunities

2. Contributing to sustainable business growth

3. Generating new revenue

4. Transforming organization relationship with customer, supplier, gov etc

5. Protecting natural environments

6. Avoiding negative media coverage

Types of Circular Business models

1. Circular supply models

2. Resource recovery models

3. Product life extension models

4. Sharing models

5. Product service system models

Circular SUPPLY models DEF

are CBMs that focus on replacing finite natural resources with renewable, recyclable and degradable resources in a sustainable way.

Resource recovery models DEF

CBM that aims to re-use resource outputs by re-processing waste materials into new & usable products

ADVANTAGE

1. preservation of finite natural resources

2. minimize damage to the environment

3. saving landfill space reserved for waste

4. reducing pollution

Product life extension models

CBM based on business extending the life cycle of their products in order to use finite resources.

ADVANTAGE

1. longevity

2. re-usability

3. repairing

Sharing model

CBM that places emphasis on offering services where customers share products rather than owning such items themselves.

ADVANTAGE

1. facilitating the sharing of under-used products

2. reducing the demand for new products

3. reduces environmental burdens

4. helps create a more sustainable future

Product service system models

CBM based on the premise that businesses offer the function of a product rather than the physical product itself.

ADVANTAGE

1. IDK bruv

Green technologies DEF

environmentally friendly innovations that consider the long-term impact on the environment

Advantages of green technologies

1. improve organization relationship with its key stakeholder

Disadvantage of green technologies

1. can be expensive

2. requires companies to give up some of the economic of sales

Tripple bottom line DEF

made to refer to the three pillars of sustainability that businesses need to consider

Give the three triple bottom line

1. social sustainability

2. environmental sustainability

3. profit sustainability

what does STEEPLE stand for and DEF

1. Social

2. Technological

3. Economic

4. Environmental

5. Political

6. Legal

7. Ethical

Opportunities and threats in the external business environment.

What is STEEPLE analysis

situational tool that is central to formulating business strategy.

Social

Values and attitudes of society towards a wide range of different issues

Technological

New products, processes, cost of change, and advances in technologies.

Economic

State of the economy in which the business operates.

• Good: Economic growth, International Trade

• Bad: Inflation, Unemployment

Environmental

The ecological and geographic influences outside a businesses control.

Political

The role the government play in business operations -policies.

Legal

The law that affect the way in which businesses operate as well as how customers behave

Ethical

The moral values and beliefs that apply to businesses and how the operate

Under Economic in STEEPLE what is a Business cycle

pattern of fluctuations in economic growth

Business cycle diagram