ABSTRACT
This chapter highlights the differences between the types of information supporting the making of a business decision. Managers need to make many decisions. Since the opportunity to improve is limited by the amount of attention available to consider and implement the improvements, managers are under constant and intense time pressure. In order to make good decisions, they require relevant information. The intuitive information is good enough to answer the question of whether giving up Brand C would beneficially reduce the cost of purchasing agents and warehouse space. Data on the detailed capacity utilization of people is seldom collected because it is almost impossible to trust. The assessment of risk should always be taken in context. If the company is already in imminent danger, the comparative difference in downsides may be negligible. The damage of bankruptcy is far greater than what the actual loss in dollars represents.
