Decision Making Tree
A decision tree maps choices, chance events and outcomes so the best path can be picked rationally. Below are two complete examples we walk clients through.
Example 1 — Should we buy the priced software?
- Yes → Which priced software?
- Software 1 → payment in full (70%) / monthly (30%)
- Software 2 → payment in full (70%) / monthly (30%)
- No → Which free software?
- Continue with current software (30%)
- Use a friend's paid software → David's (75%) / Jake's (25%)
Example 2 — Should I accept a new job offer?
- Root: salary at least $50,000?
- No → decline offer.
- Yes → commute more than 1 hour?
- Yes → decline offer.
- No → offers free coffee?
- Yes → accept offer.
- No → decline offer.