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Decision Trees
A model used in decision analysis and machine learning that maps out decisions and their possible consequences, including risks, costs, and benefits.
Implications
A decision support tool that uses a tree-like model of decisions and their possible consequences, including outcomes, resource costs, and utility, often used in risk analysis, strategic planning, and operations research.
Example
Example: A pharmaceutical company uses decision trees to evaluate the potential outcomes of different R&D investment strategies, helping to identify the most promising projects with the highest expected returns.
Related Terms
Different from simple flowcharts, decision trees are more complex and typically include probabilistic outcomes and cost-benefit analysis at each branch.
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