Assessing Risk
Option evaluation and impact on the outcome
When making an informed personal decision, I prefer going for the best options that favor the current situations that I’m into. This will deliberately eliminate or reduce the risks involved. For instance, my brother and I have two vehicles that we own. One of the two vehicles is not working accordingly so we are thinking of raising finance to buy another one. The pros of these situations are that by using one car to do our daily activities, there is less cost of fuel being used. When going to work, I drop him off. When going to the stores, we prefer walking instead of driving. The cons for this situation are that we are paying insurance for that vehicle that is not working (Slovic, Fischhoff, & Lichtenstein, 2016).
Weighing the options
When weighing my options on the decisions, what I put on the table is historical and future results. How the future payments for the budget are going to be made. I think about what will possibly change when I make this decision and also about the historical results on the finances and affects on the budget then. Furthermore, seeking feedback from a trusted source will also have some significance on the decision since they may have experience in the matter being handled (Campbell & Clarke, 2018).
Most important criteria when making a decision
When making a personal decision like this, the most important thing is my family. The opinion of my family and others on the decision I’m going to take is very critical simply because the decision is made may directly or indirectly affect their daily life (Turskis, KER ULIENĖ & Vinogradova, 2017).
Reference
Campbell, L., & Clarke, P. K. (2018). Making operational decisions in humanitarian response: A literature review.
Slovic, P., Fischhoff, B., & Lichtenstein, S. (2016). Response mode, framing, and information-processing effects in risk assessment. The perception of risk (pp. 192-205). Routledge.
Turskis, Z., KER ULIENĖ, V., & Vinogradova, I. (2017). A NEW FUZZY HYBRID MULTI-CRITERIA DECISION-MAKING APPROACH TO SOLVE PERSONNEL ASSESSMENT PROBLEMS. CASE STUDY: DIRECTOR SELECTION FOR ESTATES AND ECONOMY OFFICE. Economic Computation & Economic Cybernetics Studies & Research, 51(3).