Discussion
1. How are decision trees utilized in healthcare management? Discuss the three key parts of any decision and provide at least one specific example of how decision trees relate to healthcare management decisions.
2. Describe balking, reneging, batching, and jockeying in the analysis of waiting lines. Discuss at least one medical example of each.
3. What is queuing theory? How does it relate to the analysis of waiting lines in a healthcare setting? Provide at least two specific medical examples for applications of queuing theory.
4. Consider the clinic renovation example provided on pages 201-205 of your textbook. This case depicts a common decision faced by healthcare leaders. Should we invest in renovating our facilities or not? Read the case example and consider the following: what if you believe that the likelihood of current demand remaining is 30%, the likelihood of a moderate increase is 25%, and the likelihood of a large increase is 45%? How would this change your decision according to expected total payoff?