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BUS 6600 Grand Canyon University use of a decision tree Discussion

Create a decision tree for the scenario you outlined in Topic 1 DQ 1. Attach the decision tree to your response and include insights into how you crafted it. How would you apply this decision-making experience to larger scale decisions at an organizational level?

Submitted on:

Oct 7, 2023, 5:26 PM


Josh Hale

Oct 8, 2023, 1:33 PM(edited)

My decision tree outlines the decision to work more overtime, get a part time job or cut expenses. The desired outcome of the decision would be more pay over time. The first node includes the three different decisions to be made: Work Overtime, Part Time Job and Cut Expenses. Nodes 2, 3 and 4 indicate the positive and negative outcomes within each decision.

For node 2, if I work consistent overtime, I’ll earn time and a half and will be more invested in my work. This will likely lead to promotions and career growth over time. The downside to working more overtime opposed to getting a part time job or cutting expenses is the human factor. Overtime is voluntary. There may be some days I just don’t feel like it and won’t work the overtime. This leads to node 3. Getting a part time job will allow more consistent pay over time because the hours are scheduled in advance. I’m more likely to abide by the company schedule instead of working extra on a voluntary basis. Even though the hourly rate may be less, over time, I could earn more than the intermittent overtime. The downside to working the part time job would be less career growth over time. Lastly, node 4 is to cut expenses. Cutting expenses would increase the bottom line by approximately $100/mo. However the downside is that there is no additional income generated and there would be minimal career growth over time if no other action is taken.

As a manager, I could apply this to the incentive structure decision. Although employees generally are not required to disclose part time jobs unless there is a conflict of interest, I could determine how many employees seek out extra work if they are not earning enough in the day job. As a manager, I could evaluate whether its more beneficial to increase base pay, open up overtime opportunity or increase benefits as a way to mitigate costs.

The decision tree in the business example could show the payoff for each (Anderson et. al, 2016). If employees work second jobs, does productivity decrease and thereby cost the company money? What happens to productivity when overtime is allowed? Does the increased productivity pay off the overtime expenses? Having the data on hand would be even more beneficial to weight the options and make the decision.

In my personal example, it was more beneficial to work more overtime. It was economically beneficial and did actually lead to promotions.


Anderson, D. R., Sweeney, D. J., Williams, T. A., Camm, J. D., Cochran, J. L., Fry, M. J., & Ohlmann, J. W. (2016). Quantitative methods for business with CengageNOW (13th ed.). Boston, MA: Cengage Learning. ISBN-13: 9781305799257


Decision Tree.pdf


BUS 6600 Grand Canyon University use of a decision tree Discussion
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