Anatomy of a Decision

*** Apologies for the scattered thoughts here, this is a work in progress ***

Group decisions happen in different ways. * Elections of representatives give power to a few people to make decisions. * Boards make decisions based on the expertise of their members. * Stock holders make decisions based on their ownership of a company.

All of these and more share common elements that influence the outcome of a decision.

Components of a Decision

Let's break down the components of a decision. It's important to see each part of a decision to understand where things can go wrong.

• Context: This is the situation or problem that requires a decision.
• Setting: This is the environment in which the decision is made.
• Information: This is the data or knowledge that informs the decision.
• Framework: This is the structure or process used to make the decision.
• Process: This is the method or approach used to make the decision.
• Deciders: These are the people, groups or computers that make the decision.
• Choices: These are the options or alternatives available for the decision.
• Calculation: This is the process of weighing the decision criteria to make a choice.
• Output: The result of the decision.
• Evaluation: This is the process of assessing the decision and its outcomes.

Much of what we focus on at whydefer is at the framework, process and calculation level. but there is much more that goes into a decision.

Types of Choices

1. Binary Decisions:

   • Example: Fight or run from a dragon.
   • Simple yes/no votes.

2. Ranked Choices:

   • Example: Choosing a location for a new village.
   • Requires people to rank preferences, which are then aggregated.

3. Weighted Decisions:

   • Example: Allocating resources across multiple needs.
   • Decisions involve distributing resources or selecting multiple options with varying priorities.

Calculations

1. Majority Rule:

   • The option with the most votes wins.
   • Example: If 60% of people vote to fight the dragon, the group fights.

2. Supermajority Rule:

   • Requires a higher percentage of votes to pass.
   • Example: If 75% of people must agree to fight the dragon, the group runs.

3. Proportional Representation:

   • Votes are weighted based on agent characteristics.
   • Example: People with higher knowledge levels have more influence.

4. Delegated Voting:

   • People can delegate their votes to others.
   • Example: People can delegate their votes to the most knowledgeable agent.

Evaluating Outcomes

Popularity

1. Most popular to individuals - The outcome aligns with what the majority of people would choose based on their preferences.
2. Most popular to leadership - The outcome aligns with the preferences of the leadership subgroup.

Utility

1. Best for individuals - The outcome that maximizes individual benefits (e.g., survival rate, resources).
2. Best for leadership - The outcome that benefits leadership disproportionately.
3. The best outcome for the group - The decision that leads to the most favorable overall outcome for the entire group. For example, choosing to run avoids the 100% death risk.

Other Concepts

• Follow Through - The concept that decisions are only as good as the actions that follow them. For example, if a group decides to fight the dragon, they must follow through with the necessary actions to prepare for the battle.