Decision
Trees have three main parts: a root node, leaf nodes and branches. The root
node is the starting point of the tree, and both root and leaf nodes contain
questions or criteria to be answered.
Branches are arrows connecting nodes,
showing the flow from question to answer. Each node typically has two or more
nodes extending from it.
For example, if the question in the first
node requires a "yes" or "no" answer, there will be a leaf
node for if the answer is "yes" and another for if the answer is
"no".
Concrete-Techgroup recommends SmartDrawfor drawing Highly Professional Decision Tree......easily.....
Video : Project Management, Documentation, Business Graphics & Presentations with SmartDraw
A Decision Tree can be used in either a
predictive manner or a descriptive manner, depending on its application. In
either instance they are constructed the same way and are always used to
visualize all possible outcomes and decision points that occur chronologically.
Decision Trees are most commonly used in the financial world for areas such as
loan approval, portfolio management, and spending. A Decision Tree can also be
helpful when examining the viability of a new product, or new market for a
current product.
Best Practices:
Start the tree: Draw a rectangle near the
left edge of the page to represent the first node. In this rectangle, write the
first question, main idea, or criterion that will lead to a decision.
Add branches: For every possible
alternative draw a separate line that begins at the node and moves away toward
the right of the page. Using a loan approval process as an example, the first
node may have been "Income", and the associated branches might be
<$50K, $51K - $100K, >$101K.
Add leaves: The bulk of the decision tree
will be leaf nodes. At the end of each branch add a leaf node. Fill each of
these leaf nodes with another question or criterion.
Add more branches: Repeat the process of
adding a branch for each possible alternative leading from a leaf. Label each
branch just as before.
Complete the tree: Continue adding leaves
and branches until every question or criterion has been resolved and an outcome
has been reached.
Terminate a branch: When the outcome is
reached, add an arrowhead to the end of the branch and write the result in
plain text.
Verify accuracy: Consult with all
stakeholders to verify accuracy.
Concrete-Techgroup recommends SmartDrawfor drawing Highly Professional Decision Tree......easily.....
Download Hundreds of Complimentary Industry Resources: Get
hundreds of popular Industry magazines, white papers, webinars,
podcasts, and more; all available at no cost to you. With more than 600
complimentary offers, you'll find plenty of titles to suit your
professional interests and needs.
