Answer:
The correct answer is Formulation.
Explanation:
The decision-making process refers to all the necessary activities from identifying a problem to finally solving it by implementing the selected alternative; therefore, it is framed in the solution of problems where alternative solutions must be found.
When one speaks only of decision-making, it refers to a stage within the process and there must be at least more than one alternative solution, otherwise the decision would be reduced to carrying out the corresponding action or not.
The decision-making process presented here must have a premise, it must be carried out rationally or "as should be done" resulting in a normative model or prescriptive model to make decisions that serves as an objective guide to solve a problem of most optimal way.
This rationality in accordance with a normative model means making decisions according to the criteria of cost and benefit. That is, to carry out the activity only when the expected benefits are higher than the associated costs, in this way the activity that offers the greatest utility is carried out. In this context, utility as a difference of benefits and costs is associated with a measure of well-being or improvement, which implies always quantifying the options.
