
A Novel Method for Formulating the Business Objectives ◾ 75
meet the threshold values specied in the statement of objectives. For instance, in
case of the example shown in Figure4.5: (a) Δ dollar prots should be ≥$5 million;
(b) Δ approval rate ≥5%; and (c) Δ loss rate ≤0, as the objective is to maintain
better or similar loss rates. e sequence of steps is also summarized as follows:
◾ Select the existing and the desired values for the focus variable.
◾ e delta (or dierence) between existing and desired values is a business suc-
cess criterion.
◾ For example, if the existing value for charge-o rate is 5% and the desired
value is 2