Tough decisions
You will frequently have to choose between competing options when you do not have all the facts, when the outcomes are uncertain, and sometimes when you cannot even quantify any or all of the forces in play. Start by considering three decision-making techniques: Plusses and minuses for situations which are hard to quantify, expected payoff for making decisions under risk, and the use of the normal distribution for quantifying risk.
Plusses and minuses
One way to analyse the factors that are hard to quantify is to use a plusses, minuses, interesting ideas (PMI) table. For example, you have in front of you a proposal to rework your company’s website. Assume that it is a brochure site with no e-commerce benefits. You could draw ...
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