How to evaluate options using a Decision Matrix ?
- Decision matrix is similar to a Morphologic box however it differs in the way that it assigns weights to each solution characteristic and asks you to evaluate on a simple numeric scale of 1 to 5 — in terms of how much each option contributes to each characteristic ?
- The important part is to assign higher weights to characteristics that you feel are more important.
- In the above case, it was arbitrarily decided that
- Product revenue was more important than customer retention
- Customer retention was more important than customer satisfaction
- Hence the first row in table above says Weight 1, Weight 2 and Weight 3 for Customer satisfaction, retention and product revenue respectively
- When scores are assigned, we simply multiply them by weight and sum in last column to get relative scores.
- Such exercise is useful doing individually or in smaller sized teams
- If results indicate that options do not significantly differ from each other, alternatives can be sought or other decision making criteria can be applied.
A quantitative weight based decision process for qualitative aspects.
Source: Haines, S. (n.d.). The Product Manager’s Desk Reference.