Multi-Criteria Decision Analysis

Master structured decision frameworks for high-stakes choices involving multiple competing objectives, uncertain information, and diverse stakeholders. These methods turn overwhelming complexity into manageable, defensible comparisons that you can articulate to others.

advanced22 minDecision Making

Question 1 of 520% Complete

A manager at a 200-person manufacturing company must choose between two responses to a revenue shortfall: Option A is laying off 30 employees (saving $2.4 million/year, immediate impact, irreversible for those affected). Option B is implementing a 12% company-wide pay cut (saving $2.1 million/year, reversible, but risks losing top performers who have outside offers). She has defined four criteria: financial impact (weight: 35%), employee morale (25%), reversibility (25%), and talent retention (15%). Option A scores 9, 4, 2, 5 and Option B scores 7, 6, 9, 4 on these criteria respectively. Which option scores higher?