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2: Buy or build is simply the decision. Project A: Outside building. The cost of the decision if you buy the work outside of your
2: "Buy or build" is simply the decision. Project A: Outside building. The cost of the decision if you "buy" the work outside of your company is $175,000. Based on your probability of completion by a given date, you apply the 85 percent certainty to the "strong" finish for the Buy branch of the tree. Because your 85 percent certain, you're also 15 percent uncertain; this value is assigned to the "weak" value on the Buy branch. Project B: In-house build If you build the software in-house, the cost is $165,000. In-house teams state they can complete the work on time with 75 percent certainty. The best decision is based solely on the largest value of all possible decisions. Explain your decision
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