Question
The Forsite Company is screening three ideas for new services. Resource constraints allow only one idea to be commercialized at the present time. The following
The Forsite Company is screening three ideas for new services. Resource constraints allow only one idea to be commercialized at the present time. The following estimates have been made for the five performance criteria that management believes to be most important:
Rating | |||
Performance Criterion | Service A | Service B | Service C |
Capital equipment investment required | 0.6 | 0.6 | 0.9 |
Expected return on investment (ROI) | 0.8 | 0.7 | 0.6 |
Compatibility with current workforce skills | 0.8 | 0.7 | 0.7 |
Competitive advantage | 0.3 | 0.6 | 0.6 |
Compatibility with EPA requirements | 0.7 | 0.2 | 0.2 |
(Answered) Part 2 a. Calculate a total weighted score for each alternative. Use a preference matrix and assume equal weights for each performance criterion. Let the total of the weights equal 100.
Service | Total Weighted Score |
A | 64 |
B | 56 |
C | 60 |
(Answered) Part 3 Which alternative is best? Worst?
E. The best alternative is service A and the worst is service B.
Please assist me with the calculation for the total weighted score for service A, which is the best alternative service. I can't seem to get the decimal right. Thank you!
Part 4) b. Suppose that the expected ROI is given twice the weight assigned to each of the remaining criteria. (Sum of weights should remain the same as in part (a).) Does this modification affect the ranking of the three potential services?The best alternative is now service A, with a total weighted score of enter your response here. (Enter response rounded to one decimal place.)
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