2.5.2 Method Two: Simple Scoring Model

In the simplified scoring model, each of the criteria is given a weight of importance relative to the other criteria. In this way, the choice becomes more directly based on finding the project that maximizes the decision criteria weighting. Consider the previous example again, but this time, we have assigned a particular importance weight to each of the three criteria as follows:

Table 2.3 Simple Scoring Model

Criteria	Importance Weight
Safety	3
Profit Potential	2
Cost	1

Now, reconsider Table 2.2 in the modified table below (see Table 2.4). With a scoring component added in, the screening choice becomes more complex. The score refers to the qualitative score figured in Table 2.4 (high, medium, or low). High scores are given a value of "3," medium scores are assigned a "2," and low scores receive a value of "1." Hence, in Table 2.4, calculating the weighted score for a project consists of the following steps:

1. Assign importance weights to the criteria.
2. Assign score values to each criterion in terms of its rating (high = 3, medium = 2, low = 1).
3. Multiply the importance weights by the scores to create a weighted score for each criterion.
4. Add the criterion-weighted scores to create an overall project score.

Table 2.4 Checklist with Scoring Component

Project	Criteria	Importance Weight	Score	Weighted Score
Project Alpha	Cost	1	3	3
	Profit Potential	2	1	2
	Safety	3	2	6
			Total Score	11
Project Beta	Cost	1	2	2
	Profit Potential	2	2	4
	Safety	3	3	9
			Total Score	15
Project Gamma	Cost	1	3	3
	Profit Potential	2	3	6
	Safety	3	2	6
			Total Score	15
Project Delta	Cost	1	1	1
	Profit Potential	2	1	2
	Safety	3	3	9
			Total Score	12

Using a scoring model, as shown above, the project selection choice has become more complicated. If criteria weights are assigned as shown, Projects Beta and Gamma tie as the most attractive choices. Either would satisfy our basic decision criteria, thereby yielding the maximum outcome.