Weighted Scoring Model
Weighted evaluation of options based on multiple criteria.
PURPOSE
When decisions between multiple options become complex and different criteria must be weighed against each other, a structured methodology is often lacking. The Weighted Scoring Model makes the decision process transparent by weighting criteria and systematically evaluating options. It reduces subjective bias and creates a common basis for discussion.
HOW TO USE
First, the relevant evaluation criteria are defined and assigned weights reflecting their relative importance. Then each option is rated against each criterion on a scale. The weighted individual scores are summed up, resulting in an overall score per option that enables comparison.
WHAT IT IS
The Weighted Scoring Model is a quantitative decision framework that evaluates options based on weighted criteria. It consists of a matrix with options as rows and criteria as columns, where each criterion receives a percentage weight. The model is used in product management, strategic planning, and investment decisions.
EXAMPLE
Example: You need to decide for your board whether to invest in new CRM software or an ERP upgrade. With the Weighted Scoring Model, you define criteria such as integrability (weight 30%), cost (25%), usability (25%), and scalability (20%). After the weighted evaluation, the decision is transparent and well documented.