Have you ever had to make a big decision and found yourself stuck between a rock and a hard place? Are you just trusting your instinct? Do you find it difficult to detail why you are making the decision?
Have you ever heard of a ‘Weighted Decision Matrix (WDM)’? A WDM breaks down a big decision to be made into smaller parts of independent criteria that you specify. It really breaks down a big decision into smaller parts that you can evaluate each criteria, and then comes up with an overall decision based on each of the smaller parts. It really is a useful way to make important decisions; especially when they are not clear.
I have used this WDM to determine if it was really worth moving to another country; moving to Australia from New Zealand. It was such a difficult decision to make at the time that we used this method to help us make the final decision. This method independently proved that it was the right decision.
Here’s how to do it: use the moving country, for example, to make the decision.
1. Make a list of all the criteria you value most in life; What-
• Family
• Air-conditioned
• Money
• Access to housing
• Access to schools
• Employment opportunities
• Cost of living
• Close friends
• Anything else you think is important to you and your family.
2. The next thing you should do is write a number between 1 and 5 next to each of these values that you just wrote. The number 1-5 corresponds to how much you value the criterion, with 5 being the most valued. Example Family – 5. You value family as much as you can. Money – 2. You value money only a 2 on the scale up to 5.
3. The next thing to do is to list the current situation and the decision to be made. Example –
Stay in USA / New Zealand
move to australia
4. In each decision (if you stay where you are or if you move), you must specify whether or not the values you have chosen (money, etc.) are fulfilled. The scale here is 0-3. If the value you specified is fully met, I’d give it a 3. Let’s say, moving to Australia, the value for money was fully met, I’d rate that 3. If not, I could rate it 0 or 1, for example . .)
5. Once you have scored each of your specified values/options, such as money/lifestyle, against each decision to make (remain in the US or move to Australia, for example), then multiply the score of the value by the criterion score.
6. Add up the total for each column by what you just did above and you have a winner.
7. This is a very basic example and you need to expand the options using many more, like access to schools, retirement, etc.
