About this lesson
Download this lesson’s related exercise files.costs_and_considerations_exercise.docx
57.2 KB costs_and_considerations_solution.docx
Costs and Other Considerations
Understand the difference between costs & other considerations and your criteria, and learn how to enter these other considerations.
When to use
Use this to enter things like purchasing price or risk level, which you can consider against your criteria later on. You can also use this to enter neutral information like what department a project falls under, or store arbitrary information like product URL or Wikipedia page.
Costs and other considerations vs criteria
- It makes sense to use “criteria” to describe the overall benefits of your alternatives, and “costs and other considerations” to describe costs and any other important information that isn’t a benefit (e.g. monetary costs, sector, contact information for an alternative, etc).
- Costs and other considerations can be weighed against your alternative scores in the value-for-money chart on the alternative selection page.
- Note that this distinction between criteria vs costs differs from how they are used in a 1000minds conjoint analysis (preferences survey)
Selecting the right data type
- Number data
- Use this format for numbers, e.g. cost, population, volume, etc.
- If you have a numerical constraint (e.g. a monetary budget or number of available staff) then be sure to enter the respective data (e.g. cost, number of staff required) as a number variable. See "adding a budget" for more detail.
- Text data
- Useful for adding notes or comments on an alternative, for example contact information for a company, or a product website.
- If you want to add categorical information, consider using a list instead.
- List data
- Choose this format for categorical considerations, whether numerical, text, or a mix of both, for example risk level, sector, or brand.
- Using a list will allow you to pre-specify different categories by which to group or rank your data. This will make your life easier on the alternatives page and the value-for-money chart, and help you avoid errors from mistyping something.
Adding a budget
- You can add a budget or other numerical constraint (e.g. a monetary budget or number of available staff) by selecting a number cost/consideration and ticking “summable” on the “details” tab, and then entering your budget/constraint.
- Budgets can be factored into your decision on the "alternative selection" page.
Hints & tips
The data type you select for a cost/consideration affects how it can be displayed on the value-for-money chart on the alternative selection page (e.g. number variables can be plotted on an axis against cost or displayed through bubble size, whereas list variables can be shown most easily through bubble size or color). It may be easier for you to decide what data type is best for your needs after you've familiarized yourself with the value-for-money chart.Login to download
Lesson notes are only available for subscribers.