Choosing by Advantages (CBA)

Decision making processes are important due to its significant impacts on the actual outcome. Decisions can be affected by experiences, arguments, biases and time restrictions that all can lead to unintended results. Two examples of decision processes are System 1 and 2 and Last responsible moment that can lead to the 'cobra effect' . Using a sound decision process is essential to achieving sound results.

Choosing by Advantages (CBA) is a decision-making system that include a wide variety of decision-making methods, definitions, principles and models. The purpose of the CBA system is to help decision makers to differentiate alternatives and understand the importance of those. It hinders double-counting through focusing on decisions based on the importance of advantages, not advantages and disadvantages . The CBA system allows for visual and transparent decision making that acknowledges that decisions are essentially subjective. Values and culture of Lean/IPD project management are aligned with an emphasis on project's value for stakeholders and the use of data.

Virtually, the CBA system can be applied in all decision making processes and not only the major ones . Although, the CBA system demands use of more resources in comparison with for example experienced based decisions, and is used when a need for sound methods due to the importance of the decisions. One example here is to review the Business Case of a project, whereas the CBA can be used with an outcome being a rejection or approval of the Business Case. The CBA system originates by Jim Suhr that emphasizes on the importance of sounds decision making on relevant facts, that depending on the decision can be incorporated in project-program and portfolio management.

The principles in the CBA system are explained by the definitions and models, where the methods applies the principles. The CBA system is based on four central principles:


1. The foundation principle of sound decision making - importance of prospective differences among the alternatives


2. The fundamental rule of sound decision making - importance of advantages


3.The principle of anchoring: Sound methods anchor - decisions based on relevant facts

4. The pivotal sound–decision-making - professional decision makers need to learn and skillfully use sound methods of decision making

The CBA system follows the seven steps: 1. Identify alternatives, 2. Define factors, 3. Define criteria for each factor, 4.Describe attributes for each alternative, 5. Decide advantages for each attribute, 6. Evaluate importance of each advantage and if costs is of importance the final step is to 7. Evaluate cost.

This article looks into the CBA concept, purpose, current state, a concrete example on application of CBA concept and its limitations.