Business Decision-Making Matrix

The Business Decision-Making Matrix is a 2x2 matrix that helps businesses make decisions by categorizing them into four quadrants: Invest, Do, Delegate, and Drop. It is a useful tool for quickly assessing the value of a decision and determining the best course of action.

At a very high level, the Business Decision-Making Matrix is used in the context of business, decision making.

Business Decision-Making Matrix quadrant descriptions, including examples
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What is the Business Decision-Making Matrix?

A visual explanation is shown in the image above. The Business Decision-Making Matrix can be described as a matrix with the following quadrants:

  1. Invest: High return on investment, make quickly and with minimal risk (e.g. investing in new technology)
  2. Do: Important to the business but don't have a high return on investment (e.g. launching a new product)
  3. Delegate: Not important to the business but have a high return on investment (e.g. outsourcing customer service)
  4. Drop: Not important to the business and don't have a high return on investment (e.g. attending a networking event)

What is the purpose of the Business Decision-Making Matrix?

The Business Decision-Making Matrix is a 2x2 matrix that helps businesses make decisions by categorizing them into four quadrants: Invest, Do, Delegate, and Drop. It is a useful tool for quickly assessing the value of a decision and determining the best course of action.

The Invest quadrant is for decisions that will have a high return on investment. These are decisions that should be made quickly and with minimal risk. Examples of decisions in this quadrant include investing in new technology or hiring a new employee.

The Do quadrant is for decisions that are important to the business but don't have a high return on investment. These decisions should be made with careful consideration and with the help of experts. Examples of decisions in this quadrant include launching a new product or expanding into a new market.

The Delegate quadrant is for decisions that are not important to the business but have a high return on investment. These decisions should be delegated to someone else who is more knowledgeable and experienced. Examples of decisions in this quadrant include outsourcing customer service or hiring a consultant.

The Drop quadrant is for decisions that are not important to the business and don't have a high return on investment. These decisions should be dropped or ignored. Examples of decisions in this quadrant include attending a networking event or launching a new website.


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What templates are related to Business Decision-Making Matrix?

The following templates can also be categorized as business, decision making and are therefore related to Business Decision-Making Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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