Question

According to the latest Comparative Performance Assessment Study (CPAS), in comparison to the Rest, Best companies are:

A. more likely to use tradeoff analysis.

B. less likely to rely on portfolio analysis for product selection.

C. more likely to employ informal processes for selecting which concepts to develop.

D. less likely to rely on online communities for information gathering.

Answer 1

Best companies, as per CPAS, are presumed to use structured decision processes for product design concept selection, involving tradeoff analysis and focusing on core competencies, rather than informal methods or broad portfolio analysis.

Step-by-step explanation:

The Comparative Performance Assessment Study (CPAS) examines and compares the performance of companies, with a focus on their strategies for product development and decision-making processes. According to the provided information, it suggests that companies regarded as the best in their field, compared to others, are likely to employ more stringent and structured decision-making processes. This would entail the use of a structured approach to select a product design concept by evaluating each concept against predefined constraints and criteria to ensure the most suitable product is developed.

Such structured decision processes often involve rigorous data collection and tradeoff analysis, which compares the costs and benefits of different choices. This approach contrasts with relying on informal processes or extensive portfolio analysis. Businesses focusing on their core competencies, and thus on a few products they excel in, often show better performance as they operate within their expertise scope, rather than diversifying too broadly.