NONECONOMIC CRITERIA AND THE DECISION PROCESS*

This paper describes a method for systematically including consideration of noneconomic criteria in the decision-making process. It focuses on the Space Applications Program of the National Aeronautics and Space Administration, but is intended as a general outline applicable to decision problems in both government and business. The methodology involves four stages. First, a Criteria Set is developed by a panel of members with diverse backgrounds. Second, the criteria are made operational by posing a series of carefully worded questions to appropriate experts. Then the responses are scaled according to the degree of refinement considered necessary and appropriate. To allow flexibility and to accommodate differences in the degree of precision considered feasible, a number of scaling methods are identified. These range from a simple positive-negative response checkoff to summation of individually-weighted criteria with interaction among criteria. Finally, projects are selected on the basis of predetermined standards of choice.