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April 6, 2012

Power of the 2×2 Matrix

The 2×2 matrix is one of the most powerful tools in anyone’s analysis toolbox.  Be careful not to overuse it but it can serve a very useful purpose – simplifying a problem by breaking it down into 2 components and ranking  how well some alternatives score against those components.  Often when we got bogged down in a project it falls back to two reasons:  we over-complicate the situation or we can’t see a way to easily select between a range of solutions.  The 2×2 solves the problem.

The classic inability to select between solutions involves cost battling against quality.  How important is it to select the best cost?  Is it better to have the best operational solution?  What about those in between?  The 2×2 matrix allows you to quickly see the high level trade-offs.

Option 5 has the best cost, Option 6 has the best Quality, but Options 2 and 3 seem to have the best blend.

Don’t think the 2×2 solves all problems, it can oversimplify a problem or not appropriately measure the true impact of the two axes used.  But at the same token it can help break free the thinking when things get difficult to understand what to do next.

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