MaheshKumar

Decision Balance Sheet:-
Benjamin Franklin was the first person who introduce decision balance Sheet. Franklin described this process to Joseph Priestley In a 1772 letter ,which is now often called the Ben Franklin method.
 
Sometimes when we are faced with an important decision, we spend a lot of time looking for a solution hoping to avoid making the wrong choice. One of the popular tool to decide what to do is using the Decision Balance Sheet. This method enables the team to make more confident and balanced decisions. A table is used to record and represents the advantages and disadvantages of an idea or situation for the purpose of reaching to a decision quickly. This situation might be a problem that needs to be solved or a condition that needs to be changed or evaluation of solutions/ideas proposed for implementation.
 
A decision balance sheet is basically a table of two columns labeled as Pros and Cons. This table is used to capture all the pros and cons for the proposed/suggested idea or situation. A scoring system can be used by giving numerical weights to the different pros and cons which will help to take decision easily. The result will help team to decide whether to go ahead with the decision or not.
 

PMI is one of the version of this tool, which stands for Plus, Minus and Interesting. one Interesting column is also used when the elements of the proposed solution/idea are not particularly of positive or negative effect. It can also be used to record what team consider interesting and the future implications of the idea. Decision balance sheet can be used in a four-cell matrix consisting of the pros and cons in the short and long term. This is very useful when the decision is of strategic nature.

 
Method to Use the Decision Balance Sheet:-
Below steps explain the use of decision balance sheet:
    Clearly write down the solution / idea/decision at the top of a flip chart or whiteboard.
    Make a table of two columns, Name/Heading one “Pros” and the other “Cons”.
    Write Down all possible benefits in the pros column and all possible negative effects in the cons column.
    Assign numerical weights to the pros and cons by giving a score from one to five. Be objective while scoring.
    Sum the scores in each column then subtract the total cons from the total pros.
    Use the overall score to decide whether to go ahead with the decision or not.
    Team needs to identify other factors that they may have missed. Use your common sense when team suspect that the reached result is not appropriate.
 
Example:
As an example, let’s say that one cross functional team wants to decide whether to go for a new website for the organization or keep the existing one.

The final score suggests that team should go for a new website.
 
Another Example:-
Decision balance sheet may also be used in personal decision-making. let's take one example of a personal decision balance sheet where the challenge is to decide whether to accept a new job offer in another city.

 
Let's take one more Example of decisional balance sheet for someone experiencing alcohol problems
  Plusses
Minuses
Continue drinking as I am
It's what my friends do
It makes me less anxious
It's fun being drunk
I like the taste
I get into fights
Health problems
Divorce threat
Debts
I can't remember things the next day
Cut down
I can still meet my friends
It will help my health
Will my partner believe me?
Can I stick to it?
Stop drinking
I won't get into fights any more
It will please my partner
It will save money
Good for my health
I might have to avoid my friends
How will I cope with anxiety?
What will I do for fun?
Any evaluation may change and often the cells are inter-connected. For example, looking at the table above, if something were to happen in the individual's marital life (an argument or the partner leaves or becomes pregnant or has an accident), the event can either increase or decrease how much weight the person gives to the elements in the balance sheet that refer to the relationship.