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Tuesday, January 11, 2011

Matrix Data Analysis Method

Where to use Matrix Data Analysis Method which is another of the '7 Management Tools' in Problem Solving?
We use it when investigating factors which affect a number of different items, to determine common relationships.
We use it to determine whether or not logically similar items also have similar factor effects.
We use it to find groups of logically different items which have similar factor effects.
The example given below illustrates how a pharmaceutical combine examined the pain-killing drugs of its subsidiaries in terms of the cost to product and general efficacy.

Products which are high cost but are not of highest efficacy, viz C and D, are dropped. Low-cost drug of reasonable efficacy, i.e. E is promoted, and high-cost drugs have a project initiated to reduce production cost - in the case of A and B .

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