Tradeoff Table: Most things involve a tradeoff, use a framework like this to try to explain the tradeoff.

By Duncan Anderson. To see all blogs click here.

Reading time: 5 mins

Summary: With decisions, product proposals, etc there is almost always a tradeoff. If you can’t explain the tradeoff you normally don’t think there is a tradeoff (ie have a blind spot for the tradeoff). So you think your proposal is great, when normally each proposal / idea / decision is some helpful and some harmful. I try to explain the tradeoff and if the proposal is a net step forwards OR which of the two options put forward is a net step forwards.  


A framework to try to figure out the tradeoff: Building a Tradeoff Table

  • 1. Is there a tradeoff (hint: there almost always is)?

  • 2. How do you explain the tradeoff? Some quick suggestions: 

    • 2.1 Pick at least two alternatives (eg existing outcome + proposed new outcome, or two alternatives of what you could do)

    • 2.2 Build a MECE’d model of the problem space

      • I’ve at times in the past called this a ‘100% coverage problem space model’. Other relevant links - link & link

      • Oftentimes it makes sense to have more than one lens on the end problem space through which to view the tradeoffs. Eg Lens 1. Attributes of a problem space, Lens 2. Segments of the user base. At times you need 2-5x lenses on a single problem space.

    • 2.3 Calibrate the 2+ alternatives against the problem space model in a ‘Tradeoff Table’. 

Jingle: If you can’t explain the tradeoff to your team, then you might get traded off the team! 

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Examples 


Example 1: Generic non work example - Which restaurant to go to?

  • 2.1 Pick at least two alternatives 

    • Let’s say you are trying to decide between going to Restaurant A or Restaurant B.

  • 2.2 MECE’d model of the problem space

    • You MECE out the following 4 ‘pieces’ (variables): deliciousness, nutritiousness, cost and distance.

  • 2.3 Calibrate the 2+ alternatives against the problem space model in a ‘Tradeoff Table’. 

    • How do you weight these factors and make a decision? You might do the following:

    • ‘On Friday night I don’t worry about cost, nutritiousness or distance.’  - Duncan.

  • Link if you want to play with the model. 

  • The model says go with Restaurant A

  • ‘On Tuesday, I want a quick and nutritious lunch.' - Duncan

  • The model says go with Restaurant B

  • Possible ways to mess up figuring out the tradeoff

    • Possible problem 1: You leave out a factor (piece of the picture) like cost. Then your recommendation of which restaurant to go to is off. 

    • Possible problem 2: In the discussion each person is only considering one piece (variable). E.g. Person A thinks deliciousness is all that matters and Person B thinks that nutritiousness is all that matters. 

      • "If you just focus on the smallest details, you never get the big picture right." - Leroy Hood

    • Possible problem 3: you don’t weight variables. 

      • Either everything is equally important or everything is not equally important. Normally not everything is equally important. 

      • But more than that, some variables (pieces) can be deal breakers. I.E. not having this variable included means everything else doesn’t matter. 

    • Possible problem 4: including a variable (piece) that doesn’t belong in the picture. 


Example 2: Non generic work example -  You are trying to decide on whether video or written answers are better for maths questions. 

  • 2.1 Pick at least two alternatives

    • Alternative 1: Video answers

    • Alternative 2: Written answers

  • 2.2 MECE’d model of the problem space - how much the students understand

    • Lens 1: User understanding types

      • Segment 1: Understand the theory

      • Segment 2: Some conceptual understanding of the theory

      • Segment 3: Significant misconceptions about the theory

    • Lens 2: Product features

      • Feature 1: Understanding the worded question

      • Feature 2: Mathematical calculations

      • Feature 3: How to use a calculator

  • 2.3 Calibrate the 2+ alternatives against the problem space model in a ‘Tradeoff Table’. 

    • Lens 1: User understanding types

  • Comment: 

  • If a student has a strong understanding of the theory then a video answer isn’t deemed as helpful as a written answer as a student doesn’t need to watch all of the video. 

  • However, if a student has significant misconceptions about the theory then a video is deemed far more helpful than a written answer as the concepts will be explained more fully with verbal explanation. 

  • So the tradeoff here helps one segment of students and harms the other, perhaps in equal measures. 

  • Perhaps here you provide both a written and video answer but need to train students and teachers to be able to pick which option suits them best. 

  • Lens 2: Product features

  • Comment

  • Lens 2 shows some ego distortions / blind spots of Lens 1. 

  • Basically, video answers likely have significant value and are likely worth building (if you have unlimited time and money). 

  • So the overall outcome here is to build both Written and Video answers, and to train students to use the right one in the right place. 


Example 3: How to find out about tradeoffs the hard way

  • Don’t go through the Tradeoff Framework (or something similar):

    • 1. Is there a tradeoff? (Hint: there almost always is)

    • 2. How do you explain the tradeoff? Some quick suggestions: 

      • 2.1 Pick at least two alternatives 

      • 2.2 Build a MECE’d model of the problem space

      • 2.3 Calibrate the 2+ alternatives against the problem space model in a ‘Tradeoff Table’. 

  • Just make a decision or build a product / feature and then implement. Reality will point out the tradeoff soon enough and likely a lot of unnecessary pain could have been avoided. 

  • I don’t think you’ll be able to see 100% of the tradeoffs ahead of time, but hopefully you can see more than 0%. Experience (past felt tradeoffs) and an ability to try and model out possible future tradeoffs should allow you over time to see a higher and higher percentage of tradeoffs ahead of time. 

  • Put another way, hopefully the quality of your decision making improves over time. 


If you only take away one thing? 

  • I’ve found trying to figure out the tradeoffs is difficult… but that you will find out about the tradeoffs at some point (ie the parts of the picture you are missing, a better alternative you didn’t consider, etc). 

  • They say what gets you into trouble are ‘ego distortions and blind spots’. I’ve found that trying to explain a tradeoff through a Tradeoff Table like that in this blog is a great way to find ego distortions and blind spots. 

  • For key decisions at work I try to build a model (Tradeoff Table) to understand and explain the tradeoff.