Use a Payoff Table or Decision Tree A) Outsource

question 3

Multiple Choice

Use a payoff table or decision tree.
-A mid-size company is transitioning to a new ERP system. Consequently, company
Files need to be modified and / or updated so as to be compatible for transfer to the new
System. The company is considering three alternatives to deal with this extra work load:
(1) outsourcing (2) hiring temporary staff or (3) using full time staff in overtime. The
Estimated costs (in $100,000) associated with each of these actions depend on the
Difficulty level associated with file modification and transfer, which can be at one of
Three levels (easy, moderately difficult, or extremely difficult) as shown below. Using
The minimin approach, the company should $$\begin{array} { | l | l | l | l | } \hline \text { Action } & \text { Easy } & \text { Moderately Difficult } & \text { Extremely Difficult } \\\hline \text { Outsource } & 2.5 & 3.0 & 3.5 \\\hline \text { Temporary Staff } & 1.5 & 2.6 & 4.0 \\\hline \text { Overtime } & 1.2 & 2.8 & 4.2 \\\hline\end{array}$$

• A) outsource.
• B) hire temporary staff.
• C) use full time staff in overtime.
• D) use full time staff in overtime if the file modifications are easy.
• E) hire temporary staff if the file modifications are moderately difficult.

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Definitions:

XIC Instruction

In Ladder Logic programming for PLCs, an instruction representing "Examine If Closed"; used to check if a contact is on.

Physical Input

An actual, tangible input (such as a button press or sensor signal) received by a device or system.

Input Voltage

The electrical voltage supplied to the inputs of a device or circuit.

Contact Instruction

Instructions related to the physical or logical connection or interaction between two or more components or systems.