Software is accounting firms throughout the U.S. and Ceted Walker has decided to

Question

Software is accounting firms throughout the U.S. and Ceted Walker has decided to outsource the comp considering three providers: Manila Call c nd Cana's help desk and Owner Geor ource the company's help desk cp er (Philin and anada 2.11 Walker Accounting Software is mark opener he folloin Delhi Services (India), and Moscow Bell (Russia). Thin s imply higher imu The following ch outsout ing firm has the best rating? (Higher weights imply hi o tance and higher ratings imply more desirable pr table summarizes the data Walker has assembled. w PROVIDER RATINGS IMPORTANCE 0.5 0.1 0.2 0.2 WEIGHT MANILADELHI MOS CRITERION Flexibility Trustworthiness Price Delivery 4

Explanation / Answer

Solution:

The total weighted score of each of the service provider can be calculated as below:

Total weighted score = Sum of (Importance weight x Provider ratings)

Manila:

Total weighted score = (0.5 x 5) + (0.1 x 5) + (0.2 x 4) + (0.2 x 5)

Total weighted score = 4.8

Delhi:

Total weighted score = (0.5 x 1) + (0.1 x 5) + (0.2 x 3) + (0.2 x 6)

Total weighted score = 2.8

Moscow:

Total weighted score = (0.5 x 9) + (0.1 x 2) + (0.2 x 6) + (0.2 x 6)

Total weighted score = 7.1

Conclusion: The total weighted score of Moscow (7.1) is highest among the three service providers. Therefore, Moscow has the best rating.

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