Design challenges. Production risks. Construction alternatives. Every day, engineers face myriad decisions involving the allocation of limited company resources. For example:

> An engineer designing a manufacturing process must decide between two methodologies -
a familiar methodology which can be implemented readily and on schedule, or
a new, still experimental methodology which, if successful, would be considerably more efficient.
How can the engineer weigh the risks of using the new methodology against its potential benefits?

> A manufacturing company needs to reduce expenses related to product defects. Options include replacing all or part of the manufacturing process, implementing a test to warn of potentially defective products or implementing a more efficient means of dealing with warranty claims. How can the company determine which option will provide the best outcome?

> A railroad company wants to design a replacement program for ties, taking into account increasing risk of failure with age and traffic in order to determine the optimal time for replacement. How should the company proceed?