Noncompensatory

Noncompensatory refers to decision rules in which performance on one attribute cannot be fully offset by performance on another. In noncompensatory models, options are rejected or selected based on whether they meet minimum criteria, rather than being evaluated through trade-offs across attributes. This contrasts with compensatory approaches, where gains on some attributes can make up for weaknesses on others.

Common noncompensatory forms include conjunctive rules, lexicographic rules, and disjunctive rules. Conjunctive rules require that all specified thresholds be met; if any attribute falls short, the option is eliminated. Lexicographic rules prioritize attributes in a predefined order, selecting the option with the best value on the most important attribute, and using subsequent attributes only to break ties. Disjunctive rules accept an option if it meets acceptable levels on at least one key attribute, often used when a single strong performance can compensate for weaknesses elsewhere. Threshold models and elimination-by-aspects are practical variants used in screening and forecasting.

Applications occur across domains such as consumer choice, human resources screening, and supplier selection, where decision-makers seek clear, transparent criteria. Benefits of noncompensatory methods include simplicity, ease of interpretation, and robustness when information is limited or decision stakes demand clear minimum standards. Limitations include rigidity, potential exclusion of viable options due to harsh thresholds, and a tendency to ignore nuanced preferences that could be captured by trade-offs.

In practice, noncompensatory rules are often employed as initial screening tools or as part of a broader decision framework that can later incorporate compensatory refinement.