The History

So far as I can ascertain, the phrase Issue Analysis was first coined by David Hertz and Carter Bales at McKinsey & Company during a study for New York City in the 1960s, when John Lindsey was Mayor. Issue Analysis was a technique they developed for analyzing decisions in a complex situation. It applied some of the sophisticated principles of systems analysis then in use by the U.S. Department of Defense. It was meant to help urban managers clarify their options and give them confidence in the rationality of their decisions when

- The need for a decision was urgent (e.g., How much subsidized middle income housing should the City provide?)

- More than one alternative had merit

- Many variables had to be manipulated and many objectives considered

- Results could be measured by varied, often conflicting criteria

- The ultimate course of action could have significant impact on other decision areas.