How to Prioritize Projects?
6 likes25,432 views
This document provides guidance on how to prioritize projects using a multi-criteria decision analysis process. It outlines four steps: 1) defining goals and criteria for evaluation, 2) establishing weights for each criterion based on pairwise comparisons, 3) scoring each project according to the criteria, and 4) viewing the results which show the priority percentage allocated to each project. An example is provided where strategic alignment, risk, value to customer, and profitability are used as criteria to prioritize eight projects, with the highest priority going to project six at 22%. Users are invited to experiment with an online demo tool to apply this prioritization approach.
How to Prioritize Projects?
- 1. How to Prioritize Projects? (or anything else…) http://makeitrational.com
- 2. How to prioritize projects? Project Priority Project Priority Project 1 ? Project 1 6% Project 2 ? Project 2 12% Project 3 ? Project 3 17% Project 4 ? Project 4 16% Project 5 ? Project 5 9% Project 6 ? Project 6 22% Project 7 ? Project 7 10% Project 8 ? Project 8 8%
- 3. Prioritization process 1. Define goal and criteria. 2. Establish weights of criteria. 3. Score alternatives. 4. See results.
- 4. Define goal and criteria Goal: Prioritize projects Strategic Value to Profitability Risk alignment Customer
- 5. Prioritization process 1. Define goal and criteria. 2. Establish weights of criteria. 3. Score alternatives. 4. See results.
- 6. Establish weights of criteria (1/3) • Compare criteria in pairs, each time: • choose the more important one, • choose the level of dominance on a 9-point scale. • Software transforms your comparisons into weights. • Deriving weights from comparisons is based on Analytic Hierarchy Process.
- 7. Establish weights of criteria (2/3) This is your input
- 8. Establish weights of criteria (3/3) Criterion Weight Output from Strategic alignment 58% software Risk 18% Value to Customer 13% Profitability 11% Total 100%
- 9. Prioritization process 1. Define goal and criteria. 2. Establish weights of criteria. 3. Score alternatives. 4. See results.
- 10. Score alternatives Define rating scales that model your preferences (examples below) and use them to score alternatives in context of criteria. Value Risk Value Strategic alignment 6 Very low 0 Low 4 Low 1 Medium 2 Moderate 0 High 2 High Note: more preferred = higher value
- 11. Prioritization process 1. Define goal and criteria. 2. Establish weights of criteria. 3. Score alternatives. 4. See results.
- 12. See results Project Priority Project 1 6% Project 2 12% Project 3 17% Project 4 16% Project 5 9% Project 6 22% Project 7 10% Project 8 8%
- 13. Note: This method can be used to prioritize anything else e.g. vendors, locations, employees, markets…
- 14. Try it now 1. Try online demo (no registration required): http://makeitrational.com/demo 2. Open project “Prioritize projects” 3. Play with it e.g.: • add/remove projects and criteria • change comparisons and rates • analyze results 4. If you have any questions: info@makeitrational.com