example - it project prioritization
TRANSCRIPT
Example: Prioritizing IT Projects
This example is designed to give an idea of how TransparentChoice can be used to
select the most efficient IT portfolio. This model is inspired by Gartner’s
recommendations for picking IT projects.
The problem we solve
The problem is one of collaboration and structure, not of information
50% failure rate
Most significant decisions are made with group input and multiple trade-offs/criteria
How we solve the problem
Structure the decision, eliminate bias
Gather opinion and build consensus
Deliver results and recommendations
Criteria
• Criteria make implicit assumptions about priorities explicit.
• They are the structure that allows us to break down a complex decision into manageable parts.
• Criteria help build a common language and make trade-offs visible.
• Clear criteria make it difficult to “game” the system.
Criteria
• We have started with Gartner’s recommended model for project prioritization (essentially the top-level of the criterion hierarchy) and have then expanded on this model as an example of how it might be used in practice
• This model was not put together by Gartner. Rather, it was built from publically-available information about Gartner’s recommended project prioritization process.
Criteria
Prioritize your projects
Financial return
Cost reduction
Payback
Reducing business
operating costs
Reducing IT costs
Increase sales contribution
Project risk
Organizational complexity
Project complexity
Strategic impact
Brand building
Business development
Customer intimacy
Product excellence
Technical architecture fit
Alignment with architecture
Capability
The Decision Team
• In this example, the executives define priorities, which are represented as weighted criteria.
• Subject matter experts score each project against criteria.
• Then the executives review the overall weighted scores and make their decision based on which projects will deliver the best value for money
Final Decision Meeting
Executives Set Priorities (Weight Criteria)
Subject Matter Experts Score Projects
Weighting criteria
• Criteria map to your priorities
• Defining these priorities is one of the most important steps in any decision
• Each person (Execs, in this example) answers “A vs. B” questions about which criterion is more important
• These votes are then brought together to discover where disagreements or misunderstandings are getting in the way of the decision
Building consensus Voting differences can be due to special knowledge, simple mistake or could even be an attempt to inappropriately influence the decision
Building consensus The process of building consensus is not a “fluffy feel-good process”. Decisions with more buy-in get executed better
Building consensus By avoiding discussions about items for which consensus already exists, and by having very contained discussions where there is disagreement, the process can reduce the amount of time spent on a decision.
Making your choice
Your recommendations is made with clear justification and transparency. It is based on clear criteria with explicit weighting – in other words, you explicitly see the priorities and trade-offs involved in making the decision. Decision makers understand exactly what they are being asked to decide and why. Sensitivity analysis gives them visibility into the robustness of the recommendation.
• This example is available on your TransparentChoice account.
• Sign up and try it now!
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