Project Prioritization in the Digital Era: Know Which Projects to Focus On

project prioritization

Overview:

  • Introduction: What is project prioritization?
  • Why do you need it?
  • Advantages of Proggio’s Project Prioritization Module
  • How to implement project prioritization in Proggio?
  • Conclusion

Introduction: What is project prioritization? 

Project prioritization is a process that allows you to rank projects based on their business drivers and their impact statements. When your organization has multiple projects that constantly need to be evaluated and reevaluated of their worthiness,  project prioritization is a critical and highly valuable process. 

Oftentimes, the evaluation process requires data collections, reviews, and a decision-making process, so that project prioritization is managed carefully. Ideally, the information collected to arrive at a project’s prioritization should also be stored in one solution during the review process.

Why does your organization need project prioritization?

In any company, there are many project ideas. Some are a result of customer requests, some are product-related, some operational, and some are targeted to improve the company infrastructure. Special management requests and lengthy project timeline makes it even harder to focus on the right projects. So, when organizations have a standardized project prioritization set in place, it helps them clarify which projects are the ones that if executed are aligned with the organization’s business goals. Only then they can focus their efforts with accuracy, making their allocated resources, finances, and productivity supremely optimized. 

Hence, the project prioritization helps the company and the project teams know where to invest their focus to make the biggest impact on reaching company goals, while simultaneously avoiding the common pitfalls, like toxic internal escalations and poor investments in less pivotal projects.  

Advantages of Proggio’s Project Prioritization Module

  1. Prioritization and execution in one solution Proggio’s project prioritization further demonstrates our commitment to seeing that organizations can do it all, including prioritization, project execution, and project workflows effortlessly and easily, in one place. Not only are you able to prioritize projects based on their business drivers in one solution, where all of the data is connected, it is also clearly reflected on a singular timeline.
  2. Set standardized project process — By following the prioritization process, your organization gains a measurable way to rank projects and can create a common ground comparing projects from different domains.
  3. Prioritization clarity — The rules and the business drivers are agreed and clear to all, and managers reach a common ground to discuss project ranking in the context of their business needs.
  4. Prioritization with confidence Always know that you are prioritizing the right project over another with complete certainty, and which projects prove to be worthy of investment in time, money, and resources,
  5. Customizable towards company goals — Proggio’s prioritization module is highly customizable and allows your organization to define its own business drivers and their impact statements. 

How to implement project prioritization in Proggio?

Project prioritization in Proggio is customizable and easy to set up. Follow these 4 steps to get the most out of it:

  1. Define the organization’s business drivers and the weight of each one 
  2. Define impact statements and grades for each business driver
  3. Select impact statement values for each business driver to rate each project
  4. Rank the organization portfolio, and focus on what really matters 

Step 1: Define the organization’s business drivers and their weights

It all begins from making a thoughtful decision about the organization’s business drivers, and the weight assigned to each one. Some examples of business drivers are:

  • Market share increase
  • Costs reduction
  • Complexity
  • Duration
  • Levels of risks
  • Expected monetary outcome/profit
  • Resources
  • Expected market share
  • Technology barriers
  • Level of expertise
  • Infrastructure

It is important to note that only Workspace Admins have access to configure the business drivers. Let’s see how it works… 

From the application, select Settings icon (bottom left) > Prioritization

The application comes with default prioritization options that are fully customizable for your organization’s needs. In this screenshot example above, one of the business drivers is “Cost reduction” and it gets a weight of “7,” which means the organization currently values “Cost reduction” the most out of the other items. 

Step 2: Define impact statements and grades for each business driver

The definitions of impact statements are aimed at creating a single set standard for all projects within a workspace. Now that the business drivers are set, it is time to click on each one to define and grade its impact statement(s). Defining impact statements is critical to make sure that different stakeholders agree on how business drivers are valued. 

Adding or removing impact statements, and assigning grades are easy. In this example, the organization decided to measure “Market Share” with 3 options that comprise the impact statement. The first option has an impact of 5, the second of 10, and the third carries a grade impact of 1. If the business driver’s overall (value) weight is low, even if it has an impact statement with a high grade, the high grade will have a limited impact on the overall project score.

Once these steps are complete, the organization has a baseline for project prioritization. 

Step 3: Select impact statement values for each business driver to rate each project

Each project can be rated according to the definitions done in steps #1 and 2, and finally, get a project score, allowing it to be ranked within the company portfolio. 

You can define who can rank projects based on their roles. 

It’s more about rating the project’s impact statements that affect the rate later so I would switch to ‘Rating’ or ‘Prioritizing’ a single project can be done from the project itself, by opening the Tools icon > Prioritization > Select impact statement grade from the drop-down arrow > Save.

In this example, the combination of the business drivers and the impact statements resulted in a total project score of 17 points. The calculation is done by multiplying each business driver’s weight by the impact statement grade. Hence, if the weight of “Cost reduction” is 7, for example, and it gets an impact statement of “More than $1K” with a grade of 1, this business driver will contribute a score of 7 (7 x 1) to the overall project score (as seen in the final score column). 

Another option is to rank multiple projects all at once from the project portfolio list mode. 

From the Navigation Panel > Portfolio > List view > View (eye icon top right) > Edit columns > Add the prioritization columns and the Rank and Score fields.

Step 4: Organize the projects in the portfolio based on rank. Focus on what really matters.

After you have rated the projects a score will appear. If you’re interested in ranking the projects according to the score, you can select the auto-rank feature.

It is important to note that only Workspace Admins have access to configure the ranks of projects. To do so from the portfolio view list mode > Tools icon > Auto-ranking > Select “Yes” 

From this point, you can then organize the project list by their rank. To do so, click on the hamburger menu > Select sort by ascending or descending values

In this view, all values are also editable in place, and the project score will be updated automatically.

Now based on the ranks, you can instantly see which projects are worth focusing on based on your organizations’ business drivers…and which are not. This can save your organization valuable time, money, and resources from being wasted on projects that are not worthy. 

In this example, a company has 7 projects that have been ranked according to agreed business drivers. The project called “Phase 2 Biotech” appears to be the most important project, with the highest score of 52. Project “Electronic device India” ranked as the least important project with a score of 17.

You can always change the rank of an item manually even after running the auto-ranking feature, in case there are other reasons for upgrading or downgrading a project’s value. Keep in mind that such edits will be overwritten the next time the user runs the auto-ranking function. 

Finally, you can present your ranked projects where it is most important – over the Portfolio view. From the Portfolio view > Select the Map view > Eye icon > Edit columns > Select Rank field > Open the project names window by sliding the divider to the right > View the Rank column

Additionally, you can narrow the focus, even more, to have the Portfolio map view only reveal the projects that have been ranked. 

To do so Filter icon > Select Rank field > Rank will appear in the filter row > Click on Rank dropdown > Select relevant rank values that you want to focus on. 

From this perspective, you can quickly and easily track and monitor the projects within the portfolio, while ensuring that those which are ranked highly are progressing towards their milestones on time.

The Bottom Line: Set a project prioritization process and start focusing on the right projects 

Naturally, it is very hard to prioritize projects without a process in place and as a result, the organization may waste valuable time, money, and efforts investing in the wrong projects. Using the right project prioritization can help your organization deliver and reach company goals with the utmost efficiency.

With Proggio you have the ability to prioritize projects according to their impact on business in one solution, where all of the data is connected.

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