An overview of why strategic alignment is so important and of how a proper, AHP-based project prioritization process helps deliver strategic alignment which, in turn, leads to improved project success rates.
Good Stuff Happens in 1:1 Meetings: Why you need them and how to do them well
Why is strategic alignment important?
1. Alignment, project
prioritization and
project success rates
An overview of why strategic alignment is so important and of how a proper, AHP-based
project prioritization process helps deliver strategic alignment which, in turn, leads to
improved project success rates.
2. This webinar will cover:
What you don’t know will kill you
Why strategic alignment is so important
The business case
There IS a right way (AHP)
Demo of TransparentChoice Products
3. What you don’t know will kill you.
Most PMOs focus
primarily on executing
projects… and that will
kill you eventually!
Portfolio planning is,
quite possibly, more
important.
4. %
Alignment really matters!
Strategically
aligned projects
are:
- 57% more likely to
achieve business
goals
- 50% more likely to
finish on time
- 45% more likely to
finish on budget
Source: PMI –Pulse of the Profession – In-
depth Report: The Strategic Impact of
Projects
5. Some good resources
• Blog setting out the 57%
number and linking to
prioritization.
• Infographic setting out
the 57%, 50% and 45%
numbers and linking TCH.
• Blog showing difference
btw highest and lowest
performers and linking to
alignment – includes
infographic
• Blog setting out that AHP-
based prioritization is
THE way to do it.
https://blog.transparentchoice.com/how-ahp-
and-project-prioritization-helps-pmos-achieve-
more-project-success-rates
https://cdn2.hubspot.net/hubfs/301083/Dowlo
adable_Documents/3%20Reasons%20to%20Im
prove%20Strategic%20Alignment.png
https://blog.transparentchoice.com
/rate-your-pmo
https://blog.transparentchoice.com/th
ere-can-be-only-one
6. • Eliminate waste
• Make the important
projects successful
• Stronger exec
sponsorship
• Save time
9. AHP is academically shown to be “The
One” for project prioritization100+ methodologies
reviewed
Only 2 are “suitable” –
AHP is easier to use
TransparentChoice uses
AHP
SO – best practice =
AHP, end of debate
10. Why AHP?• “My process works!”
• Too many projects?
• Politics?
• Failing projects?
• Resource allocation
problems?
• Why it doesn’t work
• Human bias (cognitive
biases or decision bias)
• Group dynamics
• Decision science
• Evaluated over 100
methods
• Over 40 years of AHP
research
• AHP validated again and
again
Blog: research says AHP is
the way to go!
https://blog.transparentchoice.com/th
ere-can-be-only-one
Blog: “There is a RIGHT WAY”
https://blog.transparentchoice.com/how-many-pmos-
does-it-take-to-reinvent-the-wheel
Blog: “Beware of ‘fake
methods’”
https://blog.transparentchoice.com/a
void-fake-project-prioritization-
methods
11. So…. ?• What does “value”
mean?
• What does “strategic
alignment” mean?
• These are the
FOUNDATION for
project selection
• Without a solid
foundation,
everything else is
flawed
12. Case study: EnerginetDanish power-grid
- 5m customers
- $1.6bn revenue
- €20m p’folio
Challenges
- All projects “top priority”
- High failure rate
- 30% obsolete
- Difficulty allocating
resources day-to-day
- Political process
Results
- Eliminate 30% obsolete
- Every project aligned
- Less time, less politics
- Clear priorities,
allocation of resources Est. € 6m saving
https://cdn2.hubspot.net/hubfs/301083/Dowloadable_Documents/Partner
%20Training%20Resources%20and%20Marketing%20Collateral/Collateral%2
0/Project%20Prioritization/Energinet%20infograph.png
13. Three steps of prioritization
AGREE on goals and
drivers
Capture and evaluate
project requests
Decide…
Capture and evaluate
project requests
“Demand management”
Agree on goals and
drivers:
“Definition of value”
Pick a portfolio with a
punch!
