Simple tools for PD portfolio analysis

Problem

A product-focused client needed to make informed decisions about their portfolio of new product development projects but didn’t have the time, staff, or inclination to undertake lengthy and detailed financial analyses of the dozens of candidate projects.

Approach

Directly based on corporate decision-making criteria, a simplified utility model, was developed that simultaneously addressed both the value and feasibility of the entire portfolio of candidate projects.

Results

The final portfolio prioritization tool was simple to understand and apply. It allowed a large field of candidate projects to be evaluated within a few hours. The resulting opportunity map clearly identified the projects with the best value-feasibility trade-offs and provided a balanced product development investment portfolio that was completely aligned with corporate preferences.