The prioritization methodology incorporated into GenSight enables you to systematically compare a diverse portfolio of projects and initiatives so as to make more robust decisions.
Align All Initiatives to Strategic Goals
The GenSight methodology is much more than a simple weighted scoring system. The methodology enables you to master the complexity of prioritizing across a broad range of initiatives that have different objectives, potential rates of return, investment risks and constraints. The GenSight methodology incorporates the following principles:
Uses both hard and soft information – financial metrics and supporting qualitative inputs
On-Line business case and “project personality” questionnaires capture the “profile” in a repeatable and concise format – providesthe fact base to feed the prioritization process
A flexible scorecard system to combine and aggregate the criteria applicable to prioritization – fully configurable to your criteria.
Multiple dimensions of criteria and scorecards – eg. Typical scorecards include Financial Return, Strategic Value, Organizational Fit, Innovation, Probability of Success, Market Attractiveness, Competitive Advantage.
Weighting system - to assign relative importance levels to criteria and scorecards
Pairwise comparison process - to tune the prioritization model to reflect decision makers mindset
Utility functions – To normalize diverse financial and numeric measures into a consistent scale of “worth”
Stage-Gate Linkage - Just a few simple prioritization criteria at early feasibility stages, expanding to more rigorous criteria and financial metrics at later stages when more information is available.
Criteria Based Decision Support
GenSight® combines
diverse business measures using normalization and weighting algorithms
to produce a set of composite measures or “scorecards”.
This enables objective comparison and prioritization of the disparate
elements in a portfolio. Both quantitative and qualitative data
can be merged into scorecards including value, risk, innovation index,
market attractiveness and competitive strength.
GenSight® scorecards are fully configurable and can be created and calibrated to reflect customer-specific decision-making criteria.
GENSIGHT
SCORECARD CAPABILITIES |
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Relative Importance Weights |
GenSight® supports pair-wise comparison of decision criteria to establish the weighting of each criterion within a scorecard. |
Data Normalization
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Disparate financial/quantitative measures can be normalized to a comparable scale. Mathematical functions supported include S-curve, concave, convex, linear, bell curve and step functions. Normalization is supported through interactive graphical adjustment of parameters including curve shape, steepness and range. |
Qualitative Information Evaluation |
The system can generate normalized quantitative values by utilizing structured multiple choice questions. |
Fuzzy Logic
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The system provides expert system functionality based on fuzzy logic algorithms to classify a set of criteria in combination to produce an overall classification. |
Scorecard Hierarchy |
The system supports scorecards within scorecards to manage the complexity of a large number of criteria. |
Additive and Multiplicative Weighted Calculations |
Scorecards can include a mix of weighted addition and weighted multiplication of criteria. |
Stage and Gate Support |
The system has the ability use different scorecard criteria and weights according to project stage, type, technology, etc. |
PREDICTIVE BUSINESS MODELING
GenSight’s software enables a range of analytical functions that can be applied at a particular point in time, tracked historically over time or projected into the future.
The screenshot to the right shows one of the many mathematical functions that can be selected in building comprehensive business models.
BUSINESS
MODELING CAPABILITIES |
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Time-Series Modeling |
GenSight® supports historic and future data points including interpolation, growth forecasting and time-shift calculations. |
Multi-Dimensional Calculations |
Business modeling functions can be configured to operate across multiple dimensions, including within and between portfolios. Unlike standard spreadsheets, a single formula in GenSight® can generate a multi-dimensional array of data points. |
Relative Ranking
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The system can rate each portfolio element against other elements in a given dimension. This is based on a configurable set of rules and business criteria (for example relative market share calculations in strategic market modeling). |
Scenario Planning |
GenSight® supports the definition of base and alternative scenarios with differing assumptions on portfolio elements and business criteria. This enables users to test and compare different strategies, and to assess the implications of uncertainty. |
Holistic Calculations |
GenSight® can structure and analyze the network of relationships that exist between elements in a portfolio. It can compute the overall contribution that each element brings to the portfolio including indirect effects through interdependencies. For example, in a project portfolio, a low value project that is required to support several high value projects can have its value appropriately increased. |
