Project Prioritization

Project Prioritization

Name:

Institution:

Project Prioritization

There are varieties of criteria that can be applied for project prioritization. The projects identified vary in terms of their importance and contributions to the organization. Ensuring an appropriate criterion towards execution of the projects and allocation of resources can determine the difference between success and failure. This demands the need for strategic prioritization of the identified projects towards achievement of optimized return on investment for the project. In addition, alignment of the business goals and the allocation of resources for the projects are among some of the major considerations towards prioritization of the identified projects.

The Return On Investment (ROI) forms one of the primary considerations towards providing priority in allocation of resources for the projects identified (Project Management Institute, 2008). It provides a comparison of the overall returns of the project against the costs and resources utilized within a given project. The evaluation of ROI of a given project provides an essential means towards the determination of the overall avenue for allocation of resources, the dedication of attention by management and other particular investments that may be deemed as necessary for the execution and success of the project (Project Management Institute, 2008).

Another possible criterion for prioritization of the identified projects at Clarion-Milwaukee would be the consideration of the budget for execution of the respective projects. Budget considerations include the overall contingency of the project budget. It identifies the various factors that influence risk exposure and the possibilities of errors in decision-making activities (Project Management Institute, 2008). Possibilities of occurrence of risks and margins for errors in decision-making may have significant chances of cost overruns within the budget. This influences the prioritization avenues to be assumed with respect to the overall possibilities of risk to increase in costs and inadequacy of resources allocated (Project Management Institute, 2008).

The economic environment that the entity operates in is also another primary consideration in budgeting and decision-making processes for the organization. Strained resources and economic factors such as inflation may result in the urgency to cut down a project as a means of diverting resources to other important projects. Depending on the economic condition of operation, the projects that provide a high ROI assumed a higher priority as compared with other projects (Project Management Institute, 2008). Economic factors are essential for determining the ROI of a project as well as preparation of its budget.

Human resources within the organization also influence the priority level of a given project. This largely influences the overall success of a given project. Project success depends upon the skills, knowledge and talent of the human resource or project team to ensure successful implementation and execution of a given project (Portny, & Kramer, 2008). Their respective utilization of resources and understanding the scope, objectives and goal of the project influences the prioritization level of a given project. A project may demand external specialized labor as opposed to in-house expertise for successful completion of a given project. The need for specialized labor to execute the project may influence the overall cost and length of a given project (Project Management Institute, 2008). The addition of new staff for the Information Systems (IS) would be necessary to undertake the shift to a new efficient system for the organization.

Information technology (IT) considerations form a primary consideration for the identified projects. The value of investing in new Information technology resources in the long-term and short term form an essential part of the criteria for evaluating the priority for the identified projects (Portny, & Kramer, 2008). Additionally, the existing system at Clarion—Milwaukee can be termed as underutilized and out of date given that it is inefficient and unable to meet the set goals and targets for the entity. A new information system would provide a variety of benefits for the entire organization (Portny, & Kramer, 2008). Communication between personnel, enhanced execution of duties and responsibilities and storage of information are some of the primary benefits that can be accrued from a new system.

Organizational priorities also influence the prioritization process for the projects in the organization. The ROI is not the main consideration in evaluation and prioritization of projects in the organization. The priorities for the organization largely involve profit orientation and delivery of quality services to its customers (Cooke & Tate, 2011). Hence, a project should be able to provide optimum value to the organization upon successful completion. The long-term strategic function of the organization involves delivery of services, growth and profit orientation. This influences the overall prioritization of projects in the entity (Project Management Institute, 2004). A high priority should be able to provide optimum or maximum benefits in terms of profitability for the entity (Cooke & Tate, 2011).

Urgency is also a main factor for project prioritization; it largely focuses on the effects of inaction and action in terms of execution of a project. The failure to execute and implement a project may lead to losses and missed targets, goals and objects in an organization. On the other hand, action on a project may result to profits and achievement of long-term and short-term strategic goals and objectives within the organization (Portny, & Kramer, 2008).

In conclusion, the success and prioritization of a new information system at Clarion-Milwaukee is largely dependent on a variety of factors namely organization priorities, project budget, evolution of information technology with respect to project scope and viability, return on investment of a given project and human resources in terms of appropriate skills and talent for project execution.

Reference

Cooke, H., & Tate, K. (2011). Project management. New York: McGraw-Hill.

Portny, S. E., & Kramer, B. E. (2008). Project management. Hoboken, N.J: Wiley.

Project Management Institute. (2008). A guide to the project management body of knowledge (PMBOK guide). Newtown Square, Pa: Project Management Institute.