ABB Basic Quality Tools Series

Prioritisation Matrix
Weighted method for option reduction

ABB Group 9AKK105151D0125 15 July 2010, Slide1

Prioritization matrix Overview

What is it for?
To prioritize tasks, issues or possible options based on known,
weighted criteria. Example

Where could I use it?

Use it in such as choosing opportunities to follow, problems to
resolve, causes to address or solutions to implement.

It can also be used to demonstrate rigour in your selection process.

High chance of being approved Low cost of implementation High chance of success Unweighted total Low running costs

How do I use it?

List items to prioritize. Identify prioritization criteria. Identify weights for criteria. Score items. Total scores. Interpret the results. Take action.

Weighting: 1 = unimportant, 5 = very important

Weight: Full supplier review system New supplier managers Short education program Reselection of suppliers

2 1 5 3 2

5 3 4 1 1

3 5 3 3 2

4 2 1 4 3

11 13 11 8

Weighted total
40 43 36 27

Scoring: 1 = meets criteria poorly 5 = meets criteria very well

Criteria

Risks and how to avoid them

ABB Group 9AKK105151D0125 15 July 2010, Slide2

Prioritisation Matrix
What is it for? Uses of this tool:
The Prioritisation Matrix is used to sort a list of items into order of relative importance. It can be used anywhere where a (usually short) list of items needs to be prioritised. The rigorous approach can be helpful in gaining agreement within a group of people.

Expected Benefits:
Wrong decisions can be very expensive. The Prioritisation Matrix helps to present the right decision to lead to a more successful outcome.

ABB Group 9AKK105151D0125 15 July 2010, Slide3

Prioritisation Matrix

Where could I use it? Background:

Throughout business situations and especially within improvement projects, it is necessary to remain focused by selecting from a list of alternative actions or items. The Prioritisation Matrix provides a rigorous method of doing this.

Uses:
Use it to choose between alternative opportunities for improvement. Use it to choose specific sub-problems and causes to address. Use it to choose the final solution that will be implemented.

ABB Group 9AKK105151D0125 15 July 2010, Slide4

Prioritisation Matrix
How do I use it? - Procedure and Guidance Notes:

List items to prioritise Identify Prioritisation criteria Identify weights for criteria

List the items which are to be prioritised. Put them in a column in a table (a spreadsheet is useful for this).

Keep the list reasonably short unless you have a specific reason for doing otherwise. A typical list less than ten items and often less than seven. For example use low cost of implementation rather than cost of implementation. Keep the criteria list short about three to five criteria is recommended. A typical scale is 1 to 5, with 5 meaning high priority. You can also exaggerate the effect by using the three-part scale 1, 3 and 9. A typical scale is 1 to 5 or 1 to 10, with higher numbers indicating items that meet the criteria. Again, you can use the three-part scale 1, 3 and 9. You can show non-weighted scores, weighted scores and/or both.

Identify the decision criteria which will be used for prioritisation Phrase these in a way such that the meaning is clear and a high score against them means a high priority. Put the criteria in a row at the top of the table. Choose a scale of values for weighting the criteria. Identify score values for each criterion that will be used to weight the scores. Show these in the prioritisation matrix table. Choose a scoring system for scoring the items in the list against the criteria. Apply the system to score all list items against all criteria. Show these in the prioritisation matrix table. Total the scores for each item. Show these in the column at the right of the matrix table.

Score items

Total scores

Examine the total scores, understand what contributed to each total.

Interpret the results

You can do what if experiments by going back and changing scores and weights to see what difference this makes. For example the top one item in a solution list is next taken to the detailed design phase.

Decide which items should be taken forward for further action.

Take action
ABB Group 9AKK105151D0125 15 July 2010, Slide5

Prioritisation Matrix

Risks and how to avoid them: Risks :

Using inappropriate criteria, missing important criteria or using inappropriate weightings, resulting in scores that are inappropriate. Assuming the results are an absolute truth and not examining these to ensure they make sense.

Steps to avoid them :

Check with others that the criteria and weightings used are necessary and sufficient. Always check the results to ensure they make sense. If necessary go back and examine how the scores turned out as they did.

ABB Group 9AKK105151D0125 15 July 2010, Slide6

Prioritisation Matrix
Example
3. Identify weights 2. Identify criteria
Scoring: 1 = meets criteria poorly 5 = meets criteria very well Weighting: 1 = unimportant, 5 = very important

4. Score items

Criteria

High chance of being approved

Low cost of implementation

High chance of success

Unweighted total

Low running costs

Weighted total

5. Total scores

1. List items to prioritise

Weight: Full supplier review system New supplier managers Short education program Reselection of suppliers

2 1 5 3 2

5 3 4 1 1

3 5 3 3 2

4 2 1 4 3

11 13 11 8

40 43 36 27

43 = 5x2 + 4x5 + 3x3 + 1x4

6. Interpret 7. Take action Work on getting sponsorship. Support with short education program.
ABB Group 9AKK105151D0125 15 July 2010, Slide7

New suppliers managers would need work to get approved.