Maximizing the Value of the Portfolio

The methods used to achieve this goal range from financial tools to balanced scorecard models. Each has its strengths and weaknesses. The end result of each is a rank-ordered or prioritized list of go and hold projects, with the projects at the top of the list scoring highest in terms of achieving the desired objectives the portfolio's value in terms of that objective is thus maximized. Rank Projects Using Their Economic Value or Net Present Value. The simplest approach is merely to calculate...