Scoring methods for prioritizing and selecting innovation projects

An approach for designing multi-factor scoring systems for evaluating and selecting early stage innovation projects is presented. A project is a piece of work of finite duration with finite resources, aimed at a defined outcome. Innovation projects have the extra complication that all of these aspects will be somewhat uncertain and knowledge of them is liable to change as the project proceeds. Clearly different assessment factors are required for different organizations, and for different types and stages of project. There is little guidance in the literature on how to choose the factors and how best to structure the scoring process. The approach is presented in the form of managerial guidelines, targeted at those who have to implement innovation project selection systems. Design aspects are discussed, including structure of the tool, choosing the factors, scaling statements, weightings, risk, uncertainty and confidence. Management aspects are considered, including preparation, scoring, decisions and outputs. The method is positioned in terms of theory and practice, with reference to both literature and industrial case studies. The paper concludes with a discussion of practical and theoretical contributions, and highlights areas that would benefit from further research.