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Best-ValueSource Selection Demo
April 20th, 2005John R. Sammarco, PMPManaging PartnerDefinitive Business Solutions, LLC“Driving Performance and Compliance"
11921 Freedom DriveTwo Fountain Square, Suite 550 Reston, VA 20190
(703) 626-0221 (Cell)(703) 757-7276 (Office)(703) 757-6777 (Fax)[email protected]
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Topics
• Introductions• John Sammarco, Performance Management Expert• Daniel Saaty, Decision Support Expert
• About Us• Client Successes• Analytical Hierarchy Process (AHP)• “Best Value” Selection Process• Demonstration• Open Discussion
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Company Profiles
• Definitive Business Solutions, LLCDefinitive Business Solutions (DBS) helps clients drive performance and compliance by delivering proven and integrated solutions for selecting and managing project investments. In addition to their hallmark solution Integrated Portfolio Management (IPM), DBS offers SMARTopics™, a web-based governance system for improving performance and compliance. DBS is a privately held company headquartered in Reston, Virginia. For more information on Definitive Business Solutions, please visit www.DefinitiveLLC.com
• Decision Lens, Inc.Decision Lens, a Falls Church, Virginia based company focused on developing and implementing next-generation prioritization methodologies, has the most advanced methods for supporting critical decisions. Founded in 2004, Decision Lens’s solutions are based on cutting-edge technology designed to facilitate organizations in structuring group decisions and setting priorities. For more information on Decision Lens, Inc. please visit www.DecisionLens.com
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About Us
We help clients driveperformance and compliance.
We deliver proven and integrated solutions for strategically aligning, selecting, and managing
project investments.
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About Us
PortfolioAnalysis & Selection
PipelineManagement
PerformanceManagement
Program Management & Project Management (Enabler)
Business Case Analysis (Enabler)
Resource Management & Risk Management (Enabler)
Governance System
DBS offers an integrated set of processes, methods, and toolsthat help enterprises select and manage portfolios
to improve performance
Integrated Portfolio Management
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Analytical Hierarchy Process (AHP)
Selection Goal
Factor 1 Factor 2 Factor 3
Sub-Factor
Rating Scale
Sub-Factor
Rating Scale
Sub-Factor
Rating Scale
Sub-Factor
Rating Scale
Sub-Factor
Rating Scale
Sub-Factor
Rating Scale
• Developed by Dr. Thomas Saaty over 20 years ago.
• A highly regarded and widely used decision support process
• Government• 27+ Federal Agencies• $120B+ allocated annually
• Commercial• 7,000+ Corporations• 33% of Fortune 500
• Academic• 100+ Universities• 60+ MBA Programs• 1000+ Articles• 100+ Dissertations
Illustrative
Selection Criteria
Sub-Criteria and Rating Scales
Using a process called“Pairwise Comparisons”, each
Factor and Sub-factor is weighted by its relative importance to the
Selection Goal.
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Best-Value Selection Process
DevelopStatementOf Work(SOW)
Form SourceSelectionEvaluationBoard
DevelopProposalEvaluationCriteria
Review& AssessProposals
ConductSensitivityAnalysis
MakeBest-ValueSelection
JustifyandDocumentDecision
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Best-Value Selection Process
DevelopStatementOf Work(SOW)
Form SourceSelectionEvaluationBoard
DevelopProposalEvaluationCriteria
Review& AssessProposals
ConductSensitivityAnalysis
MakeBest-ValueSelection
JustifyandDocumentDecision
Build EvaluationModelFactors
Sub-FactorsRating Scales
Prioritize Criteria(Pairwise
Comparisons)
InputSOW
Selection CriteriaBrainstorming
Define Evaluation Criteria Consensus
Evaluation CriteriaFor Inclusion into the
RFP
ConductInconsistency
Analysis
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Best-Value Selection Process
DevelopStatementOf Work(SOW)
Form SourceSelectionEvaluationBoard
DevelopProposalEvaluationCriteria
Review& AssessProposals
ConductSensitivityAnalysis
MakeBest-ValueSelection
JustifyandDocumentDecision
RFP Releasedand
Proposals Received
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Best-Value Selection Process
DevelopStatementOf Work(SOW)
Form SourceSelectionEvaluationBoard
DevelopProposalEvaluationCriteria
Review& AssessProposals
ConductSensitivityAnalysis
MakeBest-ValueSelection
JustifyandDocumentDecision
FactorsFactor Score
DispositionCommentsStrengths
WeaknessesDeficienciesClarificationsFactor ScoreJustifications
QuickRead of
Proposals
Sub-FactorsStrengths
WeaknessesDeficienciesClarifications
Conduct IndividualProposal Evaluations
Consensus
ConsensusEvaluation Report (CER)
for all Factors/Sub-Factors