Identification and weighting of criteria for digital transformation projects selection and prioritization in the project portfolio management context

Many large organizations in different industries are implementing digital transformation programs to improve efficiency, reduce costs and exploit new opportunities. In the globalized and growing companies’ context, managers need to deal with multiple initiatives at the same time with limited available resources. To achieve organizational strategic objectives, project portfolio management is fundamental to properly allocate the required resources in order to achieve the expected benefits addressed by their strategy. Project selection for project portfolio definition becomes then a paramount phase in order to prioritize and authorize the initiatives that satisfy the critical success factors. However, an agreement has not been reached yet regarding the most effective model and list of factors to be used, especially in the broad and heterogeneous environment of large organizations. The project selection and prioritization remain therefore affected by the complex interdependencies between initiatives and the multi-factor and conflicting objectives on which the decision-making process should be based. Therefore, this study focuses on the identification of a set of criteria and the assignment of weights through the AHP method, with the aim to select and prioritize digital transformation projects to create a successful portfolio. Involving professionals' opinion from different industries, the study develops a set of comprehensive criteria which put important weight not only on project-specific dimensions, but also on organization structure and people management.