A cost versus value 2x2 chart for project management

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At a web site by Nils Davis for his book, The Secret Project Manager Handbook, there is an article titled The prioritization 2x2 that is the first in a series titled How to Prioritize: Top 6 Prioritization Techniques. He shows a cost vs. value 2x2 chart (low and high) with cost as the horizontal axis, and value as the vertical axis – as shown above. The two blue boxes (which I connected by an arrow) have the normal sequence (blue) where low cost goes with low value and high cost with high value. The upper left green box (low cost and high value) is an excellent surprise, but the lower right red box (high cost and low value) is something to avoid. 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At Savio there is another article by Kareem Mayan titled What is the Value vs Effort Matrix? Explanation, guide and how to avoid its pitfalls. As shown above, he plots value on the value horizontal axis and more generally effort (like cost) on the vertical axis. He discusses five weaknesses for this approach:

 

We’re not good at estimating value.

We tend to underestimate effort

Some features are important even if they won’t provide value.

Scores aren’t static.

Doesn’t directly tie scores to customer needs.