When to use it
Use it when funding, skills, timing or dependencies constrain the portfolio.
When to be cautious
A greedy benefit-to-cost ranking can miss a better feasible combination and can ignore mandatory work.
Apply it
- Define values, constraints and project dependencies.
- Compare feasible combinations with a suitable optimisation or scenario method.
- Review assumptions and explain the opportunity cost of the selection.
An example in practice
The top-ranked projects all need the same scarce specialist. A different combination may deliver more feasible value.
Source & credit
Standard estimating practice; the cited guide documents use rather than claiming invention.
GAO: Cost Estimating and Assessment Guide
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