Transformations  in
Business & Economics

PROJECT PERFORMANCE EVALUATION BY MODIFIED ANALYTIC HIERARCHY PROCESS MODEL
Dalia Kriksciuniene, Virgilijus Sakalauskas, Sandra Strigunaite, Saulius Masteika

ABSTRACT.The main drawback of applying existing methods (Agile, Scrum, PMBOK) for evaluating project results and risks is their dependence on the direct observation, experience, expert-based judgements, and lack of quantitative measures for performance evaluation of the project team. The analysis and observation of the communication among project team members are mainly based on the subjective and mostly linguistic interpretation of statistics and communication intensity features. This type of information can be partially captured by the project environment software; it includes a number of exchanged messages, submitted files, and responses registered as systems logs; yet, the data are unfit to be directly incorporated into the project management methods. It can be concluded that there is a need for a comprehensive aggregated model for evaluating project performance, which could not only use data captured by teamwork software, but also accumulate and effectively utilize experiential knowledge of project managers and external experts. The authors of this paper suggest to modify the classical analytical hierarchical process (AHP) model. The modification includes a method for defining probability values corresponding to each alternative outcome of project quality by using the hierarchical structure of variables acquiring linguistic values, and calculation of compound value of project quality. The authors of this article explored the performance evaluation possibilities by using the modified AHP (mAHP) model for IT projects experimental data. The experimental research shows high compatibility of evaluations defined by the project managers and the results of the proposed mAHP method, and enables to significantly improve project evaluation reliability

KEYWORDS: project performance evaluation, teamwork software, analytical hierarchical process, AHP.

JEL classification: G12, G14, G17, E27.