The Allovance Method™


Our proprietary five-step method that's been helping organizations over the last 20 years.


Allovance Method™

The Allovance Method™ is a 5-step decision-making and strategic prioritization approach that allows organizations to quantify their strategic priorities and align their work with those priorities.  The method was developed by Sherif Farghal (founder and CEO of Allovance) while conducting his PhD research at the University of Michigan in 1996.  The method immediately began gaining traction. Why? Well, this methodology was so unique, so relevant and so accurate that Fortune 500 companies began seeking consultation with him to better align their projects with their strategic priorities.

The method incorporates science into the art of decision making.   It uses the scientifically proven Pairwise Comparison method to obtain relative weights among strategic priorities.  It incorporates the utility theory to quantify strategic objectives.  It also uses goal-programming to automatically select the portfolio of projects/alternatives that is most aligned with organizational goals.

The alternatives that are being prioritized depend on the type of decision being made.  For a capital allocation decision, the alternatives are projects that the organization wants to prioritize.  However for Time and Resource Allocation decisions, the alternatives may be different initiatives or resources that the organization wants to prioritize.

Collaborate


The Allovance Method allows the collaboration of the following stakeholders:

Strategic Team: The leadership team that is responsible for the decision that is being made.

Experts: Individuals that are considered subject matter experts in the strategic objective.

Project Owners: Individuals responsible for submitting proposed projects or alternatives into the system.

Project Review Team: Reviews project/alternative submittals to ensure accuracy and objectivity.

Observers: Individuals with view-only access to the decision model.
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Step 1: Strategize


In the Strategize step the strategic team defines the strategic priorities of the organization and breaks them down to strategic objectives that can be measured. The result is a Strategic Value Scorecard that defines what's valuable to the organization.
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Step 2: Compare


The strategic team then uses pairwise comparisons (a scientific comparison method known) to compare strategic priorities and objectives and obtain relative weights among them. The result is a strategic value scorecard that is well balanced and reflects what’s important to the organization.
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Step 3: Quantify


A unique proprietary feature of the Allovance Method is the ability to develop scales to measure and quantify each of the strategic objectives. These scales can help the user quantify all of their priorities even if they are subjective. It also allows the unique preferences of decision makers to be captured and used to evaluate large number of alternatives.
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Step 4: Score


All projects are scored against the strategic value scorecard as well as complexity and urgency. The result is a project and portfolio scorecard that identifies how each project will impact the strategic priorities of the organization. This ensures perfect strategic alignment and that resources are spent on the most strategic projects.
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Step 5: Select


A great feature of the Allovance Method is its ability to present the project scores in an intuitive format that makes it easy for the decision makers to select projects. The result is a capital allocation process that leads to the selection of a portfolio with as minimum variance as possible from the strategic priorities profile.
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ALLOVANCE SOFTWARE™

The software was created to simplify the process and guide collaborators through the methodology.
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DECISION COACH™

Our Allovance certified Decision Coaches are experienced in business strategy, facilitation, decision-making and are passionate about helping organizations achieve their strategic goals.
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Implementing Allovance

We've simplified the implementation of Allovance into an easy to follow process.
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