Stop Wasting Time: How Most SMEs Fail at Prioritization
In the fast-paced world of business, prioritizing tasks effectively is crucial for success. Whether you’re a startup founder, a small business owner, or a mid-size business leader, choosing the right prioritization technique can help streamline processes, enhance productivity, and ensure that critical tasks are addressed promptly.
Let’s explore and compare four popular prioritization frameworks:
Impact vs Effort,
Eisenhower Matrix,
MoSCoW Method, and
Stack Ranking.
We have chosen these four because they are easy to do with the knowledge available to you and your management team. They don’t requires additional detailed analysis or work to set up priority rankings. After exploring these frameworks, we will show you how to prioritize using a modified version of the Impact vs Effort technique, known as the Relative Value vs Ease of Implementation matrix, popularized in the GE Workout Workshop model.
Impact vs Effort
The Impact vs Effort matrix is a simple yet effective tool for prioritizing tasks based on their potential impact and the effort required to complete them. Tasks are plotted on a two-by-two grid:
High Impact, Low Effort: Quick wins that should be prioritized.
High Impact, High Effort: Major projects that require significant resources.
Low Impact, Low Effort: Minor tasks that can be addressed if time permits.
Low Impact, High Effort: Tasks to avoid or delegate.
Impact vs. Effort matrices are particularly useful when you have multiple objectives or activities competing for attention and you need to decide which ones to focus on. This matrix helps you identify high-impact, low-effort tasks that should be prioritized, so whatever you prioritize should help you make the biggest impact with the lowest amount of effort.
Eisenhower Matrix
The Eisenhower Matrix, also known as the Urgent-Important Matrix, helps prioritize tasks based on their urgency and importance. Tasks are divided into four categories:
Important and Urgent: Do these tasks immediately.
Important but Not Urgent: Schedule these tasks.
Not Important but Urgent: Delegate these tasks.
Not Important and Not Urgent: Eliminate these tasks.
The Eisenhower Matrix is really useful when time management is an important component of your prioritization approach. For example, use it if you’re running up against a critical milestone where you need all hands on the oars, and it becomes obvious that it will be impossible to finish all the tasks. The Eisenhower Matrix will help you distinguish between what’s urgent and important to complete vs what’s non-urgent and unimportant.
MoSCoW Method
The MoSCoW Method is used primarily in project management and software development to prioritize requirements:
Must Have: Essential tasks that must be completed.
Should Have: Important tasks that should be completed if possible.
Could Have: Desirable tasks that can be deferred if necessary.
Won’t Have: Tasks that will not be addressed in the current cycle.
The MoSCoW method is a versatile prioritization tool, and especially useful if you have a long laundry list of pet projects by multiple individuals. In a team setting, team members need to align on what tasks are crucial, especially when resources are tight. The MoSCoW method is also flexible in the sense that it can be used for various time-frames, from weekly activities to annual planning.
Stack Ranking
Stack Ranking, or sometimes called Forced Ranking, involves ordering tasks or projects from most to least important. Each task is assigned a unique priority based on its significance and impact, ensuring that the most critical tasks receive the most attention and resources.
Stack Ranking is best used when you have a very small number of key activities, especially if all of these require the same resources to complete them.
Relative Value vs Ease of Implementation
While the aforementioned techniques are valuable, the Relative Value vs Ease of Implementation matrix offers a unique approach, especially when dealing with a large number of potential actions.
This technique is designed to help leaders quickly identify, in order to then quickly and implement high-value actions with minimal effort. In other words, it is a technique with a strong action bias.
Why Prioritize?
When leading leadership teams, it’s essential to convert good ideas into measurable actions that form an implementable plan. However, teams often face a common challenge: too many actions!
A strategic alignment session can easily yield 40 or more activities, making it impractical to develop a comprehensive plan for all. Some actions are complex and require further investigation, while others may offer questionable value. Prioritization helps identify actions that can be quickly transformed into a plan, enabling immediate implementation and momentum building.
The Matrix Explained
This prioritization matrix works really well for teams. It’s super handy for figuring out where to start when everything seems important. It can also show a team where their energy is best spent, ensuring everyone is pulling in the same direction. The Relative Value vs Ease of Implementation matrix uses two criteria:
Relative Value: Categorized as High or Moderate.
Ease of Implementation: Categorized as Easy or Difficult.
Here's how to use the matrix:
List all actions. Start with a comprehensive list of all proposed actions.
Assess relative value. Evaluate each action’s potential impact on your strategic goals and categorize them as High or Moderate.
Determine ease of implementation. Assess how easy or difficult it is to implement each action.
Plot actions on the matrix. Place each action in the appropriate quadrant based on its value and ease of implementation.
Focus on Quick Wins
Once the actions are plotted, focus on the “Quick Wins” – those in the High Value, Easy to Implement quadrant. These actions typically require only 3-5 tasks to complete and can be assigned quickly with clear responsibilities and due dates.
By prioritizing these quick wins, you can create a Rapid Action Plan that generates immediate results and builds momentum for tackling more complex tasks.
Conclusion
By adopting the Relative Value vs Ease of Implementation matrix, you and your leadership team can streamline your strategic planning process, ensuring that the most impactful actions are prioritized and executed swiftly.
This approach not only helps in managing a large number of tasks but also fosters an action-oriented and dynamic work environment. Try this matrix with your team and share your success stories!