SAVE International Value Methodology VMA Question # 5 Topic 1 Discussion

The Evaluation Phase of the Value Methodology (VM) Job Plan involves assessing ideas using established criteria, as taught in the VMF 1 course (Core Competency #7: Evaluation and Selection of Alternatives). According to SAVE International’s Value Methodology Standard, “establishing evaluation criteria follows a logical sequence: first, identify the context of the study (e.g., project goals, constraints); then define the criteria (e.g., cost, performance, risk); next, determine the importance of each criterion (e.g., weighting, as noted in Question 11); and finally, determine the range or scale for measurement (e.g., 1-5 scale for scoring).” This process ensures that criteria are relevant, prioritized, and measurable, enabling systematic evaluation (e.g., using coarse-medium-fine filters, as in Question 33).

Identify context: Understand the study’s goals and constraints (e.g., budget limits).

Define criteria: List specific criteria (e.g., cost savings, quality).

Determine importance: Assign weights to criteria (e.g., cost is 40% of the score).

Determine range/scale: Set a measurement scale (e.g., 1-10 for each criterion).

Option A (Identify context, define criteria, determine importance, determine range/scale) is correct, as it follows the logical sequence for establishing evaluation criteria.

Option B (Identify context, define criteria, determine range/scale, determine importance) is incorrect because determining importance (weighting) should precede setting the range/scale to ensure the scale reflects the criteria’s relative importance.

Option C (Define criteria, identify context, determine range/scale, determine importance) is incorrect because the context must be identified first to ensure criteria are relevant.

Option D (Define criteria, identify context, determine importance, determine range/scale) is incorrect because defining criteria before identifying the context risks missing the study’s specific needs.