Evaluation of decision methods for research and development projects

M.Ing.This study proposed to evaluate decision methods for R&D projects to assist managers to choose the appropriate type of model for their organization. In order to enhance the understanding of selection of R&D projects, general characteristics of project selection models have been explained with their advantages and disadvantages. For this purpose, model groups, criteria for models and usage of models have been addressed in detail. For better understanding of project selection models, the general characteristics of R&D projects, which are uncertainty, sequentiality and project interactions have been explained. It has been found by literature survey that the most used models are scoring models, economic models and optimization models. Among these models scoring models have more advantages than the others. However, there is not a perfect model for all types of projects and organizations. The criteria for selection of projects and models have been introduced. It has been found that criteria for selection of projects differ according to the type of projects under consideration, to the managers' view of project selection and to the size of the organizations. Research projects are often selected by using scoring models, which allow subjective estimation. On the other hand development or new product projects are selected mostly by using economic models. It has also been found that realism, flexibility, cost, ease of use, and capability were the most accepted criteria for selection of models. In order to make the discussed subjects clearer the project selection practice of Premet R&D has been explained in a step by step fashion. The model used by Premet R&D in the project selection process has also been addressed. Premet R&D's model has been compared with other models and weighted factor scoring model, which is a better version of their model, has been recommended for Premet R&D