A review of why it’s important to do a project pre-assessment and how to do it using a Min/Max Analysis.

1. Section & Lesson #:
Pre-Requisite Lessons:
Complex Tools + Clear Teaching = Powerful Results
Project Pre-Assessment
using a Min/Max Analysis
Introduction – Lesson 7
A review of why it’s important to do a project pre-assessment and how to
do it using a Min/Max Analysis.
Intro #04 – Corporate CTQ Drilldown
Intro #05 – Project Financial Savings
Intro #06 – Project Prioritization using a QFD Tool
Copyright © 2011-2019 by Matthew J. Hansen. All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted by any means
(electronic, mechanical, photographic, photocopying, recording or otherwise) without prior permission in writing by the author and/or publisher.

2. o What is a project pre-assessment?
• Helps validate the potential problem, scope, & benefits of the project.
• Ensures there is adequate agreement on the need and expected value of the project.
o Why do we need a project pre-assessment now?
• It fits in the logical order of how we have so far identified & prioritized project opportunities:
 QFD – Helped prioritize various project opportunities to find which ones are most critical.
 CTQ Drilldown – Helped ensure the project opportunities align to the overall corporate needs & strategy.
 Pre-Assessment – Will help validate that the projects are truly critical and aligned to the business strategy.
o Is a project pre-assessment required?
• No, but what’s the risk if we don’t do a pre-assessment? What if we find out…
 …the scope is too large requiring more time, cost & resources?
 …the opportunity doesn’t align to the corporate CTQs?
 …the Sponsor isn’t bought-in as expected?
 …the benefits aren’t as large as expected?
• A pre-assessment won’t eliminate all
these risks, but it can help us address
these concerns at the start of the
project to help mitigate them and
ensure we achieve a reasonable ROI.
Introduction to Pre-Assessment
Copyright © 2011-2019 by Matthew J. Hansen. All Rights Reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted by any means (electronic, mechanical, photographic,
photocopying, recording or otherwise) without prior permission in writing by the author and/or publisher.
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Risk: small benefits
Risk: no biz alignment
Risk: no Sponsor buy-in
Risk: too much cost/time
Reward: team confidence
Cost: Pre-Assessment

3. How do you do a Pre-Assessment?
o A pre-assessment is like a checklist that generally includes answering the following:
o How do you get this pre-assessment information?
• Contact the person(s) from whom you originally learned of the project opportunity.
 While in pursuit of answers to the above questions, you may quickly learn how viable the opportunity is.
 Our later training of the Define phase tools may help you in researching these answers.
 Next, we’ll review the Min/Max Analysis that may help to quickly size this opportunity.
o What do you do with this pre-assessment information?
• Compile your answers and review them with your primary contact (Sponsor, Champion, etc.).
 If the opportunity is viable, then these answers can be embedded as part of your normal project.
 If it’s not viable, then ensure the Sponsor agrees with your findings and is willing to close it down.
Copyright © 2011-2019 by Matthew J. Hansen. All Rights Reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted by any means (electronic, mechanical, photographic,
photocopying, recording or otherwise) without prior permission in writing by the author and/or publisher.
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Understand the problem (part of Define phase in DMAIC)
What is the background for this opportunity? (E.g., Background Statement)
What is the measurable pain being felt in the business by this problem? (E.g., Problem Statement)
What is in and out of scope?
Project Support
Who would be the Sponsor & Champion and do they agree to fully support/resource this project?
Who else would be considered a critical stakeholder for this project opportunity?
How does this project opportunity align with the corporate CTQs? (E.g., CTQ levels 1 to 3)
Are data readily available to measure and analyze the problem?
Expected Benefits
What are the minimum and/or maximum benefits expected? (E.g., Min/Max Analysis)
What are the type and amount of financial savings expected?
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4. Min/Max Analysis
o What is a Min/Max Analysis?
• A quick calculation that asks “What’s the minimum or maximum benefits we can expect?”
 If the minimum (worst case) benefits are substantial, then it’s likely to be a worthwhile opportunity.
 If the maximum (best case) benefits are not substantial, then it’s probably not a worthwhile opportunity.
 If the opportunity “feels” to be small, then calculate the minimum; otherwise, calculate the maximum.
o Example: Issue Resolution (IR) project
• Problem: A call center has 6% of customers answer “I Don’t Know” (IDK) when surveyed if their
issue was resolved. It’s assumed these customers will be easier to convert to “Yes” than those
answering “No” and could significantly improve the Issue Resolution (IR) metrics.
• Min/Max Analysis: What’s the maximum IR benefit we can expect by converting an IDK to Yes?
• Conclusion: Cancel project since the maximum (unrealistic) benefit is smaller than expected.
Copyright © 2011-2019 by Matthew J. Hansen. All Rights Reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted by any means (electronic, mechanical, photographic,
photocopying, recording or otherwise) without prior permission in writing by the author and/or publisher.
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1. Impact to IR Rate
Max Benefit: IR would improve only 1% point
As Is To Be Diff
# of Surveys 100 100 0
Answer YES 80 86 6
Answer NO 14 14 0
Answer IDK 6 0 -6
IR (Yes/(Yes+No)) 85% 86% 1%
2. Impact to Call Volume
Max Benefit: Call Vol would decline 79K calls/yr
Calls/Mo
Answer IDK
Total IDK Calls
Callback Diff
Fewer Callbacks
Fewer Callbacks
Callback Savings
11,000,000
6%
Y = 11%; IDK=12%
Per Month
Per Year
$3/call
660,000
1%
6,600
79,200
$ 237,600

5. Practical Application
o What previous projects or analyses have you worked where you wish you had
performed a pre-assessment?
• How would a pre-assessment have made a difference?
• If you had done a pre-assessment, would your leadership have agreed to cancel it or change the
direction or scope of the project?
 If not, then what additional information would have influenced them to agree with the pre-assessment?
o What projects or analyses are you working now that should have a pre-assessment?
• If a pre-assessment revealed the opportunity is not worthwhile, would that make a difference?
Copyright © 2011-2019 by Matthew J. Hansen. All Rights Reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted by any means (electronic, mechanical, photographic,
photocopying, recording or otherwise) without prior permission in writing by the author and/or publisher.
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