ABSTRACT
Deceleration in global economic growth and crude oil incremental supply have brought about a decline in oil price in the global market since mid–2014. International oil and gas companies, including PHE ONWJ, had to rationalize their company’s long-term business strategy to maintain the positive bottom line of their financial balance sheet. The lower level of budget availability had a significant impact on the current balance of project portfolio composition. The critical question at that time was how to prioritize certain components of the original project portfolio in order to establish a new portfolio balance which can produce the maximum benefits for achieving the company’s goal. As one of multi-criteria decision making methods, the Analytic Hierarchy Process (AHP) was selected as a tool for dealing with complex decision making process to develop a prioritization model. To obtain an optimum composition of the project portfolio, available resource allocation methods are also applied to find the best combination of alternatives within the available budget.
