The rapid technological changes in the cement industry of the past decades have led to an increasing number of research and development (R&D) projects. Due to limited resources, it is not possible to invest in all R&D projects. In order for optimal investment decision-making for R&D projects, this research is therefore to analyze R&D project portfolio selection model which consists of 3 major goals of project portfolio management: (1) To maximize value of project portfolio, (2) To balance project portfolio, and (3) To align project portfolio with the business strategy. In particular, the study aims to generate a model for R&D project portfolio selection which is suitable for operation under specific terms and conditions for R&D projects of the case study. With regard to the methodologies, the research starts with conducting data collection and analysis of the case study where the structure of the model can be divided into 4 processes, which are (1) Primary interviews with the expertise to determine the criteria for project portfolio selection, (2) Calculation of the weighted criteria by using analytic hierarchy process, (3) Prioritization of the projects according to the expertise’s assessment, and (4) Selection of R&D project portfolio with the application of the integer programming with the purpose of maximize the strategic value of the case study. Referring to the research, the result is analyzed using sensitivity analysis, efficient frontier, and strategic alignment methods. The findings of the model validation and verification investigated by the representative researchers indicate that the total quality satisfaction of the model is 78.33% and the total usability satisfaction of the model is 80%.
