ADL Matrix Life Cycle Portfolio Software (Strategic Analysis, Management); The ADL matrix from Arthur D. Little is a portfolio management method that is based on product life cycle thinking.

The ADL portfolio management approach uses the dimensions of environmental assessment and business strength assessment. The environmental measure is an identification of the industry's life cycle. The business strengths measure is a categorization of the corporation's SBU's into one of five competitive positions:

a) dominant

b) strong

c) favorable

d) tenable

e) weak (and non-viable)

This yields a 5 (competitive positions) by 4 (life cycle stages) matrix. Positioning in the matrix identifies a general strategy.

[Known limitations of the ADL matrix include: a) There is no standard length of life cycles, b) Determining the current industry life cycle phase is awkward, c) Competitors may influence the length of the life cycle].

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