This paper formulates the selection of information systems (IS) projects as a multicriteria analysis problem, and presents a fuzzy approach for effectively solving the problem. Linguistic variables approximated by fuzzy numbers are used to represent the subjective assessments of the decision maker so that the uncertainty and imprecision inherent in the selection process is adequately handled in a cognitively less demanding manner. The degree of optimality is used to defuzzify the weighted fuzzy performance matrix so that the complex and unreliable process of comparing fuzzy utilities is avoided. The concept of ideal solutions is applied for calculating the overall performance index for each alternative IS project across all criteria. As a result, effective decisions can be made. An example is presented that shows the approach is simple and effective for solving the IS project selection problem in real world settings.