Previous research has mainly investigated innovation management in large companies. Additionally, while there is a substantial body of research on instruments for evaluating individual innovation projects, the potential for evaluating the interdependences between several innovation projects is often neglected. In this paper (1) presents a framework for Innovation Portfolio Management in SME. For the analysis, data was collected through in-depth case studies and a comprehensive document analysis. Moreover, (2) introduces an innovative tool for evaluating interdependences between several innovation projects. We tested the benefits of this new approach in a pilot project.