Def Portfolio
Collection of current and future Projects, Programs, subsidiary Portfolios and operations managed as a Group to achieve strategic objectives. Portfolios have a greater longelivity and management attention than programs (limited duration)
Def Program
Group within a Portfolio, include related projects, subsidiary programs … managed in a coordinated manner to obtain benefits not available from managing them individually.
Features of Portfolio Components (5)
- Link to strategic goals
- investment priorities
- management and governance to allocate and share ressources (human, financial, …)
- quantifiable (evaluated, measured, ranked, prioritzed)
- ability to be directed or controlled to accomplish value
Def Portfolio Management
centralized management of one or more portfolios to achieve strategic objectives by application of portfolio management principles
Focus of portfolio management
balancing of conflicting demands among portfolio components, allocating ressources and integrating management principles to deliver business value alligned with the strategic objectives
Focus of program management
achieving the intended benefits and business outcomes for the program within cost and scedule
Principles of portfolio management (8)
- achieve excellence in strategic execution
- enhance transparency, responsibility, accountability, sustainability and fairness
- Balance portfolio value vs. overall risk
- ensure that investments in portfolio components are alligned with the organisation´s strategy
- obtain & maintain the engagement of senior management & key stakeholders
- exercise leadership for the optimisation of resource utilisation
- foster change & risk culture
- navigate compexity to enable successful outcomes
Def organisational strategy
goals & policies that provide the overall direction and focus of the organisation and plans & actions to achieve those goals
Def organizational project management (OPO)
framework in which portfolio, program and project management are integrated with organizational enablers in order to achieve strategic objectives
portfolio management performance domains (6)
- Portfolio Governance
- Portfolio Capacity and Capability Management
- Portfolio Stakeholder Engagement
- Portfolio Value Management
- Portfolio Risk Management
- Portfolio Strategic Management
Portfolio Life Cycle (4)
- Initiation
- Planning
- Execution
- Optimization
Program Management Performance Domains (5)
- Program Strategy Alignment
- Program Benefits Management
- Program Stakeholder Engagement
- Program Governance
- Program Life Cycle Management
Def Project Management
application of knowledge, skills, tools and techniques to project activities to meet project requirements by providing the project deliverables
general/ abstract Roles of Portfolio Managers (4)
- Architect
- enabler
- faciliator of portfoliomanagement principles, processes and practises
- portfolio analyst
needed areas of expertise for portfolio managers (7)
- Portfolio strategic management & alignment (financial & nonfinancial & business analysis)
- portfolio management methods & techniques
- stakeholder engagement (communication to and between stakeholders)
- leadership & management skill (eg mentoring, coaching, motivating, training)
- risk management (internal & external)
- organisational change management (change readiness)
- system thinking (top down & bottom up)
concrete roles of portfolio managers (9)
- Sponsors
- Portfolio governance body
- PMO: portfolio, program & project management office
- portfolio analyst
- program manager
- project manager
- change control board
- program and project team members
- subject matter expert, business analyst, functional managers
Def sponsor
a person or group who provides ressources and support for the portfolio. sponsors champion the approval of portfolio (components) and are accountable for the ultimate success of the portfolio
Def Portfolio governance
the framework, functions and processes … to guide portfoliomanagement activities and make decisions about investment and priorities… to sustain the organisation
Def PMO
portfolio, program, and/or project management office. The PMO supports PPP functions
what does a enterprise PMO (EPMO) do? (8)
- identifying, analyzing, coordinating, negotiating, monitoring and controlling of portfolio Components
- developing and maintaining PPP frameworks and methodologies
- managing project management know how incl. good practises and lessons learned
- providing program and project progress- information eg with KPIs
- managing including monitoring and controlling across the entire portfolio
- assist with risk strategy developement & risk identification
- coordinating communication across portfolio components
- developing and conducting training and mentoring in portfoliomanagement skills, tools & techniques
Content of the PMI Talent Triangle (3)
- technical project management skills
- leadership capabilities
- strategic and business management expertise
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1. Introduction21
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2. Portfolio Life Cycle15
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3 Portfolio Strategic Management17
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4 Portfolio Governance12
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5 Portfolio Capacity and Capability Management19
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6 Portfolio Stakeholder Engagement10
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7 Portfolio Value Management15
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8 Portfolio Risk Management8
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Glossary85
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Portfolio Management Processes 3rd ed89
