Life Long Learning Akademija

Introduction to Advanced Project Portfolio Management

• Participant and instructor introduction and expectations
• Workshop objectives
• Workshop structure – modules and approach
• How project portfolio management is positioned relative to project management, the PMO and strategic planning
• “Advanced” – what is new and important in portfolio management
• Portfolio exercise – first try, debriefing, lessons learned

The Eight Step Process – Steps 1 to 3

• Step 1 - Collect, report and complete the Project portfolio
• Cost/Benefit analysis – Is the Project portfolio healthy?
• Portfolio exercise – Second try, debriefing, lessons learned
• Step 2 - Develop the Goal, Resource and Asset portfolios
• Step 3 - Link Project, Goal & Asset portfolios & assess
• Portfolio exercise – Third try, debriefing, lessons learned

The Eight Step Process – Step 4, Balancing the Portfolio

• Portfolio balance concepts
  • Opportunity vs. risk
    • Templates – Opportunity and Risk
      • Opportunity Ranking factors
        • Organization goals
        • Customer / Market impact
        • Competitive, legal or other urgency
        • NPV per strategic resource unit
        • Short, Medium or Long Term
      • Risk Ranking
        • Product / Service Quality, Catastrophe potential
        • Marketing
        • Financial
        • Technical Risk
        • Feasibility
        • Complexity
    • Rank projects according to templates only, exercises and debriefing
  • Market side vs. supply side
  • Research vs. development
  • Infrastructure or process vs. meeting current period goals
  • Short term vs. long term
  • Balancing allocation to the asset portfolio
  • Balancing across functional areas – what makes sense?
• Step 4 - Assess portfolio balance
• Portfolio exercise – Fourth try, debriefing, lessons learned

Multi-Project Management – Matching Active Projects to Capacity

• Multitasking simulations
• Staggering projects according to the strategic resource
• Multi-project Critical Chain
• Multi-project executive and management reporting

The Eight Step Process – Steps 5 through 7

• Step 5 - Determine the organization’s project capacity
• Portfolio exercise – Fifth try, debriefing, lessons learned
• Step 6 - Suggest a prioritization according to accepted criteria / organization goals and capacity
• Step 7 - Develop recommendations for accelerating projects / improving ROI
• School example exercise, recommendations

The Eight Step Process – Step 8 – The Governance Meeting

• Preparing for a Governance meeting – Submissions, what-if analysis, impact on existing environment, status of current portfolio
• Operations planning and budgeting
• Prioritization, Selection, finding and allocating resources, initiating
• Deactivating / Terminating
• Step 8 - Facilitate the governance meeting, Agenda
• Pre and post meeting communications

Strategy – Choosing the Right Project Mix

• Generic definition of a “good strategy”
• Problems with current strategic planning processes
• The connection between strategy, initiatives and the Project Portfolio
• The starting point - identifying the supply chain constraint
• Exercise – Correct initiatives based on supply chain constraint
• The process to gain executive commitment to minimum projects
• Moving from the supply-side to the market-side

Selling Executives on the Correct Project Portfolio Management Model

• Recognizing the problem
• Recognizing the executive role in the problem
• Overcoming the resistance to change
• Gaining necessary involvement, support and active governance

 What Next? The Road Map to Ongoing Improvement

• The Five Focusing Steps
• Improving project portfolio performance
• Cycle time acceleration
• NPV per strategic resource unit, # of projects
• Methodology – Quality and Risk
• Pareto Principal
• Six Sigma, Lean, TOC, Deming
• Eliminating waste