Establishing a closed-loop "ecosystem" for managing projects can break down the walls between corporate strategy and execution, improve change and risk management, and deliver increased ROI. Sounds like method mumbo-jumbo? In this exclusive series, a chief portfolio officer shares how his organization made it reality.
This is the first in a series of articles on how companies can take advantage of enterprise portfolio management techniques to increase their return on internal investments by creating a "closed-loop" ecosystem for selecting and executing projects. This article provides an overview of the method and how companies can deploy a closed-loop approach. More in-depth articles on each of the method's main components will follow.
One of the biggest challenges facing every corporation is the task of translating corporate strategy into tangible activities, which can be executed to deliver the desired business benefits. A number of factors underlie this challenge.
In most organizations, the senior leadership team that shapes corporate strategy, the managers who approve internal spending and the teams that oversee project execution are based in different parts of the company. Business leaders are located across a range of business units and corporate management positions, while project management personnel can often be found in the IT department.