How to Anchor Organizations to Business Strategy using Project Portfolio Management
The key to anchoring organizational strategy through portfolio management is to ensure that at all levels of the organization strategic objectives are known and are measured accordingly. Projects, operations, and programs must be measured against the delivered value and return on those investments; it is required to quantify the expected benefits of each component of the portfolio. I do not mean that only financial metrics are the key. However, it is important that the value of the organization is represented by metrics and that these indicators are broken down at every level within the organization. This is a way to link strategy development with strategy execution and to anchor business strategy using portfolio management.
The great challenge of portfolio management is to quantify and report the value created by the operations, thus confirming that the portfolio is contributing to the accomplishment of organizational strategies.
Portfolio management is the effective and centralized management of projects, programs, and operations in order to align them with business strategy and generate value for the organization. By implementing portfolio management, a project’s or program’s priorities are identified, investment decisions are made, resources are allocated, and the overall performance of the portfolio is monitored.
On paper, this
Please log in or sign up below to read the rest of the article.