Portfolio management is new concept specially in the emerging countries that they still adopt the cascading approach of their corporate strategies into departmental/functional strategies and by the manner that injecting the portfolio management will contradict and overlap heavily with the initiative management. How we can have practical hybrid model that combine initiatives and portfolios management in a consistent and integrated approach ? Saving Changes...
It is really hard to answer. it has to do with too many factors including organizational culture, type of projects, lessons learned, etc. However, everything starts with training. You should directly or indirectly let them know the benefits and make them familiar with the concepts. Saving Changes...
Thomas WalentaGlobal Project Economy ExpertHackenheim, Germany
Hamza,
done it for a German medium business.
The trick was to let them prioritize on division base as before ('tactical portfolio') but to make them agree there is a 'strategic portfolio' across all divisions. So you can start with giving this strategic portfolio 20-30% of funding (the CFO immediately wanted more) and let them agree on these joint priorities.
Leave out any resource management on strategic/tactical levels at this stage, the focus is to make them agree on criteria and priorities, beyond their division targets.
Here's a slide deck
www.slideshare.net/walenta/a-3layer-project-portfolio-system-to-align-traditional-and-agile-projects Saving Changes...
Hamza,
In a functional organization, portfolios can be initiatives which span multiple functions. If the business has initiatives such as reducing cost or takt time, those are often applicable across all functions. You may then develop a portfolio of projects gathered across all the functions where you are investing in improving those specific measures.
Some projects in the portfolio may only involve a single function, while others might be broader and require compromises to meet a greater goal such as spending more effort than before in one function, to obtain a larger benefit in others. Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
Portfolio management is a set of functions or process (obvious). First thing is to understand why is needed. Functions/Process are defined into organizations as a need to survive, growth and develop. Then, first thing to do, is to define what portfolio management functions/process you need to put the strategy in place. With that on hand, you will find that portfolio management is "cross-functional". I mean, in a functional organization you will find silos but portfolio can help to integrate those silos. The hard component in portfolio management is demmand management: everybody inside the organization will ask for doing something but portfolio manager must align it to strategy and available resources. If you solve demmand management then you will not have problem to implement porfolio management. Saving Changes...
