Project portfolio management is much more than the individual words alone suggest. It is a process by which project managers and their organizations can analyze the ROI of doing a project.
Project portfolio managers can use this process to evaluate and organize data into a collective piece of information and give senior executives accurate analyses so they can decide which new projects are worth investing in.
Being able to predict the outcome of one project or plan over another, allows companies to have greater control over their budgets and employee effort allocation.
- Executives can know the outcome of their project managers’ data
- Stakeholders get to stay in the know with solid information
- Project managers can easily connect with their teams
- Team members know what is going on overall so they can work more effectively
Implementing PPM is no easy process. There are five steps to take that require a slow, steady approach to see the process through:
#1 Decide what PPM means to you
PPM must be strategic and configurable in order to be effective.
#2 Build the PPM structure carefully
Change doesn’t have to be disruptive. Taking a top-down approach allows for seamless integration.
#3 Decide where it will start and end
Typically, you will start with idea generation and end when the desired results are achieved.
#4 Put it where it belongs
PPM requires a major shift and everyone must not only agree with it but agree to be willing to get others to buy into it.
#5 Ensure consistency
Be patient. If you know PPM Is the way to go, keep at it by ensuring expectations are clear and everyone understands the end goal.