Strategic project portfolio management is an essential area of focus for most modern, multifaceted enterprises that have many different ventures and undertakings going on at the same time. By boosting their enterprise project portfolio management capabilities and adjusting their project management strategies and allocation of resources on an exacting quarterly schedule, rather than annually, a company can add more value to their enterprise. Considering the unstable and often precarious nature of so many crucial markets and the ongoing and rapid exchange of information between businesses and organizations across the globe, this type of corporate behavior is essential in the 21st century. Creating an effective portfolio management strategy can be daunting, and it won’t happen overnight, but there are many things your company can start doing today to get your projects in order and ensure the most return on your investments. Here are a few tips to get you started.
1. Consider Your Projects as Investments
While many practices for managing a financial portfolio may be leveraged for project portfolios there are key differences in managing an enterprise project portfolio effectively. Among the considerations are that financial portfolios are more liquid whereas project portfolios have limited windows for implementing changes. Secondly, project portfolios when restructured or realigned must consider sunk costs as there may be little to no value once a project has been removed from the portfolio. Financial advisors help their clients design a balanced investment portfolio with minimal risk by choosing investments that complement the client’s needs, goals and budget, after carefully analyzing the financial objectives and current situation of that individual. By combining research, best policy practices and informed asset allocation, financial advisors achieve equilibrium of high performance value and minimal risk to the investor. An experienced and knowledgeable portfolio management consultant should be able to do the same for your organization’s stable of projects and endeavors.
2. Use the Technology Resources You Have Available
There are many effective enterprise IT management solutions available to help your organization make better decisions about which projects to invest time, money and other resources in. These tools facilitate insights into a dynamic landscape – the interrelationships of projects & programs are subject to crossing paths by anticipating those conflicts their impacts can be minimized. Analytics tools can make the most of the information you have available to help your executives, team leaders and projects managers make more informed, and ultimately better, decisions. Project management software can be equally beneficial for the purposes of streamlining projects, gathering information to better understand returns on past investments and keeping teams on track. Technology can be used in many ways to make the most of every project your company invests time, money, staff and other resources in. With more data and better tools for segmenting and analyzing data, organizations can balance their strengths and weaknesses against the opportunities they have available, consider the possible return on project investments compared to the possible risks and better understand the successes and failures of their endeavors to make more strategic decisions in the future.
3. Don’t Underestimate the Stakes of Portfolio Management
Developing effective project portfolio management capabilities shouldn’t just be a far-off goal for your organization. Everyone must understand what’s at stake and begin implementing forward-thinking strategies as soon as possible to keep your enterprise growing rather than stagnating. Bringing an enterprise project portfolio management strategist onboard to help your organization move in the right direction may be the best way to create the kind of portfolio you need to achieve your goals profitably and with minimal risk. A seasoned expert will come prepared to help your organization create new strategies for project portfolio planning, portfolio management and project execution, so you can utilize your resources and predict necessary changes to achieve measurable return on investments and sustainable growth.
4. Get the Project Portfolio Management Services You Need
If you know your organization needs help managing its project portfolio and you’re ready to look for a business consulting firm to help achieve your organization’s goals, it would be in your best interests to think carefully about what your objectives are before seeking professional assistance. Consider what your primary goals are, determine where your strengths and weaknesses lie and pull together all the necessary data to make a well-informed plan. Then you’ll be ready to speak with a consultant, articulate your organization’s objectives and get the services you need to achieve them.