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Analysis of the Components of Project Portfolio Management and Impact on Project Managers.

In: Business and Management

Submitted By korkian
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Analysis of the components of project portfolio management and impact on project managers.

Introduction
Organizations with mature portfolio management practices have higher rates of resilience to overcome business challenges (Rise above the competition with portfolio management, no date).
Project portfolio management (PPM) is a centralized management of practices, processes, methodologies and measuring techniques used for strategic pipeline flow, project prioritization, change management, resource management, portfolio evaluation and risk management.
The objective is to ensure that the strategic business objectives such as revenue growth, cost reduction, regulatory mandate, business continuity, among others, are achieved.

Key Components of project portfolio management
Strategic pipeline flow.
This component includes the processes of screening of project proposals and funneling them through the portfolio. Proposals which are developed from the agreed business strategies are screened and selected to go to the next phase of business case development. The business case is then examined and validated by all the relevant stakeholders and possibly external consultants. A decision is followed to include the project in the portfolio with a predetermined resource and timeframe in line with the strategic plan. The projects in the portfolio are monitored and assessed periodically whether they may continue, differ or stop based on their reported performance by the project team. Project managers have little to do with these processes. Executive managers are engaged the most in those processes ( Beringer, Jonas, and Georg Gemünden, 2012).
Project prioritization.
The prioritization process allows the organization to prioritize funding to those projects which are the most closely aligned with the business strategic objectives. Projects and programs are often evaluated...

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