Download - Portfolio optimization overview

Portfolio Optimization Overview

This presentation briefly covers key components of project portfolio management (PPM) and focuses on the four types of portfolio optimization


At the highest level, Project Portfolio Management has four basic components:

All the steps necessary to construct an optimal portfolio given current limitations and

constraints

Ensure value is delivered by comparing expected benefits

with actual benefits; drive PPM maturity

Processes to select the right projects that align with business

strategy and key criteria

Optimize

Portfolio Value

Project benefits must be protected in order to deliver

maximum portfolio value

Protect

Portfolio Value

Deliver

Portfolio ValueThe Goal:

Maximize value delivered to customers

and stakeholders

Define the Portfolio


Deliver

Portfolio ValueOptimize

Portfolio Value

Define the

Portfolio

Protect

Portfolio Value

Portfolio Analysis

Portfolio Risk Management

Manage Portfolio Value

Resource Capacity Management and Analysis

Improve Portfolio Maturity

Project Monitoring Lessons Learned

Portfolio Planning

PrioritizationIdeation

Portfolio BalancingWork In-take

Efficient Frontier AnalysisDecision Gates

Portfolio Communication


EFFICIENT FRONTIER ANALYSIS(Cost-Value Optimization)

Constraint: Budget

CAPACITY PLANNING(Resource Optimization)

Constraint: Human resource availability

PORTFOLIO BALANCING(Work Type Optimization)

Constraint: Categorical Designations

PROJECT SEQUENCING(Schedule Optimization)

Constraint: Timing and Dependencies

Optimize Portfolio Value

The GOAL is to deliver maximum business VALUE


The GOAL is to deliver maximum business VALUE

Prioritization

Capacity Planning

Portfolio Balancing

Project Sequencing

Cost-Value Optimization

Resource Optimization

Work Type Optimization

Schedule Optimization

MATURE ADVANCED


Project Priority 1

Project Priority 2

Project Priority 3

Project Priority 4

Project Priority 5

Project Priority 6

Time Now

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Schedule Priority(Portfolio Steering Team)

Priority Types