Overview

Project Portfolio Management (PPM) refers to a process used by project managers and project management organizations (PMOs) to analyze the potential return on undertaking a project. By organizing and consolidating every piece of data regarding proposed and current projects, project portfolio managers provide forecasting and business analysis for companies looking to invest in new projects.

As organizations reach higher levels of maturity in managing projects individually, they shift their focus to managing them collectively as a project portfolio. This transition seems to occur when you realize that projects are investments – not expenditures – requiring justification that they are aligned with organizational goals and will create value for the owners and other stakeholders of the organization. Managing project investments collectively brings coherence to implementing the strategic as well as operational initiatives and helps the organization create sustainable value in the long run. This course offers tools, techniques, and best practices for managing project portfolios. It presents a “how-to” methodology to design, build, and manage a portfolio.

Who should attend…?

• Senior executives responsible for organizational strategy
• Managers responsible for developing organizational strategy or for making strategic recommendations
• Portfolio managers, project managers, and program managers
• Members of portfolio, program, or project offices
• Operational managers who are impacted or impact portfolios
• Project team members, customers, and other stakeholders of the portfolio management process

Course Content

Day 1

Portfolio Management Basics and Foundations

• Definitions and Differences: Project, Program and Portfolio
• Portfolio Triple Constraint
• Why Project Portfolio Management?
• Practical Challenges in Executing PPM
• Organizational Project Management
• Portfolio Management and Organizational Strategy
• Roles and Responsibilities of a Portfolio Manager
• PMI View of Portfolio Management

Day 2

PPM Methodology and Portfolio Design

• Funnel & FiltersSM: A Portfolio Model
• Project Portfolio vs. Financial Portfolio
• PPM Methodology: Phases and Processes
• Portfolio Design

• Portfolio Benchmarks
• Portfolio Contingencies
• Portfolio Design Requirements
• Portfolio Balance

Day 3

Portfolio Construction Monitoring & Control

• Initial Portfolio Creation
• Initial Portfolio Calibration
• Portfolio Construction Processes

• Project Business Plan
• Why Terminate a Project?
• Sunk Cost Fallacy & Dilemma
• Portfolio Balancing
• Portfolio Assessment

Day 4

Portfolio Measurements & Metrics

• Success Measurements
• Outcome & Performance Measures
• Portfolio Metrics
• Project Metrics
• Project Prioritization

• Efficient Frontier
• Weighted Scoring Models
• Forced Ranking
• Paired Comparison
• Project Evaluation

• Cost of Capital
• Measuring Financial Benefits
• Measuring Non-financial Benefits
• Data Visualization Tools

Day 5

Portfolio Risk Management

• Uncertainty vs. Risk
• Portfolio Risks
• Decision Trees
• Monte-Carlo Simulation
• Sensitivity Analysis
• Resource Allocation

• Rolling Wave Planning
• Factors Affecting Resource Availability
• Resource Allocation Tools
• PMO