This presentation discusses Procter & Gamble's journey to improve its portfolio management process. It began with decentralized project management and a bottom-up approach. P&G transitioned to a more top-down, program-centric structure with the goals of operationalizing strategy, simplifying processes, and creating mutual benefit between business units and IT. The new process focuses portfolio planning and execution around programs and measuring benefits realization. It has led to better strategic alignment, time savings, and management visibility. The presentation recommends further integrating programs into portfolio management and bringing portfolio managers into the project management office.
Highlights of Journey:
Importance of Program Management (including benefits management and tracking)
Briefly about Portfolio Management and How we think about portfolio managers
Our Purpose comes to life in our brands and products, which improve people’s lives every day.
21 Billion dollar brands.
11 $550MM + many $1B potential
Wife never takes me shopping- I like to fix the shelves.
Largest consumer packaged goods company in the world (as measured by market capitalization).
195 countries in the world
Selling & Marketing. Regions. People who sell to customers that then sell to you the consumer.
Business Units- Who we sell products through and produce producets
Lean corporate functions and largest shared service is GBS
We take a service-centric view of the world or product-centric view of the world and have for a number of years. Long-standing business capabilities is how we are structured.
Six hubs around the world
Holistic Services- Employee and business
Services
Centralized- One services organization
Can see some of the metrics here for how GBS & IT operate Means bias for simple and scalre
Culturally- push decisions down in the organization- cultural freedom to do things our own way
Operationalize the strategy, while driving simplification in our processes.
Adopt industry standard best practices
Bias for out-of-the-box
Live within the constraints of chosen tool
All Service Lines and partners are in
Standard processes endorsed by leadership
Simplification & productivity
Data quality is more important than quantity
Data must advance a workflow or enable a decision
Simple workflows driving action or decisions
Right size process rigor to relative risk and strategic importance
Don’t make users re-key data that is stored somewhere else
Simple security & controls – “adult business deal”
When there are trade offs, simplify for many in favor of the few
Program: Deliver outcomes and benefits related to an organization’s strategic objectives by determining, coordinating, directing and overseeing the implementation of a set of related projects that are necessary to deliver those outcomes.
Projects: Discrete capabilities/output
Business Operations- realizing benefits
Highlights to follow
Focus on benefits
Measure whether they were achieved
Business cases for both programs and projects but programs come first
Additional benefit- fewer cases early should enable better written business cases
CEB now part of Gartner
Not too different than us, although moving away from this
Build is all about having the right choices to deliver the strategy & avoid the shiny objects
Is necessary value being delivered for projected costs
Key risks to delivering value
Change requests to portfolio
Key resource constraints on the horizon?
Published monthly
Let’s continue the conversation.
Presentation not posted, so reach out to me if you would like it