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© 2016 Opptiv LLC Proprietary www.opptiv.com© 2016 Opptiv LLC Proprietary
www.opptiv.com
#StrategicPortfolioManagement
Make the value leap to an INVESTMENT mindset.
Executive Briefing
Invest with Confidence.
© 2016 Opptiv LLC Proprietary www.opptiv.com
Executive Briefing
Executive Briefings are exclusive introductory sessions for Senior Executives and/or direct
reports in diverse industries where we present a common challenge, introduce best practice
solutions and facilitate discussions.
Overview Description
At Opptiv, we do ONE thing:
We help companies invest in the
future with confidence through
purpose-built strategic portfolio
management software,
processes and services.	
  
The Executive Briefings defines the key principles, core and supporting operating processes
and underlying metrics associated with investment governance, Strategic Portfolio
Management and related management disciplines.
Overview Content Description
Visit us at.
www.opptiv.com
E-mail us
info@opptiv.com
Call us toll-free
855-806-3760
All Rights Reserved. All text, images, graphics and other materials in this printed material are
subject to the copy-right and other intellectual property rights of Opptiv LLC or their
respective owners. These materials may not be reproduced, distributed or modified without
the express written permission of Opptiv LLC or their respective owners. The marks appearing
in this material including, but not limited to logos, emblems, slogans and names are
trademarks of Opptiv LLC, its subsidiaries, affiliates and licensors. The information contained in
this publication has been obtained from sources believed to be reliable. Opptiv LLC disclaims
all warranties as to the accuracy, completeness or adequacy of such information and shall have
no liability for errors, omissions or inadequacies in such information. This publication consists
of the research and experiential opinions of Opptiv LLC and should not be construed as
statements of fact. The opinions expressed herein are subject to change without notice. Any
similarities or adaptation to other marks are referenced under the fair use provisions. All
trademarks are the property of their respective owners.
Overview Contact us to learn more.
Overview Disclaimers, Warranties and Permissions.
© 2016 Opptiv LLC Proprietary www.opptiv.com
Meet
Team A…
SBU
We focus on
short-term
performance and
operational
efficiencies.
© 2016 Opptiv LLC Proprietary www.opptiv.com
Meet
Team B…
©	
  2016	
  Opp)v	
  LLC	
  
What’s
Next?
STRATEGY
R&D
PRODUCTM&A
FINANCE
© 2016 Opptiv LLC Proprietary www.opptiv.com
CFO
CEO
BOARD
©	
  2016	
  Opp)v	
  LLC	
  
Meet the
Teams’
bosses…
We need to
invest in
operating AND
growing the
company.
© 2016 Opptiv LLC Proprietary www.opptiv.com
So, what happens
when it's time to
invest finite
resources?
© 2016 Opptiv LLC Proprietary www.opptiv.com
Where to
invest?
How
much?
Are we
making
progress?
Strategic guesswork.
©	
  2016	
  Opp)v	
  LLC	
  
©	
  2016	
  Opp)v	
  LLC	
  
Where
are our
risks?
© 2016 Opptiv LLC Proprietary www.opptiv.com
So, what’s the problem?
© 2016 Opptiv LLC Proprietary www.opptiv.com
Investments are spread across
“competing” interests…
STRATEGY
M&A
R&D
PRODUCTFINANCE
OPERATORS
© 2016 Opptiv LLC Proprietary www.opptiv.com
…with poor
visibility
caused by
outmoded
tools and
ad hoc
processes...
The GANTT Chart
The Spreadsheet
©	
  2016	
  Opp)v	
  LLC	
  
© 2016 Opptiv LLC Proprietary www.opptiv.com
92 percent of CEOs and 88 percent
of strategist say communications is
critical to the success of
their strategic initiatives …
Firms that actively reallocated capital expenditures
across business units achieved an average
shareholder return 30% higher than the average
return of companies that were slow to shift funds.
In organizations the focus is now
shifting to what is competitive
advantage…that makes the
success of the planned
investments more important...
61 percent of respondents admit that their
firms often struggle to bridge the gap
between strategy formulation and its
day-to-day implementation.
Failure to align and coordinate across
units is the greatest challenge to
executing strategy .
…and the strategic stakes are
getting even higher.
© 2016 Opptiv LLC Proprietary www.opptiv.com
What’s the solution?
© 2016 Opptiv LLC Proprietary www.opptiv.com
7 Key Principles
Make the value leap to
an INVESTMENT mindset
with strategic portfolio
management.
© 2016 Opptiv LLC Proprietary www.opptiv.com
1 With an investment mindset, the basic “project” unit of management
becomes the inherently more strategic with “investments” as the basic
unit. An investment approach begins with viewing business units,
initiatives, or strategic opportunities not as independent entities, but
as logical portfolios of investments. This holistic view is a pre-condition
for the value-based dialogue, decision-making, day-to-day investment
management and governance that maximize value and performance
across the portfolio.
Shift from
projects to
portfolios.
© 2016 Opptiv LLC Proprietary www.opptiv.com
2 Successful companies make strategic choices about where and how
much to invest their finite resources in order to realize their strategic
ambitions. With an investment mindset, companies are equipped to
operationalize those choices by informing the difficult trade-offs
between what to do and what not to, and rationalizing investment
resources between existing sources of revenue and emerging revenue
streams in ways that are most closely aligned with strategic success.
Translate strategy
into investment
choices.
© 2016 Opptiv LLC Proprietary www.opptiv.com
3 Companies with investment mindsets can use the power of strategic
portfolio management to maximize the performance and value of
their investment portfolios by maximizing returns per unit of risk. The
principle of risk-return optimization involves maximizing upside
revenue capture, while minimizing downside risk exposure by
quantifying (in financial terms) the material risks associated with
investments, providing insight into the volatility inherent in those
investments, and actively mitigating and exploiting risks in ways that
turn them into new sources of opportunity.	
  
Turn risk elimination
into risk-return
optimization.
© 2016 Opptiv LLC Proprietary www.opptiv.com
4 At the end of the day, "it's all about execution”. With an investment
mindset, execution means taking preemptive action to reallocate
resources, adjust course and optimize the portfolio - the opposite of
passive management or reacting to competitor moves. Companies
can apply active management and promote preemptive action by
using value-based metrics and leading indicators to monitor the real-
time performance and health of individual initiatives and in
aggregate across the investment portfolio. 	
  
Achieve superior
execution through
active management.
© 2016 Opptiv LLC Proprietary www.opptiv.com
5 Even after discovering the need for it, many companies don't adjust
to changing business conditions, choosing instead to stay locked
into unattractive businesses, low-value opportunities, or poorly
performing initiatives. Investment-minded companies can help
overcome this behavior through the principle of “optionality”.
Borrowing from the financial industry concept of "real options” and
applied to portfolio execution, this proven management concept
provides senior business leaders with options - the “right”, but not
the “obligation” to invest, or continue to invest in strategic initiatives
based on changing business circumstances.	
  
Exercise real
options to adjust
to change.
© 2016 Opptiv LLC Proprietary www.opptiv.com
6 Responsibility for strategic and commercially-focused initiatives, and
the investment resources that they require, is often spread across
multiple organizations such as corporate strategy, finance, M&A,
product, R&D or individual business units. With an investment
mindset, companies can integrate these disparate pools of
investments, and bridging critical governance and organizational
gaps. With this principle, companies gain a higher level of
transparency across the investment life-cycle, allowing CEOs, CFOs,
Boards and senior business leaders to make decisions that make the
whole greater than the sum of the parts.	
  
Make the whole
greater than the
sum of the parts.
© 2016 Opptiv LLC Proprietary www.opptiv.com
7 Next-generation strategic initiatives, revenue streams and growth
platforms are expected to deliver multiple times their actual capital
investment in returns. Communicating value and measuring
performance in this context requires management in business terms
vs. project terms. With an investment mindset, companies can
expand their visibility and management focus beyond the traditional
costs, schedule and scope of project management to also
incorporate the financial, risk, strategy and execution controls to paint
a more complete portfolio picture, and answer critical governance
and value questions over the investment life-cycle.	
  
Communicate in
the language
of business.
© 2016 Opptiv LLC Proprietary www.opptiv.com
7
6
5
4
3
2
1 Shift from projects to portfolios.
Translate strategy into investment choices.
Turn risk elimination into risk-return optimization.
Achieve superior execution through active management.
Exercise real options to adjust to change.
Make the whole greater than the sum of the parts.
Communicate in the language of business.
© 2016 Opptiv LLC Proprietary www.opptiv.com
So, what happens when
companies make the
value leap?
© 2016 Opptiv LLC Proprietary www.opptiv.com
They can INVEST in the future with
CONFIDENCE.
Opportunities Risk-Return
Strategy Execution
Strategic Portfolio Management
©	
  2016	
  Opp)v	
  LLC	
  
$
© 2016 Opptiv LLC Proprietary www.opptiv.com
Opptiv is an award-winning strategic portfolio management company based in Washington, DC. At Opptiv,
we do one thing: work across industries and across the globe to help companies realize the transformative and
strategic power of portfolio management. To match the complexity and urgency of our mission, we provide the
industry's only purpose-built, cloud-based software, processes and consulting services dedicated to helping you
operationalize this powerful concept as the engine for strategic growth and enterprise value creation.
Our Featured Solutions: Accelerate time-to-value.
© 2016 Opptiv LLC Proprietary www.opptiv.com
Visit us to learn more and downlaod more content today!
Visit us to set up a consultation.
www.opptiv.com
E-mail us
info@opptiv.com
Call us toll-free
855-806-3760
© 2016 Opptiv LLC Proprietary www.opptiv.com
™	
  
OpptivEnterprise™ is cloud-based strategic portfolio management software. Unlike traditional project-based or
IT portfolio management tools, this next-generation portfolio management platform was built from the ground up
to speak the financial and commercial language that CEOs, CFOs, Boards and other stakeholders understand and
really care about.
UNMET NEED UNMET NEED REVENUE STREAM DIS-INVEST STATUS
KPI
MILESTONE
RISKSATURATED
FIND
"See the things that matter"
SHAPE
"Do the right things"
CAPTURE
"Do the right things right"
How does OpptivEnterprise™
Work? PORTFOLIO EXCELLENCE IN THE CLOUD.
If you work in strategy, finance, M&A, product or R&D, OpptivEnterprise provides the visibility that you need to
build and actively manage your portfolio of next-generation strategic opportunities, revenue streams and growth
platforms with confidence. It’s comprehensive, yet intuitive and ready to use on day one. It works the way you want,
to translate the concepts that you already know into the value-based visual language that you need to succeed.
© 2016 Opptiv LLC Proprietary www.opptiv.com
QuickStart™ Proof of Concept
Strategic Portfolio Management (SPfM)
Visit us to set up a consultation.
www.opptiv.com
E-mail us
info@opptiv.com
Call us toll-free
855-806-3760
Jump-start your Strategic Portfolio Management initiative today!
VISUAL PORTFOLIO REVIEW.
Powered by OpptivEnterprise™
Strategic Portfolio Management Software
©	
  2016	
  Opp)v	
  LLC	
  
©	
  2016	
  Opp)v	
  LLC	
  
© 2016 Opptiv LLC Proprietary www.opptiv.com© 2016 Opptiv LLC Proprietary
www.opptiv.com
#StrategicPortfolioManagement
Make the value leap to an INVESTMENT mindset.
Executive Briefing
Invest with Confidence.

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Invest with confidence

  • 1. © 2016 Opptiv LLC Proprietary www.opptiv.com© 2016 Opptiv LLC Proprietary www.opptiv.com #StrategicPortfolioManagement Make the value leap to an INVESTMENT mindset. Executive Briefing Invest with Confidence.
  • 2. © 2016 Opptiv LLC Proprietary www.opptiv.com Executive Briefing Executive Briefings are exclusive introductory sessions for Senior Executives and/or direct reports in diverse industries where we present a common challenge, introduce best practice solutions and facilitate discussions. Overview Description At Opptiv, we do ONE thing: We help companies invest in the future with confidence through purpose-built strategic portfolio management software, processes and services.   The Executive Briefings defines the key principles, core and supporting operating processes and underlying metrics associated with investment governance, Strategic Portfolio Management and related management disciplines. Overview Content Description Visit us at. www.opptiv.com E-mail us info@opptiv.com Call us toll-free 855-806-3760 All Rights Reserved. All text, images, graphics and other materials in this printed material are subject to the copy-right and other intellectual property rights of Opptiv LLC or their respective owners. These materials may not be reproduced, distributed or modified without the express written permission of Opptiv LLC or their respective owners. The marks appearing in this material including, but not limited to logos, emblems, slogans and names are trademarks of Opptiv LLC, its subsidiaries, affiliates and licensors. The information contained in this publication has been obtained from sources believed to be reliable. Opptiv LLC disclaims all warranties as to the accuracy, completeness or adequacy of such information and shall have no liability for errors, omissions or inadequacies in such information. This publication consists of the research and experiential opinions of Opptiv LLC and should not be construed as statements of fact. The opinions expressed herein are subject to change without notice. Any similarities or adaptation to other marks are referenced under the fair use provisions. All trademarks are the property of their respective owners. Overview Contact us to learn more. Overview Disclaimers, Warranties and Permissions.
  • 3. © 2016 Opptiv LLC Proprietary www.opptiv.com Meet Team A… SBU We focus on short-term performance and operational efficiencies.
  • 4. © 2016 Opptiv LLC Proprietary www.opptiv.com Meet Team B… ©  2016  Opp)v  LLC   What’s Next? STRATEGY R&D PRODUCTM&A FINANCE
  • 5. © 2016 Opptiv LLC Proprietary www.opptiv.com CFO CEO BOARD ©  2016  Opp)v  LLC   Meet the Teams’ bosses… We need to invest in operating AND growing the company.
  • 6. © 2016 Opptiv LLC Proprietary www.opptiv.com So, what happens when it's time to invest finite resources?
  • 7. © 2016 Opptiv LLC Proprietary www.opptiv.com Where to invest? How much? Are we making progress? Strategic guesswork. ©  2016  Opp)v  LLC   ©  2016  Opp)v  LLC   Where are our risks?
  • 8. © 2016 Opptiv LLC Proprietary www.opptiv.com So, what’s the problem?
  • 9. © 2016 Opptiv LLC Proprietary www.opptiv.com Investments are spread across “competing” interests… STRATEGY M&A R&D PRODUCTFINANCE OPERATORS
  • 10. © 2016 Opptiv LLC Proprietary www.opptiv.com …with poor visibility caused by outmoded tools and ad hoc processes... The GANTT Chart The Spreadsheet ©  2016  Opp)v  LLC  
  • 11. © 2016 Opptiv LLC Proprietary www.opptiv.com 92 percent of CEOs and 88 percent of strategist say communications is critical to the success of their strategic initiatives … Firms that actively reallocated capital expenditures across business units achieved an average shareholder return 30% higher than the average return of companies that were slow to shift funds. In organizations the focus is now shifting to what is competitive advantage…that makes the success of the planned investments more important... 61 percent of respondents admit that their firms often struggle to bridge the gap between strategy formulation and its day-to-day implementation. Failure to align and coordinate across units is the greatest challenge to executing strategy . …and the strategic stakes are getting even higher.
  • 12. © 2016 Opptiv LLC Proprietary www.opptiv.com What’s the solution?
  • 13. © 2016 Opptiv LLC Proprietary www.opptiv.com 7 Key Principles Make the value leap to an INVESTMENT mindset with strategic portfolio management.
  • 14. © 2016 Opptiv LLC Proprietary www.opptiv.com 1 With an investment mindset, the basic “project” unit of management becomes the inherently more strategic with “investments” as the basic unit. An investment approach begins with viewing business units, initiatives, or strategic opportunities not as independent entities, but as logical portfolios of investments. This holistic view is a pre-condition for the value-based dialogue, decision-making, day-to-day investment management and governance that maximize value and performance across the portfolio. Shift from projects to portfolios.
  • 15. © 2016 Opptiv LLC Proprietary www.opptiv.com 2 Successful companies make strategic choices about where and how much to invest their finite resources in order to realize their strategic ambitions. With an investment mindset, companies are equipped to operationalize those choices by informing the difficult trade-offs between what to do and what not to, and rationalizing investment resources between existing sources of revenue and emerging revenue streams in ways that are most closely aligned with strategic success. Translate strategy into investment choices.
  • 16. © 2016 Opptiv LLC Proprietary www.opptiv.com 3 Companies with investment mindsets can use the power of strategic portfolio management to maximize the performance and value of their investment portfolios by maximizing returns per unit of risk. The principle of risk-return optimization involves maximizing upside revenue capture, while minimizing downside risk exposure by quantifying (in financial terms) the material risks associated with investments, providing insight into the volatility inherent in those investments, and actively mitigating and exploiting risks in ways that turn them into new sources of opportunity.   Turn risk elimination into risk-return optimization.
  • 17. © 2016 Opptiv LLC Proprietary www.opptiv.com 4 At the end of the day, "it's all about execution”. With an investment mindset, execution means taking preemptive action to reallocate resources, adjust course and optimize the portfolio - the opposite of passive management or reacting to competitor moves. Companies can apply active management and promote preemptive action by using value-based metrics and leading indicators to monitor the real- time performance and health of individual initiatives and in aggregate across the investment portfolio.   Achieve superior execution through active management.
  • 18. © 2016 Opptiv LLC Proprietary www.opptiv.com 5 Even after discovering the need for it, many companies don't adjust to changing business conditions, choosing instead to stay locked into unattractive businesses, low-value opportunities, or poorly performing initiatives. Investment-minded companies can help overcome this behavior through the principle of “optionality”. Borrowing from the financial industry concept of "real options” and applied to portfolio execution, this proven management concept provides senior business leaders with options - the “right”, but not the “obligation” to invest, or continue to invest in strategic initiatives based on changing business circumstances.   Exercise real options to adjust to change.
  • 19. © 2016 Opptiv LLC Proprietary www.opptiv.com 6 Responsibility for strategic and commercially-focused initiatives, and the investment resources that they require, is often spread across multiple organizations such as corporate strategy, finance, M&A, product, R&D or individual business units. With an investment mindset, companies can integrate these disparate pools of investments, and bridging critical governance and organizational gaps. With this principle, companies gain a higher level of transparency across the investment life-cycle, allowing CEOs, CFOs, Boards and senior business leaders to make decisions that make the whole greater than the sum of the parts.   Make the whole greater than the sum of the parts.
  • 20. © 2016 Opptiv LLC Proprietary www.opptiv.com 7 Next-generation strategic initiatives, revenue streams and growth platforms are expected to deliver multiple times their actual capital investment in returns. Communicating value and measuring performance in this context requires management in business terms vs. project terms. With an investment mindset, companies can expand their visibility and management focus beyond the traditional costs, schedule and scope of project management to also incorporate the financial, risk, strategy and execution controls to paint a more complete portfolio picture, and answer critical governance and value questions over the investment life-cycle.   Communicate in the language of business.
  • 21. © 2016 Opptiv LLC Proprietary www.opptiv.com 7 6 5 4 3 2 1 Shift from projects to portfolios. Translate strategy into investment choices. Turn risk elimination into risk-return optimization. Achieve superior execution through active management. Exercise real options to adjust to change. Make the whole greater than the sum of the parts. Communicate in the language of business.
  • 22. © 2016 Opptiv LLC Proprietary www.opptiv.com So, what happens when companies make the value leap?
  • 23. © 2016 Opptiv LLC Proprietary www.opptiv.com They can INVEST in the future with CONFIDENCE. Opportunities Risk-Return Strategy Execution Strategic Portfolio Management ©  2016  Opp)v  LLC   $
  • 24. © 2016 Opptiv LLC Proprietary www.opptiv.com Opptiv is an award-winning strategic portfolio management company based in Washington, DC. At Opptiv, we do one thing: work across industries and across the globe to help companies realize the transformative and strategic power of portfolio management. To match the complexity and urgency of our mission, we provide the industry's only purpose-built, cloud-based software, processes and consulting services dedicated to helping you operationalize this powerful concept as the engine for strategic growth and enterprise value creation. Our Featured Solutions: Accelerate time-to-value.
  • 25. © 2016 Opptiv LLC Proprietary www.opptiv.com Visit us to learn more and downlaod more content today! Visit us to set up a consultation. www.opptiv.com E-mail us info@opptiv.com Call us toll-free 855-806-3760
  • 26. © 2016 Opptiv LLC Proprietary www.opptiv.com ™   OpptivEnterprise™ is cloud-based strategic portfolio management software. Unlike traditional project-based or IT portfolio management tools, this next-generation portfolio management platform was built from the ground up to speak the financial and commercial language that CEOs, CFOs, Boards and other stakeholders understand and really care about. UNMET NEED UNMET NEED REVENUE STREAM DIS-INVEST STATUS KPI MILESTONE RISKSATURATED FIND "See the things that matter" SHAPE "Do the right things" CAPTURE "Do the right things right" How does OpptivEnterprise™ Work? PORTFOLIO EXCELLENCE IN THE CLOUD. If you work in strategy, finance, M&A, product or R&D, OpptivEnterprise provides the visibility that you need to build and actively manage your portfolio of next-generation strategic opportunities, revenue streams and growth platforms with confidence. It’s comprehensive, yet intuitive and ready to use on day one. It works the way you want, to translate the concepts that you already know into the value-based visual language that you need to succeed.
  • 27. © 2016 Opptiv LLC Proprietary www.opptiv.com QuickStart™ Proof of Concept Strategic Portfolio Management (SPfM) Visit us to set up a consultation. www.opptiv.com E-mail us info@opptiv.com Call us toll-free 855-806-3760 Jump-start your Strategic Portfolio Management initiative today! VISUAL PORTFOLIO REVIEW. Powered by OpptivEnterprise™ Strategic Portfolio Management Software ©  2016  Opp)v  LLC   ©  2016  Opp)v  LLC  
  • 28. © 2016 Opptiv LLC Proprietary www.opptiv.com© 2016 Opptiv LLC Proprietary www.opptiv.com #StrategicPortfolioManagement Make the value leap to an INVESTMENT mindset. Executive Briefing Invest with Confidence.