Projektværktøjsdagen 2013: Jacob Buchardt, Managing Consultant, Metier Mange virksomheder arbejder allerede med porteføljestyring, men har måske ikke forankret processer og organisationen. Kom og hør om erfaringer og udbytte ved implementering af best practices indenfor porteføljestyring.

1. Jacob Buchardt
jbu@metier.dk
30707235

2. Agenda
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Introduction
What do you want from portfolio management
Portfolio management reporting that support decision making
Strive for portfolio excellence

3. Proud of what we do
Competence
development
Consultancy
Systems
Better Projects

4. PORTFOLIO MANAGEMENT

5. ”With shareholder demands for short-term
profits on the one hand, and mature markets,
tough competition and commoditization on the
other, it’s not surprising that managers
increasingly tend to go for “low-hanging fruits”
Cooper, Creating Bold Innovation in Mature Markets, IESE insight, 2012

6. What do you want from Portfolio management?
In which areas should we
focus on innovation and our investments?
Do we have resources to
man the prioritized projects?
Which project deliver
against targets?
What are the financial gaps and where?
How many hours are spent on
innovation vs. line vs. project work?
Which competences are
over-allocated when?
What are the consequences of a delay?
Which competences are
needed to deliver the portfolio
short, medium and long term?
What are expected from the boards?
How does the Innovation,
Development and Launchplan
deliver against targets?
How do we prioritize
projects?
What are the financial
contribution per strategic
buckets?
Should we develop products, services, technology, systems,
processes, supply chain or our business model?
How are ideas compared and projects compared? And
how do we pick the golden eggs?
How do we balance the portfolio? Are you
creating the airplane you are flying in?

7. Strategy execution lost in the portfolio translation
Product ideas &
Technology platforms
Project Portfolio
composition
Strategic alignment
Capacity
planning
Product area X
Product area Y
Development
models
Lifecycle
Management
Strategic
fit
Identifying
the golden
eggs
Mapping the
strategic arena
Industry X
Capacity
simulation
Realignment
Realignment
Capacity
simulation
Industry Y
Innovation
Balance
Balance
Capacity
Reprioritise
Lifecycle mgt.
Correct
mix
Reprioritise
Correct mix
Geo expansion.
Scoring
model
Bus. developmt
Marketing plan
Idea
screening
R&D strategy
Market
research
Q1
Q2
Q3
Q4

8. Reporting to support decision making
Purpose of portfolio reporting:
Create confidence that the portfolio will deliver the expected technology and products to be the company changing the
very foundations of xxxxxx - while delivering 8% organic sales growth per year from 2016?
Objective:
Secure the portfolio is balanced according to the strategy and across Line of Businesses, Industries, Product areas
Portfolio reporting
Question:
Reports:
What are the contributions per strategic bucket?
- How much to invest, where and when to close the strategic gap
- What are the resource capacity constraints delivering the portfolio
Question:
Reports:
How risk adverse do we need to be?
- How are the split between incremental, break through and radical innovation
- What are the project attractiveness score across the portfolio
- Which portfolio scenario will give the highest probable return on investment capital
Question:
Report:
How are the portfolios delivering against targets?
- Where to speed up and slow down regarding resources and investments
- How are R&D, quality, regulatory, Clinical etc. resources utilized
Question:
Reports:
When could we start a new project?
- How are resource capacity constraints simulated for portfolio scenarios
- Which projects deliver highest return per planned resource hours.
Question:
Reports:
How should the portfolio be integrated with the processes for commercial and launch excellence?
- How are product launches (and key market events) distributed over time and decision gates.
- How are sales and marketing resources utilizes

9. Track the Strategic execution –
contribution per strategic bucket
Contribution per strategic bucket
- Split per line of business, Industry, Product areas etc.
?
?
Contribution forecasts – strategy execution insight
• New products (Breakthrough and radical innovation)
• Line extensions,
• Product modifications,
• Geographical expansion,
• Capacity
• Business development etc.

10. Strive for excellence

11. Metier on Portfolio management excellence
Portfolio management excellence can be reached using best practices like:
o
A strategic execution approach aligning the portfolio to business goals
o
An innovation strategy and strategic bucket allocation
o
An implemented clear governance structure that e.g. support dynamic portfolio selection
o
A method for screening ideas to pick the golden eggs
o
A model for scoring and ranking projects to support the prioritization process
o
A bespoke stage gate model from screening ideas to delivering benefits.
o
A resource management setup that support portfolio and capacity simulation
o
Automated portfolio reporting securing timely decision making
o
A risk aware approach to portfolio evaluation - not only “playing safe bets” and sheer focus on
incremental innovation.
o
An approach to portfolio balancing based on scenarios that support various future conditions.

12. Benefits we have seen realized
Portfolio roadmap developed
o
Organization is aligned on challenges and future goals
Portfolio review process integrated in the strategy execution
o
Continues monitoring if the strategic targets are reached through portfolio management
Portfolio governance developed and implemented
o
Everybody know who, when and where decision on the portfolio is taken and which input is needed to take these
decisions.
Portfolio Office established
o
Ownership of the portfolio process have secured clear communication on priorities, status and escalations
PPM tools implemented
o
Common reporting platform of projects and portfolios securing con resource utilization and ROIC focus. Simulation
of portfolio optimization support resource allocation
Scoring model implemented
o
Comparing ideas and projects is now possible and a valuable continues input to prioritization and selecting
projects.

13. Better Projects
Metier Scandinavia A/S
Aldersrogade 3A
2100 København Ø
Tlf. +45 7230 2035
info@metier.dk
www.metier.dk