This document summarizes a presentation on introducing portfolio management (PfM). It discusses the benefits of PfM, its relationship to projects and programmes, and how it works with other disciplines like PMOs and risk management. The presentation agenda includes an introduction to PfM, discussing how participants see it operating in their own organizations, and answering questions. The goal is to help participants understand PfM and how their roles relate to it.

1. APM Presents
Introducing Portfolio Management
(PfM)
16 October 2014
1

2. 2
Today’s Presenters
Steve Leary
PfM SIG Committee Member
Tata Consultancy Services
Stephen Parrett
PfM SIG Committee Chair
Right Change Consulting

3. 3
• Understand the main benefits to organisations from portfolio
management (PfM)
• Recognise the relationship of PfM with projects & programmes
• Appreciate how PfM works with some associated disciplines(e.g.
PMOs, risk & assurance, governance etc)
• Gain an insight into the kind of work done by a portfolio manager
• Have an awareness of how their own roles relate to PfM in their
organisation
Today’s Objectives

4. 4
Agenda for today
1. Introductions – Participants backgrounds and interests
2. Short presentation showing PfM benefits and context and its
relationship with other disciplines
3. Participants describe how/if they see PfM operating in their
organisations
4. Discussion on some of the challenges that arise – with session
leaders posing examples for feedback
5. Open questions

5. 5
Introductions
• Brief introductions only
• Name
• Organisation
• Your role
• What you want to get from this session
• Discussion on your relationship with PfM follows “PfM Introduction”
• Additions to “Today’s Objectives”?

6. 6
Portfolio Management – where does it fit?
Portfolio Management
Mission
Business Plans
Portfolio Plan
BAU Work
Vision
Current State
Programmes
and Projects
Strategy
Benefits
Business
Performance
External pressures

7. 7
APM (BoK+)
Portfolio management
is the selection,
prioritisation and
control of an
organisation’s
projects and
programmes in line
with its strategic
objectives and
capacity to deliver.
The goal is to balance
change initiatives and
business-as-usual
while optimising
return on investment.
MoP®
PfM is a coordinated
collection of
strategic processes
and decisions that
together enable a
more effective
balance of
organisational
change and BAU
"MoP® is a Registered
Trade Mark of AXELOS
Limited"
National Audit Office
Prioritisation of all
an organisation’s
projects and
programmes in line
with business
objectives and
matched to its
capacity to deliver
them.
Cranfield & Open
University
Managing a diverse
range of related and
unrelated projects
and programmes to
achieve the
maximum
organisational value
within resource and
funding constraints.
.
PfM Definitions

8. 8
Why do it?
• Deliver the“right” programmes and projects
• Aligned with organisational strategy
• Achieve organisational goals
• Removal of unnecessary, unaligned and poorly performing projects
• More effective implementation of programmes and projects
• Consistent approaches & improved dependency management
• Agreed prioritisation and management process
• Enhanced transparency, accountability and governance
• Improved resource utilisation, effectiveness and collaboration
• Holistic assurance and risk management
• Improved engagement and communication between senior
management and staff
• Greater business benefits delivered

9. 9
What makes it work?
• Proactive and visible senior management commitment
• Consistent and effective governance alignment
• Alignment of the Portfolio to strategic objectives
• Co-ordination through a Portfolio Office
• Energised change culture and associated behaviours
All considered fundamental to successful PfM (MoP® )
– but, can be hard to achieve in practice

10. 10
Who does what?
Some examples of PfM roles/relationships:
• Board of Directors & CEO etc
• PfM Function - Executive Sponsor/Owner
• Business and Functional Directors
• Portfolio Manager
• Portfolio Office (working with strategy & planning)
• Programme & Project Managers
• BAU line managers

11. 11
Portfolio Management SIG Overview
The SIG is aiming to
address the needs of 3
Executive
Explain how PfM tackles business issues groups of stakeholders
Highlight what PfM can do for them
Demonstrate how to get PfM started
Practitioner
Provide ideas to improve support from above
Create access to examples of PfM in real life
Show PfM synergies with associated processes
Profession
Improve PfM profile – PgM & PjM well known
Identify pathway for aspiring portfolio managers
Enhance recognition by other P3M communities

12. organisations Create a profession
Making available a
resource of good
practice information
Engage
Create the knowledge
and resources needed
for project success
Share research
and good practice
Recognise the benefits
of professional project
management at Board Level
learning and
Develop collaborating together
innovative
research
Towards a
world in which
all projects
succeed
SIG & APM Strategy
12
Developing New Knowledge
(creating source material
based on “what works”)
Working With APM
(other SIGs and pan-
APM initiatives)
Engaging SIG Membership
(opportunities for
participation in SIG activities)
Embed organisational
good practice and
adopt standards
Engaging with the CxO Community
(supporting APM research into this group)
Disseminating Knowledge
(providing access to PfM Knowledge)

13. 13
PfM and you
What is your role
and
your organisation’s relationship with PfM?

14. 14
PfM Challenges
How does PfM get done in your organisation?

15. 15
PfM Questions
What else do you want to know about PfM?

16. 16
Next Steps

17. This presentation was delivered at
an APM event
To find out more about upcoming
events please visit our website
www.apm.org.uk/events