A portfolio is a collection of projects and programmes and other work that are grouped together to facilitate the effective management of that work to meet strategic goals. Portfolio management is the centralised management of one or more project portfolio, which includes identifying, prioritising, authorising, directing and controlling projects, programmes and other work to achieve specific strategic goals.

1. 12/18/2013
Portfolio Management:
Standard, Best Practice & Case Study
in Business-IT Context
By: Rahmat Mulyana,
MT,MBA,PMP,CISA,CISM,CGEIT,CRISC,ITIL-F
OMM 43rd – December 18th, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
1

2. 12/18/2013
Brief Profile: Rahmat Mulyana,
MT,MBA,PMP,CISA,CISM,CGEIT,CRISC,ITIL-F
•
Interest: “Business & Technology Alignment”
•
Education: MBA, Information Systems, Computer Engineering (ITB)
•
Association: PMI, ISACA, IIA, IASA, AIS
•
Specialties: Strategic & IT Master Planning, Business & IT Architecting, Enterprise Governance &
Management of IT, Information Security & IT Auditing & Assurance
•
Clients: Banking, Telco, Insurance, Airport, Seaport, Hospital, Pawnshop, Plantation, Forestry,
Energy, Ministry, University
•
Experience:
–
–
–
–
–
Co-founding & managing ComLabs ITB (2000-2007)
Co-founding & managing Transforma (2008-now)
Facilitator @ ComLabs Training (2000-now), Transforma Institute (2008-now)
Professional lecturer @ Tel-U & Public lecture @ universities (2010-now)
Working group @ SNI development related to Business-IT (2013-now)
•
Mobile: +62-812-246-8446
•
Email: rahmatmoelyana@transforma.co.id
•
Profile: http://www.linkedin.com/in/rahmatmulyana
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Events Documentation
OJK Chief Audit Executive Forum, 2013
ISACA Conference feat Erik Guldentops, 2013
PMI Branch Launching, 2013
IT Master Planning
@ Transforma Institute, 2013
Public Lecture @ UIN SGD, 2012
Strategic Planning @ Unsri, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
2

3. 12/18/2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Business & IT Relationship Paradox!
•
IT Investment will never stop grow!
– 1995: US$ 527.9 billion (OECD), estimated growth 9.7%
pa
– 2011: US$ 3.6 trillion (Gartner), actual growth 13,5% pa
Unfortunately the facts showed….
•
IT Productivity Paradox:
– “You can see the computer age everywhere but NOT in
the productivity statistics”
•
IT Investment Paradox:
– “large sums are invested in IT and seem to be swallowed
by a large black hole without rendering many returns”
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
3

4. 12/18/2013
IT Contribution Failed!
Many research show that most organizations
were failed to deliver value from their IT
investments
BUT……
Include:
Portfolio,
Programmes &
Projects
Management
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
What is Portfolio Management?
•
A portfolio is a
collection of
projects and
programmes and
other work that are
grouped together to
facilitate the effective
management of that
work to meet
strategic goals.
Source: ISO 21500:2012
•
Portfolio management is the centralised management of one or more project
portfolio, which includes identifying, prioritising, authorising, directing and
controlling projects, programmes and other work to achieve specific strategic goals.
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
4

5. 12/18/2013
Portofolio, Program & Project: Comparison
•
Portfolio
management is
about “to do the
right things”
•
Programs and
projects
management are
about “to do
things right”
Source: The Standard for
Portfolio Management,
PMI, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Portofolio, Program & Project Relationship
•
Cascaded from Strategy
into Operations
•
It’s all about Optimizing
Value, Risk &
Resources
Source: Organization Project Management
Maturity Model (OPM3), PMI, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
5

6. 12/18/2013
Value Analysis Tools
Payback Period
Net Present Value
Profitability Index
Discounted Cash Flow
Internal Rate of Return
Real Options
Cost Benefit Analysis
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Do business measure IT value often enough?
Source: CIO Magazine, July 2006
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
6

7. 12/18/2013
What COBIT 5 says about Portfolio, Program & Project?
Governance
Management
APO-05
Manage
Portofolio
BAI-01
Manage
Programmes
& Project
•
Accountability:
– Governance: Board
– Management: Business & IT Management
Source: COBIT 5, ISACA, 2012 & ISO 38500:2008
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
APO-05: Manage Portfolio
Source: COBIT 5, ISACA, 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
7

8. 12/18/2013
BAI-06: Manage Program & Project
Source: COBIT 5, ISACA, 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
BAI-06: Manage Program & Project
Source: COBIT 5, ISACA, 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
8

9. 12/18/2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Source: Forrester, Q4 2012
Latest PPM
Application
Capability
While PPM has historically
been seen as a tool for
either:
•
top-down forecasting &
planning
•
project management
organizations rarely use a
single tool for both
purposes
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
9

10. 12/18/2013
Forrester Wave: Strategic Planning
Source: Forrester, Q4 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Strategic Planning Capabilities
Source: Forrester, Q4 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
10

11. 12/18/2013
Forrester Wave: Work Execution
Source: Forrester, Q4 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Work Execution Capabilities
Source: Forrester, Q4 2012
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
11

12. 12/18/2013
Gartner Magic Quadrant: IT Project & Portfolio Applications
Source: Gartner, June 2010
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Gartner Magic Quadrant: IT Portfolio Analysis Applications (IIPA)
CIO magazine:
The market for project management
software and services totals about $1.2
billion annually, according to Forrester
Research.
The market for project portfolio management
(PPM) software stood at $2.9 billion in
2008, according to IDC, which expects the
PPM software and services market to reach
$4.2 billion by 2013.
"The IIPA software market helps IT leaders
link, monitor, analyze and communicate
their activities on a single portfolio-level
software platform, providing CIOs and other
executives with holistic views of the IT
portfolio while IT plans and executes in
response to business and IT strategies."
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
12

13. 12/18/2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Process Assessment Framework
Source: Process Assessment Model, ISACA, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
13

14. 12/18/2013
Measurement Framework: CMM & ISO 15504
CMM
•
Began from Process Maturity Framework 1989, 1993,
1995 by Watts Humphrey in “Managing the Software
Process”
•
Initiator = Software Enginerring Institute (Carnegie
Mellon University)
•
Sponsor = US. Department of Defense
•
Maturity = “degree of formality & optimization of
processess”
•
Early goal = improve software dev process
ISO 15504
•
Began from SPICE (Software Process
Improvement and Capability Determination) as
result from working group since 1993
•
Early reference from ISO/IEC 12207 (Software
Lifecycle Processes) including many maturiy
model such as Bootstrap, Trilium dan CMM
•
Developed into 6 business area: organizational,
management, engineering, acquisition supply,
support, operations
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
The Organizational Project
Management Maturity Model (OPM3)
Source: OPM3, PMI, 2013
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
14

15. 12/18/2013
Not only Process but Seven Enabler!
Source: COBIT 5, ISACA, 2012
1.
Principles, policies and frameworks—Are the
vehicles to translate the desired behaviour into
practical guidance for day-to-day management
2.
Processes—Describe an organised set of practices
and activities to achieve certain objectives and
produce a set of outputs in support of achieving overall
IT-related goals
3.
Organisational structures—Are the key decisionmaking entities in an organisation
4.
Culture, ethics and behaviour—Of individuals and of
the organisation; very often underestimated as a
success factor in governance and management
activities
5.
Information—Is pervasive throughout any organisation, i.e., deals with all information produced and used by the
enterprise. Information is required for keeping the organisation running and well governed, but at the operational level,
information is very often the key product of the enterprise itself.
6.
Services, infrastructure and applications—Include the infrastructure, technology and applications that provide the
enterprise with information technology processing and services
7.
People, skills and competencies—Are linked to people and are required for successful completion of all activities
and for making correct decisions and taking corrective actions
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
15

16. 12/18/2013
Strategic Planning in Business-IT Context: Where Portfolio
Created
1
2
Arsitektur Bisnis
Visi, Misi dan Nilai
Strategi, Obyektif dan Indikator
Profil
Strategis
Organisasi
Informasi dan Pengetahuan
Jaringan Organisasi
Regulasi, Pasar dan Pesaing
Produk dan Jasa
Strategi dan panduan
implementasi
SDM, Struktur, dan Kultur
Peran
Strategis TI
Kebijakan, Standar & Prosedur
Information Governance
6
Strategi Implementasi
Review dan Assessment
Strategis Pada Organisasi
Portofolio Program dan Proyek
Analisa Kebutuhan
Sistem Informasi Organisasi
Rencana Anggaran dan Investasi
Manajemen Implementasi dan
Review Portofolio
Kebutuhan Sistem
Informasi
3
Monitoring Kinerja Portofolio
4
Arsitektur Data
Arsitektur Data
Arsitektur Aplikasi
Arsitektur Aplikasi
Arsitektur Infrasruktur dan
Perangkat Keras
Baseline
Manajemen Perubahan
Manajemen Portofolio
Program dan Proyek
Arsitektur Infrasruktur dan
Perangkat Keras
Stakeholder dan Pengguna
Stakeholder dan Pengguna
Tata Pamong (IT Governance)
Tata Pamong (IT Governance)
Assessment Kondisi Eksisting
Penyusunan IT Blueprint
5
Analisa Kesenjangan TI
TI Masa
Depan
TI Eksisting
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Yearly Strategic Themes
Tahun
Tema
2013
Basic Capabilities
Yaitu kemampuan
untuk mendukung
layanan medis dasar
dan transaksi
keuangan
Kriteria 



Keterpenuhan
fungsionalitas
dasar kebutuhan
utama bisnis
Rekam medis
yang terintegrasi
(satu pasien satu
rekam medis)
Koneksi dengan
jejaring utama
dalam transaksi
keuangan
Sentralisasi
Pengelolaan IT
2014
Managed Capabilities
Yaitu kemampuan
untuk mendukung
seluruh layanan
medis termasuk
pendukung medis
yang terintegrasi dan
jejaring medis yang
utama

Penunjang medis
yang terintegrasi

Kolaborasi dalam
pelayanan medis

Implementasi
integrated clinical
pathway

Koneksi jejaring
utama layanan
medis (rujukan)

Integrasi TI
2015
2016
2017
Extended Capabilities
Optimised Value
Strategic partnership
Yaitu kemampuan
Yaitu mengoptimalkan
Yaitu TI memjadi
untuk mendukung
investasi TI menjadi
strategic partner
seluruh proses di XYZ
benefit bagi institusi
bisnis untuk membuat
dan seluruh
inovasi dalam layanan
jejaringnya
medis maupun
manajemen rumah
sakit


Keterpenuhan
Fungsionalitas
semua kebutuhan
bisnis
Koneksi dengan
semua jejaring
XYZ




IT Sebagai

Revenue Center
Keterpenuhan
kebutuhan

informasi pada
dukungan strategis
Integrated clinical
pathway yang

efektif
Knowledge sharing
antar unit
Inovasi layanan
rumah sakit
menggunakan TI
Optimalisasi
clinical analytics
pada layanan
medis
Investigasi medis
menggunakan TI
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
16

17. 12/18/2013
Portfolio (Program & Project): IS Initiatives
KATEGORI
Sistem Informasi
A. Perbaikan
aspek
keuangan
PROYEK
TIPE
DESKRIPSI
1
Pembangunan sistem
akuntansi
Sistem Baru
Pembangunan aplikasi baru dengan fitur standard akuntansi,
setidaknya meliputi buku besar, AR/AP, Laba Rugi, Billing umum
(non pasien), akuntansi biaya, manajemen klaim
2
Integrasi semua modul
Sistem Baru
eksisting ke sistem jurnal
akuntansi
memastikan semua modul aplikasi eksisting terintegrasi dengan
mekanisme jurnal ke akuntansi. Seperti pelayanan IRD, IRI, IRJ,
gudang medik, farmasi, IPSRS, Pengadaan, Gizi, pengadaan,
gudang non medik, fixed asset management
3
Penyempurnaan Billing
Management
Upgrade
pengisian komponen billing pada unit pelayanan harus tersambung
dengan jurnal akuntansi (opsi: langsung maupun batch).
Terintegrasi dengan cash management dan modul AR akuntansi.
Memungkinkan ditarik ke financial management sebagai bagian
untuk financial forecasting
4
Penyempurnaan Cash
Management
Upgrade
cash management ditingkatkan fungsionalitasnya dengan
menambahkan fitur pemasukan (cash-in) dan pengeluaran (cashout) untuk semua sumber data yang memungkinkan
5
pembangunan sistem
Remunerasi
Sistem Baru
pembangunan aplikasi baru untuk pengelolaan remunerasi dengan
fungsional: monitoring komponen kinerja, kalkulasi remunerasi,
integrasi akuntantansi
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Risk & Impact Criterias
 For every identified initiatives we performed risk & impact analysis to setup priorities
 Criterias example:
– Risk rated in H, M, L by considering investment value, impacted business processes,
impacted architecture and projects duration
– Impact rated in H, M, L by considering potential financial benefit and impact to customer
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
17

18. 12/18/2013
Implementation Roadmap
PROGRAM
Sistem Informasi
A
Perbaikan aspek keuangan
B
Perbaikan mutu dan efisiensi pelayanan
C
Perbaikan layanan penunjang medis
D
E
F
G
H
2013
2014
2015
2016
2017
2018
Perbaikan penunjang non-medis
Perbaikan administrasi dan proses manajemen
operasional
Penyajian informasi untuk keperluan strategis
Pengembangan Data Mining
Pengembangan knowledge management
I
J
Perbaikan Portal Web
Pengembangan sistem informasi pendidikan dan
penelitian
Infrastruktur
K
Peremajaan Data Center eksisting
L
Penambahan Segmen Baru
M Peningkatan Perangkat Jaringan
N
Implementasi Disaster Recovery Center
Tata Kelola TI
O
Penguatan Struktur Tata Kelola TI
P
Penetapan Proses Tatakelola TI
Q
Peningkatan SDM
R
Teknologi Pendukung
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Investment Plan Estimation
PROGRAM
Sistem Informasi
A.
Perbaikan
aspek
keuangan
INISIATIF
1. Pembangunan sistem akuntansi
TIPE
Sistem Baru
2014
2017
2018
500
800
Sistem Baru
3. Penyempurnaan Billing
Management
Upgrade
100
Upgrade
600
50
4. Penyempurnaan Cash
Management
50
5. pembangunan sistem Remunerasi Sistem Baru
Perbaikan
mutu dan
efisiensi
pelayanan
2016
500
2. Integrasi semua modul eksisting
ke sistem jurnal akuntansi
B.
2015
100
6. pembangunan Modul Integrated
Clinical Pathway
Sistem Baru
500
7. Pembangunan Sistem Rujukan
Sistem Baru
100
500
800
500
300
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
18

19. 12/18/2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Feasibility Framework
ANALYSIS FRAMEWORK
1. Strategic Alignment
Analysis
2. Conventional Investment
Analysis
2
1
START
INPUT:
·
Environment Condition
·
Industry Condition
·
Internal and External Condition
·
As Is IT Condition
·
IT Internal Study
PROCESS:
·
Trend Analysis (PEST)
·
Industry Analysis (Enhanced
Five Forces)
·
External and Internal Analysis
(SWOT)
·
Corporate Strategy Analysis
(TOWS)
·
IT Strategy Analysis (BSC)
·
IT Project Analysis (EA & GEIT)
4. Enhanced Investment
Analysis
3. Risk Analysis
3
INPUT:
·
IT Investment Risk Data
INPUT:
·
As Is IT Condition
·
To Be IT Condition
PROCESS:
·
Cost Analysis
·
Benefit Analysis
·
Investment Analysis (NPV, IRR,
ROI, Payback Period)
METHOD:
·
Interview
INPUT:
·
IT Investment Analysis Result
·
IT Investment Risk Profile
PROCESS:
·
Risk Identification
·
Risk Analysis
·
Risk Evaluation
PROCESS:
·
Risk-Based Options
Identification
·
IT Investment Configuration
Analysis
·
Real-Options Valuation
·
Sensitivity Analysis
METHOD:
·
Interview
OUTPUT:
·
IT Investment Risk Profile
METHOD:
·
FGD
OUTPUT:
·
IT Investment Analysis Result
OUTPUT:
·
Decision Recommendation
Approved?
Yes
4
METHOD:
·
Interview
Approved?
Yes
3
No
3
No
No
1
Approved?
Approved?
2
OUTPUT:
·
To Be IT Condition
Yes
Yes
END
2
No
V.1.0
START
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
19

20. 12/18/2013
Strategic Alignment Analysis
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Conventional Investment Analysis
Year
Parameter
Rate
Inflation Factor
Growth Factor
Total Cost Reduction & Avoidance
Total Losses Reduction
Total Increase Revenue (Forecast)
Total Benefit
Total Benefit including Inflation
IT Infrastructure Cost (DC and 2 Regional
Offices Setup, Installation & Configuration)
Total Change Management Cost (2 Regional
Offices)
IT Infrastructure Cost (DC and 2 Regional
Offices Network Operations, without DRC)
Total Expenses
Total Expenses including Inflation
EBITDA
Capital Used (Weighted Average)
Capital Repayment
Capital Used Balance
Interest (WACC)
CAPEX Application Value
Amortization
CAPEX IT Infrastructure Value
Depreciation
PBT
Income Tax
Net Cash Flow
IRR
NPV
ROI
Cumulative Net Cash Flow
Payback Period
0
2012
1
2013
1.000 1.050
2
2014
3
2015
4
2016
5
2017
6
2018
7
2019
1.103
1.000
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,100,376,332
1.158
1.162
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,155,395,149
1.216
1.350
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,213,164,906
1.276
1.568
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,273,823,152
1.340
1.821
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,337,514,309
1.407
2.116
Rp0
Rp998,073,771
Rp0
Rp998,073,771
Rp1,404,390,025
14.75%
20.00%
20.00%
25.00%
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp299,711,800
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
5.00%
Rp0
Rp0
5.00%
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
16.17%
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp0
Rp299,711,800
Rp330,432,260
Rp769,944,073
Rp1,875,432,260
Rp0
Rp1,875,432,260
Rp0
Rp1,545,000,000
Rp0
Rp0
Rp0
Rp769,944,073
Rp192,486,018
(Rp967,541,945)
Rp0
Rp0
Rp1,155,395,149
Rp1,875,432,260
Rp267,918,894
Rp1,607,513,365
Rp276,640,550
Rp1,236,000,000
Rp309,000,000
Rp0
Rp0
Rp569,754,599
Rp142,438,650
Rp468,397,055
Rp0
Rp0
Rp1,213,164,906
Rp1,607,513,365
Rp267,918,894
Rp1,339,594,471
Rp276,640,550
Rp927,000,000
Rp309,000,000
Rp0
Rp0
Rp627,524,357
Rp156,881,089
Rp511,724,373
Rp0
Rp0
Rp1,273,823,152
Rp1,339,594,471
Rp267,918,894
Rp1,071,675,577
Rp237,120,471
Rp618,000,000
Rp309,000,000
Rp0
Rp0
Rp727,702,680
Rp181,925,670
Rp586,858,116
Rp0
Rp0
Rp1,337,514,309
Rp1,071,675,577
Rp267,918,894
Rp803,756,683
Rp197,600,393
Rp309,000,000
Rp309,000,000
Rp0
Rp0
Rp830,913,916
Rp207,728,479
Rp664,266,543
Rp0
Rp0
Rp1,404,390,025
Rp803,756,683
Rp267,918,894
Rp535,837,788
Rp158,080,314
Rp0
Rp309,000,000
Rp0
Rp0
Rp937,309,710
Rp234,327,428
Rp208,225,600
43.30%
(Rp967,541,945) (Rp499,144,890)
25 months
Rp12,579,483
Rp599,437,599
Rp1,263,704,142
Rp1,471,929,742
Rp705,413,912
37.61%
Rp0
Rp0
3 years
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
20

21. 12/18/2013
Risk Analysis
Impact
Probability
High (H)
Medium (M)
Low (L)
Minor (L)
Moderate (M)
Mayor (H)
Medium
Low
Low
High
Medium
Low
High
High
Medium
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Real Options Valuation
Parameter
q
Vmax
Vmin
Ve
rf
p
t
K
S
x%
Description
Option success probability
NPV maximum from the option
NPV minimum from the option
Expected value from the option (derived from NPV minimum & maximum of an option and its success probability)
Risk-free rate (derived from applicable BI rate)
Risk-free probability (derived from expected, minimum and maximum NPV, plus risk-free rate)
Project lifetime for the option (in term of year)
Cost of the option (derived from its total capital expenditure)
Salvage value (calculated residual value derived from capital expenditures and its depreciation/ amortization rate)
Contribution Value (adjustable between 0 to 100% in order to maximize the value, either from the salvage value or remaining
project value)
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
21

22. 12/18/2013
Enhanced Investment Analysis
Example
Operation DC & DRC Pilot Option
Rp1,162,511,849
Rp148,759,319,500
Change Mgmt ES 2 (7m)
Rp802,210,689,033
Change Mgmt IA (1m)
Dev IA (4m)
3
Development ES 2 (18m)
Expand
S5
2
Follow-up
S Stage Option
E
A Abandon Option
No Expand
1
Pilot
Rp43,895,090,126
A
3'
E Expand Option
S3
S1 Scenario Pilot-Abandon
Abandon
2'
Rp1,162,511,849
S1
Rp950,970,008,533
3
Change Mgmt ES 2 (8m)
Rp192,654,409,626
Development ES 1 (12m)
5
Stage 2
Stage 1
(Rp33,482,137,624)
A
5'
5
6
3'
12
S4
S5 Scenario Pilot-Follow-up-Expand
S6 Scenario Stage-1-Stage-Expand
No Expand
Rp620,705,615,344
S2
Operation DC & DRC Stage Option
Abandon
0
S6
S4 Scenario Stage-1-Stage-2
(Rp23,876,543,264)
Rp9,605,594,360
Expand
Rp621,868,127,193
E
Development ES 2 (12m)
4
S2 Scenario Stage-1-Abandon
S3 Scenario Pilot-Follow-up
Rp654,187,752,968
P/S
Legend:
P Pilot Option
Change Mgmt ES 1 (1m)
Development ES 1 (6m)
Rp952,132,520,382
MONTHS
16 17
24
28
29
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Agenda
•
Introduction
•
Portfolio Management: Related Standard & Best Practice
•
Project & Portfolio Management Application Review: Gartner & Forrester
•
Process Maturity/ Capability Assessment: CMM, ISO 15504 & OPM3
•
Case Study: Strategic Planning & Architecting
•
Case Study: Value, Risk & Resource Optimization
•
Case Study: Process Maturity/ Capability Assessment
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
22

23. 12/18/2013
Process Maturity Assessment (CMM)
PO5 Manage the IT Investment
Assessment Status
Total Weight
1
Weight
1
Value
0,00
0,13
0,53
0,78
0,66
0,42
0,00
Maturity Level =
2,53
x
0,66
Instructions: A relative Weight between 0 and 10
should be allocated for each statement, and then an
'x' is used to indicate which statement is applicable.
2
Initial/Ad Hoc
Total Weight
2
Manage the IT Investment
Compliance Contribution
0,33
0,00
0,13
1,00
0,53
1,00
0,78
1,00
0,66
1,00
0,42
1,00
Do you agree…
x
1
Nr
Statement
Weight
1 The organisation recognises the need for managing the IT
1
investment, but this need is communicated inconsistently.
2 Allocation of responsibility for IT investment selection and budget
1
development is done on an ad hoc basis.
3 Isolated implementations of IT investment selection and
1
budgeting occur, with informal documentation.
4 IT investments are justified on an ad hoc basis.
1
5 Reactive and operationally focused budgeting decisions occur.
1
Maturity Level
Relative
Importance
Non-existent
Nr
Statement
1 There is no awareness of the importance of IT investment
selection and budgeting.
2 There is no tracking or monitoring of IT investments and
expenditures.
Maturity Level
PO5
Level
0
1
2
3
4
5
To some degree
0
Open
Back to Assessment Overview
Not at all
Maturity Level
LINK
Completely
Management of the process of Manage the IT investment that
satisfies the business requirement for IT of continuously and
demonstrably improving IT’s cost-efficiency and its contribution
to business profitability with integrated and standardised services
that satisfy end-user expectations is:
A little
Process
Do you agree…
x
x
0,33
0,00
x
0,00
x
x
0,00
0,33
5
Repeatable but Intuitive
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
Process Capability Assessment (ISO 15504)
Portfolio Management: Standard, Best Practice & Case Study in Business-IT Context, Dec 18 2013
23