The main purpose of portfolio management is to provide a broad picture of the organization's activities focus on strategic objectives and to support decision-making based on all projects within the organization.
careful management of each "component portfolio is" very important, but do not guarantee the realization of all objectives of the organization. This integrative project management requires that form the portfolio of projects, which relate to the impact of joint projects, resource constraints and priorities.
Organizational project management and portfolio management are closely connected. A project continues to receive information from the strategic portfolio represents, and provides the portfolio with "in place of information."
Project Manager to measure actual vs. planned in conjunction with the budget and scheduling content, and reports to Manager of Bond. Conversely, Portfolio Manager and connect to prioritize between projects. Two-way flow of information caused the process, where project management and portfolio management bonded in order to ensure that appropriate resources are allocated to appropriate projects, or, simply, that most investment organizations to attempt to the right place.
Portfolio management is a sustainable business process, which focused on two main phases: planning and portfolio monitoring and control over its progress. This process is repeated cyclically, in accordance with organizational policy.
During the planning phase of the project, a project that will result in maximizing income or would best serve the organization's strategy is selected. The availability of information relevant to the portfolio strategy that should be to support, review, and methods of measurement, where the projects associated with the portfolio will be measured, is also defined. It is intended to create uniformity in the process of project management and measuring them, enabling the organization for future projects objective reference.
After the portfolio has been established and approved by senior management, it should be monitored and controlled. At this stage we must ensure that the portfolio is behaving in accordance with pre-defined organizational processes. For example, the portfolio can be checked availability for the project, in which the net present value (NPV) is greater than a specified value, or return on investment (ROI) is not lower than the specified minimum value. In addition, the control process checks the progress of all projects in accordance with the plan, for example: compliance schedules, excess resources, etc.
To make the procedure simple and effective supervision, a portfolio manager should have easy access to updated project overview, which can be obtained from a uniform and integrated system.
This system should contain general information about the projects in the portfolio and to allow someone to do the analysis at the organizational level, and not just a standalone project level.
Such systems can allow to perform "What if" analysis to assess the different alternatives and provides basic information for business decisions are best in the organization.
Microsoft has developed EPM (Enterprise Project Management) application which aims to support the portfolio management organization. Based on MS Project, EPM provides a comprehensive solution for portfolio management based on the pool-wide resources and organizations on a broad overview of all projects.
TEFEN SBL has developed a "SBL-Portfolio Dashboard '- based on solution EPM tool, which allows each organization to manage the portfolio with an effective way intended to achieve organizational strategic goals.
The "PME-Portfolio Dashboard" provides a summary of all project data in addition to that already in the EPM. This is intended to support the most senior managers from organizations in the decision making process by providing the mean number of all project performance. The possibility of "on-line" update enables management to respond quickly to cases where the organization is not directed effort to right "" projects.
In a single view, the measurement tool centralizes all major portfolios after the mean number of projects managed by the system have been derived. This is how the tool helps to monitor the progress of projects and the excessive resource management, including scheduling, cost and risk.
If a problem with one surface of the metrics, managers can do the "Drill-down 'for projects negatively affect this metric, and one task that is causing the problem.
This, in essence, how the organization's management can obtain the latest relevant data to place the issue at all times and make the best decisions, which will be a dynamic response to the changing needs of organizations and markets.
Organization of portfolio management is basically an integral part of organizational management. Appropriate project management serves as the basis for portfolio management. Although until recently PMI has focused on independent project management, project management leading this body today to discuss broader issues of portfolio management.
SBL TEFEN specializes in changing and implementing project management methodologies and tools and will assist your organization in achieving higher levels of performance and conduct proper portfolio management processes that will effectively bring your organization's strategy towards the full realization.