“Every problem is a gift – without problems we would not grow.” – Anthony Robbins
The number of projects in companies has grown due to the digital era that allowed it. Growth and improvement of business demands us to keep track of much more projects – considered by number and value as well. Thus, requires co-ordinational and organizational effort to get things done. Gaining business insights is inevitable.
We assume that you face more than 90 ongoing projects in your organization. Every single project with its specific priorities, individual timelines, and resources, you will be facing some questions:
- How can you decide the right things?
- Are you sure that you use resources with maximum efficiency?
- How will you realize that the project team is focusing on doing right things?
- Can you make sure that your investment matches your strategy?
Project Portfolio Management is critical for evaluating, prioritizing, planning, and executing projects and strategic initiatives. The more and right business insights you gain the better it is.
What challenges do companies face with many projects running in parallel:
- Individual projects are delayed
- Ineffective use of resources
- Budget targets cannot be met
- Lack of overview of projects
- Unpredictable, non-calculable events occur
- Problems with transparency – due to gaining no business insights
- Consequently, difficult for stakeholders to make fact- and information-based decisions
- Problems with upfront planning and lack of systems to guide through the process.
- Unsuccessful project execution leads to distress
- Fundamental problems to failure are identified, but it is hard to find proper solutions to them
For the entire organization, project portfolio management can add real value. In gaining business insights right, tailored processes can be established, and the right tools can be implemented to support those processes.
What most common objectives can be achieved by using a PPM solution?
- Maximizing value by selecting and effectively allocating resources to those projects that deliver the highest value to the organization and/or customers.
- Higher/lower risk projects together with long-term/short-term projects result in a suitable combination in terms of achieving a good balance in project management.
- Ensuring strategic alignment by checking that every individual project is compatible with the overall strategy.
By gaining more business insights from a PPM solution, companies can benefit enormously
- Accessible data and a proper quality of data is paramount to quick and smart decision making.
- Parallel to the implementation of a PPM solution, (project) standards will be developed and established what ensures that the effort of projects also meets expectations.
- Risk can be reduced as a PPM solution helps to put the right resources on the right work at the right time by structuring projects into portfolios.
- Business managers will be able to report risks on a higher level.
- Getting aligned with the strategy of the organization, which is crucial for a long-term success of the enterprise.
- It creates an environment that leads to predictable and repeatable project success. This can be ensured by using best practices, principles and proven methodologies during the project life cycle by establishing a PMO and using the PPM solution to guide through the process.
Ultimately, the company will clearly feel the positive effects as they gain business insights out of a suitable PPM solution. Because with strategically correctly installed projects, the corporate strategy will be pushed forward and better output will be delivered, while risks are minimized.