Programs and Projects have dominated the headlines in recent years, becoming the focus of an organisation’s ability to manage Change. But how can organisations really be sure that the programs and Projects they are delivering the right changes? Can Senior Management be sure that customer needs will be met, that the Strategic Objectives will be delivered? Can organisations be certain that their visions and goals will be achieved?

In times of rapid change, budgetary constraints and high risk, it is shocking that some organisations continue to waste effort and resources by delivering the wrong programs and Projects. This is where Portfolio Management will help.

Portfolio Management is critically important because it ensures that the ‘right’ programs and Projects are started and the ‘wrong’ ones are not (or are stopped if already underway). The right programs and Projects are those that collectively make the greatest contribution to an organisation’s strategic objectives and targets.

The Portfolio Management Practices are grouped within two cycles: the Portfolio Definition Cycle and the Portfolio Delivery Cycle. When the Practices are used to complement existing organisational structures they will help to facilitate key Portfolio Management activities, such as prioritisation, balancing, planning and controlled delivery, at both an organisational and unit level.

Portfolio Management is most effective when done ‘top down’ across an organisation as a whole, although some improvements will be seen wherever it is applied within an organisation. Equally, while Portfolio Management will be more effective where robust program and Project Management structures exist, this is not a prerequisite. Portfolio Management will be effective whenever it is used, Irrespective of an organisation’s program and Project Management maturity.