PORTFOLIO MANAGEMENT PROCESSES ALIGNING - DEFINITION
ALIGNING - EXECUTION
GOVERNANCE 4.1
4.7
Identify Components
4.2
Categorize Components
Inputs 1. List of components 2. Key descriptors for each component 3. Category definitions Tools and Techniques 1. Categorization of components 2. Expert judgment Outputs 1. List of categorized components
4.3
Inputs 1. Strategic plan 2. List of categorized components 3. Key descriptors for each component Tools and Techniques 1. Scoring model comprising weighted key criteria 2. Graphical representations 3. Expert judgment Outputs 1. List of evaluated components 2. Value score for each component 3. Graphical representations 4. Evaluations process recommendations
Analyse Portfolio Risks
Inputs 1. Portfolio risk register 2. Portfolio management plan Tools and Techniques 1. Risk probability and impact assessment 2. Risk combining and modeling techniques Outputs 1. Portfolio risk register updates 2. Portfolio risk exposure charts
4.4
5.1
Identify Portfolio Risks
Inputs 1. Enterprise environmental factors 2. Organizational process assets 3. List of selected portfolio components 4. Portfolio management plan 5. Escalated component risks Tools and Techniques 1. Documentation reviews 2. Information gathering techniques 3. Checklist analysis 4. Assumptions analysis 5. Diagramming techniques Outputs 1. Portfolio risk register
Adapted by | Eduardo Araújo Mendonça, MBA Gustavo Luiz Batista dos Santos, PMP Regina Rocha M. Gonçalves, PMP
Renato Ávila Soares de Souza, MBA, PMP
Inputs 1. List of approved portfolio components 2. Component funding requirements 3. Component resource requirements 4. List of deactivated and terminated components Tools and Techniques 1. Portfolio management roles and responsabilities document 2. Portfolio management communication plan 3. Portfolio authorization process Outputs 1. Additions to the active component inventory 2. Component expectations updates 3. Approved component funding and exceptions 4. Approved component resource allocations and exceptions 5. Excluded components 6. Portfolio milestones
4.9
Review and Report Portfolio Performance
Inputs 1. Component data 2. Resource allocation and capacity data 3. Environmental constraints 4. Organizational governance standards, controls, and constraints 5. Evaluation and selection criteria 6. Key performance indicators (KPIs) updates 7. Strategic goals and strategy 8. Portfolio management criteria Tools and Techniques 1. Project/portfolio management system 2. Financial reporting systems 3. Performance measurement techniques 4. Graphical representations 5. Portfolio management resources 6. Portfolio management performance variance / alert techniques Outputs 1. Directives regarding components 2. Portfolio rebalancing recommendations 3. Recommendations to business 4. Refined selection criteria 5. Key performance indicators (KPIs) updates 6. Strategic goal achievement reporting
MONITORING AND CONTROLLING
5.3
RISK MANAGEMENT
GOVERNANCE
4.10
Monitor Business Strategy Changes
Inputs 1. Portfolio reporting and review 2. Strategic plan update Tools and Techniques 1. Expert judgment 2. Criteria re-weighting 3. Graphical representations Outputs 1. New criteria
RISK MANAGEMENT
5.4
Monitor and Control Portfolio Risks
Inputs 1. Portfolio management plan 2. Portfolio risk register 3. Component progress reports 4. Component data Tools and Techniques 1. Portfolio risk audits 2. Variance and trend analysis 3. Status meetings 4. Portfolio risk reassessment Outputs 1. Portfolio change requests 2. Portfolio risk register updates 3. Organizational process assets
Develop Portfolio Risk Responses
Inputs 1. Portfolio management plan 2. Portfolio risk register 3. List of prioritized components within each strategic category Tools and Techniques 1. Response strategy selection 2. Scenario analysis Outputs 1. Portfolio risk register updates 2. List of categorized, evaluated, and selected portfolio components 3. Portfolio management plan updates
PORTFOLIO MANAGEMENT PROCESSES Based on PMI Global Standard for Portfolio Management
Authorize Components
Select Components
Inputs 1. Strategic plan 2. List of evaluated components 3. Value score for each component 4. Graphical representations 5. Organizational resources 6. Evaluation process recommendations Tools and Techniques 1. Human resource capacity analyses 2. Financial capacity analyses 3. Asset capacity analyses 4. Expert judgment Outputs 1. List of categorized, evaluated, selected, and rejected components 2. Selection process recommendations
RISK MANAGEMENT
RISK MANAGEMENT 5.2
Evaluate Components
4.8
GOVERNANCE
GOVERNANCE
GOVERNANCE
Communicate Portfolio Adjustments
Inputs 1. New criteria 2. Strategic plan update 3. Portfolio reporting and review outputs 4. Organizational process assets 5. Stakeholder expectations and requirements Tools and Techniques 1. Communication requirements analysis Outputs 1. Portfolio management roles and responsibilities document 2. Portfolio management communication plan 3. Portfolio comnunications
Inputs 1. Strategic plan 2. Component definition 3. Component key descriptors 4. Inventory of all existing components 5. New component proposals Tools and Techniques 1. Documentation of all inventoried components based on key descriptors 2. Comparison of all inventoried components with component definition 3. Identification of components 4. Expert judgment Outputs 1. List of components 2. Key descriptors for each component 3. List of rejected components
GOVERNANCE
GOVERNANCE
GOVERNANCE
Coordination | Ricardo Viana Vargas, MSc, CSM, PMP Graphic Design | Designlândia / Sérgio Jardim Review | Wagner Maxsen, Sueli Barroso The material from this publication has been reproduced with the permission of PMI. Copyright and all rights reserved.
www.ricardo-vargas.com
ALIGNING - DEVELOPMENT GOVERNANCE 4.5
Prioritize Components
Inputs 1. List of selected components 2. Selection process recommendations Tools and Techniques 1. Weighted ranking 2. Scoring techniques 3. Expert judgment Outputs 1. List of prioritized components within each strategic category 2. Supporting documents to prioritized component list
GOVERNANCE 4.6
Balance Portfolio
Inputs 1. List of prioritized components within each strategic category 2. Portfolio management criteria 3. Portfolio management performance metrics 4. Capacity constraints 5. Portfolio rebalancing recommendations from reporting and review 6. Portfolio risk register Tools and Techniques 1. Cost benefit analysis 2. Quantitative analysis 3. Scenario analysis 4. Probability analysis 5. Graphical analytical methods 6. Expert judgment Outputs 1. List of approved portfolio components 2. Master list of updates 3. Approved portfolio component allocation updates