The new PPM requirements: Agility and responsiveness
Constant change requires a new form of portfolio management. A cumbersome and usually quarterly-based portfolio evaluation must become an agile, predictive and fast instrument that can support valid decision making within a very short space of time. In the context of agile scaling, this is often referred to as Lean Portfolio Management (LPM).
Portfolio Simulation & What If | Valkeen Consulting Infographs
Portfolio prioritization and capacities
Constant change requires a new approach to portfolio management. Portfolio prioritization is based on company-specific prioritization factors – specifically KPIs and a KPI system. The prioritization concept of our consulting solution includes best practice prioritization factors on one hand and feasibility in an integrated quadrant model on the other. In this way, our clients can make more informed decisions, choosing between importance and feasibility and setting appropriate corporate prioritizations in good time. A simplified example: Initiative X is less important (Prio C), yet still feasible, while initiative Y is more important (Prio A) but currently not feasible.
Our prioritization quadrant model uses above- and below-the-line analysis to resolve this complexity. As a result, decision-makers can directly simulate which projects need to be stopped or paused in order to implement new initiatives. Using resource transparency, the resulting scenario is often contrary to expectations, and may suggest that it is better to execute six priority C projects instead of just one priority A project.