Project portfolio management is in most organisations all about the strategic projects. Naturally, the focus is on getting as many of these, mostly far too many, projects through the development organisation as possible and spending as little resources on minor functional improvements, upgrading systems/platforms, and fixing bugs as possible because that is considered less valuable. It is rarely understood that the starvation of these other tasks leads to less overall value and congestion of portfolio planning. In other words, strategic portfolio management is an enemy of itself: too many large strategic projects lead to starvation of other tasks, which again leads to even more strategic projects, more starvation, and a vicious cycle starts.
This article will introduce The Portfolio Circle, which is a more holistic understanding of portfolio management, and it will explain why this is a necessary approach for those organisations who want to maximise value for their customers as opposed to just executing single projects.
The goal in developing this model has been to reduce the complexity of portfolio management, and through deliberate simplicity, create a level of understanding that can contribute to a more holistic use of the resources available to create value for users and customers.Continue reading “The Vicious Cycle of Project Portfolio Management”