Relationship Between Portfolios, Programs, and Projects | Invensis Learning
a program is a group of related projects that are grouped together a group of is the relationship between Change Management, Project Management and. Project management, program management, and portfolio management are three different—though interrelated—fields within the realm of. As a Project and Program Management consultant, one should know the basic concepts of Program and Portfolio, and how they relate to each.
The program manager is also working to manage organizational change and ensure that the benefits are not only transitioned to operations, but that processes are in place to sustain these benefits. Since the role of program management is to ensure that projects are aligned to the business strategy, as the strategy changes, the program manager also needs to communicate with the project teams so that they are aware of the changes and what needs to be done about them.
Program and Portfolio Management. It consisted of six new courses, and the development of each course was a project—complete with a project manager and operational work that needed to be done to implement this new concentration. These needed to be organized in a coordinated way, particularly around content and schedule. Additionally, until all were implemented, the full value of the program—awarding the concentration to our students—could not be realized.
Program Managers While the project manager is managing multiple tasks within a project, the program manager is coordinating between all the projects and looking at interrelated projects that may have the same goal and objective and some dependencies between each other. The program manager should be able to understand what the project managers are doing to enable effective communication between them and work to understand where things are and support actions to improve its delivery.
This demands that any project or program selected is strategically aligned to top-level goals and delivers value to the organization. Portfolios are the third part of our conversation. A project portfolio is a collection of projects and programs that are managed as a group to achieve strategic objectives.
An organization may have one portfolio, which would then consist of all projects, programs, and operational work within the company. It may also establish several portfolios for project selection and ongoing investment decisions.
The Relationship Between Portfolios, Programs, and Projects -Explained!
Some risk needs to be taken, but the portfolio should not be so risky that everything could be lost within a period of time. Beyond prioritizing and selecting projects and programs, portfolio management is balancing the portfolio so that the right projects and programs are selected and implemented.
Monitoring and controlling is key to the process, since portfolio composition is not a one-time decision. Evaluations should be conducted in some regular cadence. A project could be temporarily moved out of the portfolio or permanently moved out of what that portfolio entails. It may also be the case that, as we get into performing a project or program, we find it no longer aligns, causing a reprioritization of all projects and programs in the portfolio.
To be effective, for example, a portfolio manager should understand what project management is. This allows the portfolio manager to ask the right questions of the program and project managers and interpret the information in the most effective way, so that the portfolio strategy is well thought out. From a high level, projects are part of programs and portfolios, and programs are part of portfolios. Projects are often utilized as a means of achieving an organization's strategic plan.
Project Management vs Program Management vs Portfolio Management
Projects are typically authorized as a result of one or more of the following strategic considerations. Some examples of these include, but are not limited to: Projects, within programs or portfolios, are a means of achieving organizational goals and objectives, often in the context of a strategic plan.
Although a group of projects within a program can have discrete benefits, they often also contribute to consolidated benefits as defined by the program. Organizations manage their portfolios based on their strategic plan, which may dictate a hierarchy in the portfolio, program, or projects. One goal of portfolio management is to maximize the value of the portfolio by the careful examination of the candidate projects.
Those projects not expected to meet the portfolio's strategic objectives may be excluded. The organization's strategic plan and available resources guide these investments in projects. As Figure illustrates, organizational strategies and priorities are linked and have relationships between portfolios and programs, and between programs and individual projects.
Organizational planning impacts the component projects by means of project prioritization. At the same time, projects provide feedback to programs and portfolios by means of status reports and change requests that may impact other projects, programs, and portfolios.
Project, Program, and Portfolio Management: What’s the Difference?
The needs of the projects, including the resource needs, are rolled up and communicated back to the portfolio level, which in turn sets the direction for organizational planning.
The projects supported or administered by the PMO may not be related other than by being managed together. The specific form, function, and structure of a PMO is dependent upon the needs of the organization that it supports. A PMO may be delegated authority to act as an integral stakeholder and a key decisionmaker during the initiation phase of each project, to make recommendations, or to terminate projects to keep business objectives consistent.
In addition, the PMO may be involved in the selection, management, and redeployment of shared or dedicated project resources. Some of the key features of a PMO may include, but are not limited to: