Portfolio Management Workshop

This two-day workshop is intended to teach participants the principles, practices and methods of portfolio management. A second objective is to define the portfolio management process, practices and responsibilities within your company. It is intended for executive management, product managers, engineering management, marketing management, and portfolio analysts responsible for or supporting portfolio management. The workshop includes a series of discussions and planning steps to define the portfolio management process, practices and methods to be used within your organization.

1. Portfolio Management Introduction

  • Portfolio Management Introduction
  • Portfolio Management Objectives
  • The Three Foundation Elements for Comprehensive Portfolio Management
    • Business Planning
    • Gate Reviews
    • Pipeline Management
  • Portfolio Management Process Overview
  • Portfolio Management Scope
    • Project Portfolio Management (Product Development Projects)
    • Product Portfolio Management (All Products)

2. Portfolio Management Methods

  • Portfolio Management Goals
  • Goal 1: Methods to Maximize Portfolio Value
    • Net Present Value Method
    • Development Productivity Index Method
    • Scoring Model Method
    • Ranking Projects and Determining the Cutoff
  • Goal 2: Methods to Achieve Balance Across Projects
    • Bubble Diagrams
    • Pie Charts
    • Exercise to Analyze Bubble Diagram for Appropriate Balance
  • Goal 3: Methods to Link Portfolio to Strategy
    • Strategic Buckets Method
    • Product Roadmap Method
    • Bottom-Up Project Selection

3. Portfolio Management Inputs

  • Start with a Strategy and a Business Plan
  • Develop a Product Strategy
  • Business Planning Questions to Consider
  • Level of R&D Investment
  • Strategic Allocation and Criteria
    • Business Unit
    • Product Line
    • Geographic Area
    • Type of Development
  • Exercise: Product Line and Market Segment Analysis and Strategic Allocation
  • Revenue and Profit Objectives
  • Product and Project Information
    • Project Brief that Describes the Opportunity
    • Risk Assessment
    • Business Case and Scanarios
    • Business Case Evolution
    • Calculating Financial Return
    • Discussion on Business Case

4. Portfolio Management Process & Timing

  • Portfolio Management Approach and Timeline
  • Project Prioritization
  • Sample Project Scoring Criteria
  • Exercise to Develop Our Project Scoring Criteria
  • Annual Portfolio Plan
  • Portfolio Management Integration with the Gate Review Process
  • Gate Reviews – a Two-Part Decision
  • Portfolio Management Tools
  • Discussion Questions on Portfolio Management Process

5. Testing the Portfolio Plan and Managing Project Initiation

  • Checking the Portfolio Plan – Financial Results
  • Checking the Portfolio Plan – Resources
  • Portfolio Management vs. Pipeline Management
  • Managing Project Initiation with Pipeline Management
    • Common Issues
    • Effect of Overloaded Resources
    • Estimating Project Resource Requirements
    • Assigning Resources & Resolving Conflicts
    • Completing Projects – Freeing Up Resources
    • Understand Project Priorities
    • Assuring a Smooth Flow
    • Pipeline Metrics
  • Improving Portfolio Throughput
    • Pull Scheduling and Pipeline Flow
    • Uncertainty Affects Resource Planning
    • Strategy – Schedule vs. Utilization
    • Strategy – Reserve Capacity
    • Strategy – Fewer Projects in the Pipeline
    • Project Capacity & Release Rate
  • Discussion Questions on Pipeline Management and Portfolio Management Process

6. Organizational Roles and Responsibilities

  • Portfolio Management Organization Elements
  • Potential Responsibilities
  • Typical Product Committee Responsibilities
  • Typical Product Manager Responsibilities
  • Discussion Questions on Responsibilities

7. Summary – An Integrated Approach To Portfolio Management

  • Three Decisions to Launch a Project
  • Portfolio Management Metrics
  • A Total Management System
  • Summary
  • Questions and Answers

8. Planning the Portfolio Management Process

  • Complete Planning of Portfolio Management Process and Methods
  • Action Items and Workshop Follow-Up