STANDARD PORTFOLIO PROJECT MANAGEMENT

Portfolio Management Overview & Organization

Portfolio Management Process
Strategy & Investment Alignment Portfolio Component Management Life Cycle Specific unit organisasi Portfolio Management Process Cycle masing-masing Establishing Portfolio Management Process

Portfolio Stake Holder Roles & Responsibility Organizational Influence:

Organizational Culture Economic Impact Organizational Impact Enterprise Environmental Factors

Portfolio Stakeholder
1. Executive Review Board 2. Portfolio Process Group 3. Portfolio Management Board 4. Portfolio Managers 5. Sponsors 6. Program Managers 7. Project Managers 8. Program/Project Management Office 9. Marketing Management 10. Operation Management 11. Engineering Management 12. Legal Management 13. Human Resources Management 14. Functional Management 15. Finance Management 16. Customers 17. Vendor & Business Partner

Portfolio Management Process

Portfolio Process Management Interaction Portfolio Management Process Group Aligning Process Monitoring Controlling Process

Portfolio Management Knowledge Area

Portfolio Governance
1. 2. 3. 4. 5. Identify Components Categorize Components Evaluate Components Select Components Prioritize Component 6. Balance Portfolio Adjustment 7. Authorize Components 8. Review & Report Portfolio Performance 9. Monitor Business Strategy Changes 10.Communicate Portfolio Adjustment

Portfolio Risk Management

1. 2. 3. 4. Identify Portfolio Risk Analyze Portfolio Risk Develop Portfolio Risk Register Monitor & Control Portfolio Risk

Process & Knowledge Area

Portfolio Management Process Group
Process Knowledge Area Aligning Process Group
Identify Components (4.1) Categorize Components (4.2) Evaluate Components (4.3)

Monitoring & Control Process Group

Review & Report Portfolio Performance(4.9) Monitor Business Strategy Change (4.10) Communicate Portfolio adjustment (4.7)

Portfolio Governance

Select Components (4.4)

Prioritize Components (4.5)

Balance Portfolio (4.6) Authorize Components (4.8) Identify Portfolio Risk (5.1) Monitor Control Portfolio Risk (5.4)

Portfolio Risk Management

Analyze Portfolio risks (5.2) Develop Portfolio Risk Responses (5.3)

Project Portfolio Management Process

Strategic Planning Process output: Current Strategic Plan Monitorin & Controlling Process

Aligning Process Group

Componet Procees

Identify Components Categorize Components Evaluate Components

Proritize Components

Monitor & Control Portfolio Risk

Conmponent Execution and Reporting

Current Strategic Plan: Goals definitions & Categories Key Performance Criteria Capacity Definition

Develop Portfolio Risk responses

Review & Report Portfolio Performance

Balance Portfolio Communicae Portfolio Adjustment Authorize Components

Sellect Components

Monitor Business Strategy Changes

Identify Portfolio Risk

Sigficance Change

Analyse Portfolio Risk

Aligning Process Group

Identify Components

Identify Components
Evaluating ongoing components and new components proposal against pre-determined portfolio and component definitions and related key descriptions Projectting components that do not fit within the predetermined definition(s),and Calssifiying identified components into predefined calsses, such as project, program, portfolio and other works

Identify Components(Governance)
Input Strategic plan Component definition Component key descriptions Inventory of all existing components Tools and technique Documentation of all inventoried components based on key descriptors Comparison of all inventoried components with component definition Identification of components Expert judgment Out puts

List of components Key descriptions for each component List of rejected components

New component proposals

Component Register
Project ID number Project/Program Name Business case Brief Scope Strategic Objective to meet Key Deleiverables Estmated Duration Estimated Cost Resources Needed

Categorize Components

Categorize components
Identify relevants strategic categorize relevant components based on the strategic plan Comparing identified to the categorization criteria, and Grouping each components into only one category

Categorize Components(Governance)
Inputs Tools and technique Out puts

List of components Key descriptors for each component Category definitions

Categorization of components Expert judgment

List of categorized components

Evaluate Components

Evaluate Components
Evaluating components with scoring model comprising weighed key criteria Producing graphical representations to facilitate decision making in the selection process, and Making recomendations for selection process

Evaluate Components- (Governance)

Inputs

Tools and technique

Scoring model comprising weighted key criteria Graphical representations. Expert judgment

Out puts
List of evaluated components Value score for each component Graphical representations Evaluation process recommendations

Strategic plan List of categorized components Key descriptors for each component

Evaluation Checks
Still meet objectives? Have risk exceed the plan? Still aligned with strategic obejctives/ Cost? Any unnecessary featured added? Resources effectiveness? Dependency with other project? Conflicts between components? Any Redundancy?

Ranks
Strategic Value Ease of Implementation Market needs Financial benefit (ROI,IRR) Cost Resources Capacity

SELECT COMPONENT

Select Components
Comparing components to selection criteria Selecting components based on the evaluation results, and Producing a list of components for prioritization

Select Components- (Governance)

Inputs
Strategic plan List of evaluated components Value score for each component Graphical representations Organizational resources Evaluation process recommendations

Tools and techniques

Human resource capacity analyses Financial capacity analyses Asset capacity analyses Expert judgment

Out puts
List categorized, evaluated, selected and rejected components Selection process recommendations

Select Component
Memilih proyek dimana organisasi mampu melaksanakan dilihat dari kapasitas dan kapabilitas sumberdaya organisasi, sumberdaya manusia, keuangan dan sarana Selanjutnya proyek-proyek yang dipilih dilakukan proses prioritasi

Concept or Needs Identified

Sponsor Prepare Business case

Review Proposal against Prequalification

Submit Proposal to PMO

Other Propos al

Proposal Process Ranking and Selection

PMO Review If Rejected by PMO Appeal & Sign off by GC Ranking Project Selection Project Charter Initiate Project

Prequalification Standards

Prequalification Template

Prequalification Current

TracK Project Performance

PMO Review Strategic Tactical Planning Strategic Planning Process PPM Selection and Ranking Criteria

Tactical Plan Buckets Risk Standard Financial Resources

Delay or Terminate

Develop PPM Process

On Going

PPM Executive Charter

PPM Process Defined

Change to PMO

Select PPM Tools

Select Integrated Tools

Periodic One time

PPM Organization Governance Council

Identify Portfolio Risk

Identify Portfolio Risk

Structural Risks Components Risks Overall Risks

Identify Portfolio Risks-(Risk)

Inputs
Enterprise environmental factors List of categorized, evaluated, and selected portfolio components Organizational process assets Portfolio management plan Escalated component risks

Tools and technique

Out put

Documentation reviews Information gathering techniques Checklist analysis Assumptions analysis Diagramming techniques

Portfolio risk register

Analyse Portfolio Risk

Analyse Portfolio Risk

Prioritizing identified Portfolio Risk

Analyze Portfolio Risks-(Risk)

Inputs
Portfolio risk register Portfolio management plan

Tools and technique

Risk probability and impact assessment Risk combining and modeling techniques

Out put
Portfolio risk register updates Portfolio risk exposure charts

Prioritizing Components

Prioritizing Components
Confirming the classification of components in accordance with pre determined strategic categories Assigning scoring and weighted criteria for ranking components against what?, and Determining which components should recieve highest priority against strategic goals? within portfolio

 Inputs

Prioritize Components(Governance) Tools and

technique
Weighted ranking Scoring techniques Expert judgment

Out puts
List of prioritized components within each strategic category Supporting documents to prioritized component list

List of selected components Selection process recommendations

Single Criterion Model

Multiple Criteria

Develop Portfolio Risk Response

Develop Portfolio Risk Response

Identified risk, their description, their causes, area(s) of the portfolio (component, etc) Risk owners and assigned responsibilities Outputs from Analysed Portfolio Risk process, including lists of portfolio risks and probabilistik analysis; Specific actions to implement the chosen response strategy along with the identification of designated risk response owner Symptoms and warning of the risk occurence Budget and schedule components required for

Develop Portfolio Risk Responses-(Risk)

Inputs
Portfolio management plan Portfolio risk register List of prioritized components within each strategic category

Tools and technique

Out puts
List of prioritized components within each strategic category Supporting documents to prioritized component list

Response strategic selection Scenario analysis

Portfolio Balancing

Balance Portfolio
Adding new components that have been selected and prioritize for authorization Identifying components that are not authorized on the review process; and Identifying components to be suspended, reprioritized, or terminated on the review process

Balance Portfolio (Governance)

Inputs

Tools and techniques

Out puts

List of prioritized components within each strategic category Portfolio management criteria Portfolio management performance metrics Capacity constraints Portfolio rebalancing recommendations from reporting and review Portfolio risk register

Cost benefit analysis Quantitative analysis Scenario analysis Probability analysis Graphical analytical methods Expert judgment

List of approved portfolio components Master list updates Approved portfolio component allocation updates

Balancing
Purpose of Portfolio? Resources: Capacity vs demand? Current vs Future? Maximum value to business? Allocation of critical Resources? Resources & Project aligned with companys objective? Any redundancies? Any immediate reaction needed: accelerate,

Portfolio Balancing using indicators

Portfolio Balancing Menggunakan Kategori Strategi dan BU yang ditargetkan

Communicate Portfolio Adjustment

Communicate Portfolio Adjustment

Communicating portfolio decisions to key stakehoders, both for components included in and those excluded from portfolio Acquiring stakeholders with the communications paln which may include review cycle, time lines etc; and Communicating expected and actual portfolio results, identifying variances and corrective action

Communication Portfolio Adjustment- (Governance)

Inputs
New criteria Strategic plan update Portfolio reporting and review outputs Organizational process assets Stakeholder expectations and requirements

Tools and techniques

Out puts
Portfolio management roles and responsibilities document Portfolio management communication plan Portfolio communications

Communication requirements analysis

Authorize Components

Authorize Components
Authorizing selected components, deactivating, terminating components of the portfolio Allocating resources to execute selected portfolio components Reallocating budegt and resources from deactivated and terminated components and Communicating expected results (e.g. Review cyccle, tiemline performance metrics, and required deliverables) for each selected

Authorize Components- (Governance)

Inputs
List of approved portfolio components Component funding requirements Component resources requirements List of deactivated and terminated components

Tools and techniques

Portfolio management roles and responsibilities document Portfolio management communication plan Portfolio authorization process

Out puts
Additions to the active component inventory Component expectations updates Approved component resource allocations and expectations Excluded components Portfolio milestone

Monitoring and Controlling Process Group

Monitor & Control Portfolio Risk

Monitor & Control Portfolio Risk

Keeping track of the identified risk including those on the watch list Monitoring trigger conditions and, as necessary, invoking the corresponding contingency plans Monitoring residual risk Reanalysing existing risk Tracking changes in the stakeholder community

Monitor Control Portfolio Risk (Risk)

Inputs

Tools and techniques

Portfolio risk audits Variance and trend analysis Status meetings Portfolio risk reassessment

Out put
Portfolio change requester Portfolio risk register updates Organizational process assets

Portfolio management plan Portfolio risk register Strategic goal achievement reporting Component data

Review and Report Portfolio Performance-

Review and Report Portfolio Performance

Review components sponsorship, accountability, and other ownership criteria against organizational governance standards Review component priorities, dependencies, scope, expected returen, risk, financial performance against portofolio control criteria adn organizational value and investment criteria Reviewing expected impact of business forecats, resource utilization, and capacity constraint on portfolio performance Determine whether to continue with, add to, or terminate specific compnents or to reprioritize

Review and Report Portfolio Performance- (Governance)

Inputs
Component data Resource allocation and capacity data Environmental constraints Organizational governance standards, controls, and constraints Evaluations and selection criteria Key performance indicators (KPIs) updates Strategic goals and strategy Portfolio management criteria

Tools and technique

Out put
Directives regarding components Portfolio rebalancing recommendations Recommendations to business Refined selection criteria Key performance indicators (KPIs) updates Strategic goal achievement reporting

Project / portfolio management system Financial reporting systems Performance measurement techniques Graphical representations Portfolio management resources Portfolio management performance variance / alert techniques

Monitor Business Strategy Changes-

Monitor Business Strategy Changes(Governance)

Inputs

Tools and Technique

Expert judgment Criteria re-weighting Graphical representations

Out put
New criteria

Portfolio reporting and review Strategic plan update

Scope
Change Success

Leadership

Management

Planning

Monitoring

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