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Questions and Answers
Which portfolio selection method incorporates both project ranking and comparative analysis?
Which portfolio selection method incorporates both project ranking and comparative analysis?
What is a primary driver for the portfolio management process within an organization?
What is a primary driver for the portfolio management process within an organization?
Which method is NOT typically used for evaluating portfolios?
Which method is NOT typically used for evaluating portfolios?
What does the size of the bubble represent in bubble diagram evaluations?
What does the size of the bubble represent in bubble diagram evaluations?
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Which approach is characterized by informal selection criteria, often influenced by individual preference?
Which approach is characterized by informal selection criteria, often influenced by individual preference?
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What is the typical frequency of the portfolio review process?
What is the typical frequency of the portfolio review process?
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The Stage Gate process in project management is primarily used for what purpose?
The Stage Gate process in project management is primarily used for what purpose?
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Which portfolio management aspect involves maintaining oversight and tracking of projects?
Which portfolio management aspect involves maintaining oversight and tracking of projects?
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Which of the following is NOT a key characteristic of a project?
Which of the following is NOT a key characteristic of a project?
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What is the primary focus of the project funnel?
What is the primary focus of the project funnel?
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What defines the 'temporary' nature of a project?
What defines the 'temporary' nature of a project?
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Which of the following is NOT a criterion for portfolio decisions?
Which of the following is NOT a criterion for portfolio decisions?
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Which scenario represents a project?
Which scenario represents a project?
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Which of the following factors indicates project complexity?
Which of the following factors indicates project complexity?
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What role does the portfolio analyst play in portfolio management?
What role does the portfolio analyst play in portfolio management?
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Success metrics in projects often focus on which aspect?
Success metrics in projects often focus on which aspect?
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Which statement best represents the human aspects of portfolio management?
Which statement best represents the human aspects of portfolio management?
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What is the primary purpose of the tower-building project outlined?
What is the primary purpose of the tower-building project outlined?
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What is a primary benefit measured in project portfolio management?
What is a primary benefit measured in project portfolio management?
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Why might projects in technologically complex areas become ambiguous?
Why might projects in technologically complex areas become ambiguous?
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What is implied by assessing the durability of competitive advantage?
What is implied by assessing the durability of competitive advantage?
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What stage involves selecting which projects to fund in the project management process?
What stage involves selecting which projects to fund in the project management process?
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What kind of feedback is usually associated with projects?
What kind of feedback is usually associated with projects?
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Which term best describes the types of technologies evaluated in portfolio management?
Which term best describes the types of technologies evaluated in portfolio management?
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Which of the following characteristics is NOT associated with a project?
Which of the following characteristics is NOT associated with a project?
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All projects must be completed within one year.
All projects must be completed within one year.
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What are the three key characteristics of a project?
What are the three key characteristics of a project?
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A project typically has a defined ________ and is characterized by a sense of urgency.
A project typically has a defined ________ and is characterized by a sense of urgency.
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Match the following project types with their classifications:
Match the following project types with their classifications:
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In the project life cycle, which phase requires a group of people?
In the project life cycle, which phase requires a group of people?
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Projects are always designed to produce a product or service.
Projects are always designed to produce a product or service.
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What is the primary purpose of the tower-building project outlined?
What is the primary purpose of the tower-building project outlined?
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What is one key reason for disappointing project performance related to stakeholders?
What is one key reason for disappointing project performance related to stakeholders?
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Stakeholders do not significantly influence the outcome of a project.
Stakeholders do not significantly influence the outcome of a project.
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Identify one key success criterion for the Notre-Dame Cathedral Restoration project.
Identify one key success criterion for the Notre-Dame Cathedral Restoration project.
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In project management, M&E stands for ______.
In project management, M&E stands for ______.
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Match the following categories to their corresponding stakeholders in the Notre-Dame Cathedral Restoration project:
Match the following categories to their corresponding stakeholders in the Notre-Dame Cathedral Restoration project:
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What is the main purpose of teamwork in project management?
What is the main purpose of teamwork in project management?
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Team empowerment involves allowing team members to adjust their tasks.
Team empowerment involves allowing team members to adjust their tasks.
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What defines a team in contrast to a group?
What defines a team in contrast to a group?
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The effect of cooperation that enhances performance among team members is known as the ______ effect.
The effect of cooperation that enhances performance among team members is known as the ______ effect.
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Match the following team aspects with their definitions:
Match the following team aspects with their definitions:
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Which of the following is NOT a basic drive for teamwork?
Which of the following is NOT a basic drive for teamwork?
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Project managers should micromanage their team to ensure timely delivery.
Project managers should micromanage their team to ensure timely delivery.
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What is one of the key roles of a project manager in relation to a team?
What is one of the key roles of a project manager in relation to a team?
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What is the primary aim of portfolio management?
What is the primary aim of portfolio management?
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A project portfolio includes only ongoing projects of a company.
A project portfolio includes only ongoing projects of a company.
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What are two key characteristics of a project portfolio?
What are two key characteristics of a project portfolio?
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The process of prioritizing potential projects in portfolio management helps to limit ongoing projects to a manageable level and identifies __________ efforts.
The process of prioritizing potential projects in portfolio management helps to limit ongoing projects to a manageable level and identifies __________ efforts.
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Match the following project portfolio management components with their descriptions:
Match the following project portfolio management components with their descriptions:
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Which of the following questions are part of the key questions in Project Portfolio Management (PPM)?
Which of the following questions are part of the key questions in Project Portfolio Management (PPM)?
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One of the goals of project portfolio management is to support multiple goals within an organization.
One of the goals of project portfolio management is to support multiple goals within an organization.
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Name one reason why it is important to manage project portfolios.
Name one reason why it is important to manage project portfolios.
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What are the three crucial aspects of portfolio management?
What are the three crucial aspects of portfolio management?
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Stakeholders are only those who are involved in the project execution.
Stakeholders are only those who are involved in the project execution.
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Identify one characteristic that differentiates stakeholders from shareholders.
Identify one characteristic that differentiates stakeholders from shareholders.
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Portfolio management is a highly _______ process due to numerous interactions with various layers of an organization.
Portfolio management is a highly _______ process due to numerous interactions with various layers of an organization.
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What is the power-interest grid used for?
What is the power-interest grid used for?
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What should be considered when managing stakeholders?
What should be considered when managing stakeholders?
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All stakeholders have a positive attitude towards the project.
All stakeholders have a positive attitude towards the project.
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Match the following portfolio management aspects with their descriptions:
Match the following portfolio management aspects with their descriptions:
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Study Notes
Portfolio Management
- Portfolio management is the process of identifying and selecting projects to be funded
- The process generates more ideas than can be applied
- Projects are selected at stage gates
- Selection criteria include:
- Fit with business strategy (qualitative: low, medium, high)
- Benefits (NPV, ROI, IRR, payback, etc)
- Durability of competitive advantage (short, medium, long-term)
- Competitive impact on technologies (base, key, pacing and embryonic technologies)
- Time to completion
- Investments (R&D costs, marketing, operational costs, etc.)
- Market or market type (old or new market)
- Project type (new products or enhancements, fundamental research, etc)
- Risk profile
- Key personnel in portfolio management include:
- Portfolio Sponsor - the senior manager responsible for the portfolio (representing the highest layers of an organisation)
- Portfolio manager - person responsible for the organisation of the portfolio management (not for the decisions)
- Portfolio analyst - provides the strategic overviews of the portfolio
- Portfolio selection methods include:
- Ad hoc approaches
- Operational necessity
- Comparative approaches, ranking
- Scoring models
- Portfolio matrices and bubble diagrams
- Mathematical models like optimization, Monte Carlo and real option models
- Portfolio management process should include both prioritizing and monitoring and control aspects
- Maintain a list of all current projects in a project database
- Prioritise and select projects through a transparent system maintained centrally
- Plan and assign resources on all projects centrally
- Report the status of all projects
Project Management
- A Project is a unique, temporary, and focused endeavor.
- It has a beginning and an end, and requires a group of people with a shared sense of urgency.
- It delivers a product, service, or result within defined boundaries of schedule, cost, and quality.
- Projects have phases in their life cycle.
- Examples of Projects:
- Building a bridge
- Reorganising a department
- Moving house
- 20 billion remote oil production unit, with pipelines, harbours and refineries
- Emergency evacuation of a chemical plant
- Projects can be classified based on:
- Technologically complex: Projects involving new technologies, multidisciplinary expertise, etc.
- Ambiguous: Projects with no clear best solution.
- Multi-actor (stakeholders): Projects with multiple stakeholders, not all of whom have aligned interests.
- Dynamic: Projects with continuously changing requirements..
Assignments
- Assignments are graded as Pass or Fail
- Email any questions during the course to [email protected]
- Include CT3101 – group nr – topic in the subject field
What is a Project?
- Unique: No routines, uncertainty, only long-term feedback, novel, few learning opportunities
- Temporary: Has a beginning and an end, requires group of people, sense of urgency (deadline)
- Focused: Delivers a product, service or result, boundaries (schedule, cost & quality)
Phases in the Project Life Cycle
- Not described
Projects
- Building a bridge: Yes
- Reorganising a department: Yes
- The supply of new goods to a supermarket: No
- Moving house: Yes
- Flight KL 494 from Amsterdam to Paris: No
- 20 billion remote oil production unit: Yes/No
- Can you find this out about customer X, before we meet him next week?: Yes
- Emergency evacuation of a chemical plant: Yes/No
Project Focus
- Technologically complex: New technologies, multi-disciplinary
- Ambiguous: No clear (best) solution
- Multi-actor (stakeholders): Not necessarily similar interests
- Dynamic: Continuously changing
Project: Building a Tower
- Build the highest tower that can carry a small cup
- Material: 50 straws & 20 paperclips per team
- Discuss the project review report (lessons learned)
- Project lasts 25 minutes
- Make adhoc teams of ~10 students
Why and When Project Management?
- Required for development of project management expertise
- How to select projects for implementation
- How to handle uncertainty or risk
- “Strategic Project Management”
Portfolio Management Characteristics
- Includes all projects executed by a company
- Aims at achieving strategic business objectives
- An effectively managed collection of projects
- Quantifiable (resources, finances, time, etc.)
Why Manage Project Portfolios?
- Identifies Projects that meet strategic needs
- Supports multiple goals
- Directs organizational improvement
- Prioritises potential projects
- Limits on-going projects to a manageable level
- Identifies risk-intensive efforts
- Balances short, medium, long-term returns
- Prevents projects from getting in via “Backdoor”
Five Key Questions of Portfolio Management
- Are we investing in the right things?
- How well are we executing?
- Are we optimising our capacity?
- Can we absorb all the changes?
- Are we realising the promised benefits?
Portfolio Management and Resources
- About making decisions about allocation of resources or choosing between alternatives
Portfolio Management Conclusions
- Doing the right projects in the right way
- Strategic fit, value added and portfolio risks
- Numerous ways to select a portfolio
- Highly complex process due to many interactions with many layers of the organization
Stakeholders
- Anyone who can influence or is influenced by the project
- Internal and external to the organization
- Influence based on power, interest & support
- Actions are based on position (stakeholder management)
- Not to be confused with shareholders
- Discuss with your neighbour: stakeholders in a building project, ICT project and another type of project
Power Interest Grid
- Classification on two dimensions: Power & Interest
Stakeholder Map
- Classification of stakeholders into power, support, and interest categories
Managing Stakeholders
- Options based on position in stakeholder map
Stakeholder Involvement
- One of the reasons for disappointing project performance
- Involve stakeholders!
Stakeholder Involvement Framework (Maylor)
- Includes planning, communication, managing expectations, monitoring and evaluation
Assignment 1
- The central case is the Notre Dame Cathredal Restoration project.
- Tasks:
- Identify 10 stakeholders from at least 5 different groups/categories.
- Key success criteria for the main client in 2024.
- Stakeholder evolution: goals, power positions, and attitudes at the beginning and end
- Project management approach for stakeholders
- How your approach would differ throughout the years.
Teamwork
- "A group of people who work together towards a joint goal"
- Joint approach
- Unique roles for team members
- Specific abilities required
- Performance criteria adopted
- Output of the team > Sum of individual outputs
- Exploiting differences in individual thought processes
Types of Teams
- Not described
Basic Drives for Team Work
- Security effect of cooperation
- Performance effect of cooperation
- Socialisation effect of cooperation
- Rewarding effect of cooperation
- Learning effect of cooperation
Teamwork Efficiency
- Not very efficient on its own
- Needed for solving multidisciplinary problems
Working with Professionals
- Project professionals tend to be perfectionists
- Project manager manages the process
- Involve the team in decision making
- Team empowerment
Team Empowerment
- Participative management
- Ability of team members to adjust tasks
- Responsibility & accountability for team members
- Synergistic solutions (1+1 = 3)
- Feedback individual performance & team performance
- Ideally, put the authority there where the knowledge is….
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Description
Explore the fundamental principles of portfolio management, including the selection process for projects and the criteria used for evaluation. Understand the roles of key personnel and the significance of aligning projects with business strategy. This quiz covers essential aspects of project selection and management that drive organizational success.
