PPM presentation

Project Portfolio Management-PPM- is a crucial discipline within organizations. CII has published his first documents on this area, IR303 and RS303. Project Portfolio Formation is the most important phase of portfolio management. Those projects should be selected from the list of candidate projects that create balance in portfolios and make the organizational goals achievable.

1. Project portfolio management Prepared by: Reza Masoumi Nov. 2014

2. Project Hierarchy 2 Projects Programs Portfolio Portfolios Projects

3. Project Hierarchy 3

4. 4

5. Characteristics of Projects Temporary Unique and unrepeatable Restrictions Definitive objective 5

6. What is a Program? 6 A group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually. Reference: PMI (2008 ), A Guide to Project Management Body of Knowledge, 4th Edition

7. What is a Project Portfolio ? 7 A collection of projects or programs and other work that are grouped together to facilitate effective management of that work to meet strategic business objectives . Reference: PMI (2008 ), A Guide to Project Management Body of Knowledge, 4th Edition

8. 8 Common Career Path Technical – Leadership – Management – Communication Portfolio Manager Reference: 2014 CII annual conference – RT 303 implementation session

9. Research Title 9 Managing a Portfolio of Projects – Metrics for Measure Supported by:

10. Research Team 10 No. Owners 1 Charlie O’Hanlon (Chair) Architect of the Capitol 2 Frederick Delie Georgia Pacific LLC 3 Roger Haynes ConocoPhillips 4 Roger Holtzclaw BP Alternative Energy 5 Richard Ikasalo SABIC 6 John Logan Irving Oil Limited 7 Shaun Tatum Southern Company 8 Timothy Wolf Anheuser-Busch InBev 9 David Wilson BP Project Performance No. Contractors 1 Marie Robinson (Vice Chair) Jacobs 2 Scott Bergoon Hargrove Engineers 3 James Dyer WorleyParsons 4 Mohamed El- Mehalawi Faithful+Gould 5 Robert Bailey Fluor Corporation 6 Vincent Huang Parsons 7 Gary Lanier URS Corporation 8 Sandra MacGillivray Coreworx , Inc.

11. Research Goals 11 Understand the portfolio management problems Identify techniques, tools, metrics and processes recommended for portfolio management Recommend practices to help improve overall portfolio management

12. Research Methodology 12 Collect Data Survey Interviews Case Studies Analyze Data Identify Business Drivers Identify Recommended Practices Develop Tool Portfolio Management Playbook

13. Recommended Process for Portfolio Performance Management 13

14. Key Result Areas (KRAs) for PPM 14 Schedule Cost / Cash Flow Safety and Environment Change Management / Scope Resource Allocation Procurement and Supply-Chain Management Quality Risk Management Client Satisfaction

15. Proposed KPIs for KRAs 15

16. Sample Dashboard 16

17. 17 Implementation Report-Final Products Reference: https ://www.construction-institute.org/scriptcontent/index.cfm Three documents: IR - Implementation Report RS - Research Summary RR - Research Report

18. 18 Dissertation Goals: Alignment with organizational goals Portfolio Balance (project types, risks, and markets) Maximize the value of portfolio Choose the optimal next project Project Portfolio Formation

19. 19 Decision-Making Methods

20. 20 PROMETHEE P reference R anking O rganization METH od for the E nrichment of E valuations http://www.promethee-gaia.net/software.html

21. 21 Example     1 2 3 4 5 6 Price ($) Fuel Consumption (mpg) Power (hp) Guarantee Period ( yrs ) Trunk Volume (ft 3 ) Finance Rate (%) 1 Ford Focus 18,615 27 160 3 13.2 2.90 2 Toyota Corolla 19,700 29 132 3 13 3.86 3 Honda Civic 19,190 30 143 3 12.5 1.90 4 Hyundai Elantra 18,200 28 145 5 14.8 3.90

22. 22 Example

23. 23 Example Result

24. 24 Ex-PROMETHEE

25. 25 Ex-PROMETHEE

26. Questions