Program and portfolio management

(upbeat music) - A program is a collection of related projects, so managing a program is similar to managing a project, but it's at a higher level, in that you're dealing with bigger numbers and longer timescales, usually. Some definitions of program management say that program managers deal more with the why, while project managers tend to deal with the how, and that is certainly going to be the case if the program manager is involved from the very start of the program rather than being brought in to implement it once it's been decided that it's going to happen. - So, what does a program manager do, and what skills does she need to have? First off, the program manager needs to manage all the project managers that are working in the program. The program manager is responsible for delivering the benefits to the organization, and this is the work that the program managers are completing. Managing strategy is high on the list of what a program manager needs to manage. Since the strategy is coming from levels higher in the organization, she will need to be the master in managing the relationships with those key stakeholders. - Most believe a portfolio is an extension of projects and programs. They see the portfolio as a roll-up of the projects their employer has approved, a way to group them together. The portfolio is a living thing. It changes over time as a result of numerous variables, such as project delivery problems, but also changing business priorities, new opportunities, and challenges or inaccurate plans. In order to successfully manage a portfolio, you must cover all elements of the portfolio lifecycle, starting with the capturing of ideas and suggestions for projects, and continuing through the analysis and selection of the initial components. - Having a clear vision statement is essential to help everyone understand the desired end goal of the program. It's a powerful communication tool that can generate engagement and commitment by all stakeholders. One of the best descriptions I've ever heard of a vision statement is that it's a postcard from the future. It describes the future so compelling that stakeholders feel they want to take the journey to get there. It should engage both the heart and the mind. - Just the way you have an accounting department within an organization that manages all things related to accounting or an IT department responsible for everything around technology and data, a PMO is a business-driven entity within a company that takes care of its project management-related activities, tools, and people. Once a PMO is in place, you can expect your company to experience these benefits: projects getting deliver with predictable consistency, transparent reporting of project status and financials, effective investment in projects, improved stakeholder satisfaction and employee productivity, and finally, long-term cost savings through strong execution of initiatives.