Using best practices to improve portfolio management PPM accelerate: A benchmarking study

Portfolio management has a long history and good track record for improving strategy execution, optimizing business value and balancing risk & return. Methods for strategic alignment, opportunity evaluation and portfolio optimization are well established. There is also much portfolio management software available. But even though methods and tools abound, many organizations are still not very effective with portfolio management. Maximum effectiveness also requires a well-designed process supported by good management practices. Much of this boils down to good behavior.This presentation discusses how to identify best practices, diagnosis the strengths and weaknesses of actual portfolio management organizations, and then develop practical recommendations for improving the process. It is illustrated by the results of an international project portfolio management (PPM) benchmarking study involving about fifty organizations from a wide range of R&D-intensive and capital-intensive industries. Participants include Bayer, Boeing, Cisco, Dow, ExxonMobil, Genentech, J&J, Lockheed-Martin, P&G, Pfizer, Philips, Takeda and Unilever. The presentation covers: . Identifying PPM best practices . Assessing their importance and usage . Determining best-in-class performance . Using best practices to diagnose an organization's PPM . Developing recommendations for improving PPM . Improvements made by benchmarking participants This study offers a powerful yet inexpensive way to diagnose portfolio management organizations and develop recommendations for improvement.