Top 10 mistakes made in Project Portfolio Management (PPM)

The following are numbers 10 - 6 of the top ten mistakes I have seen organizations make with their PPM process implementation. Next blog will have #5 - 1

PPM mistake #10 - only including new, major initiatves in the portfolio. This hides the impact on resources and budget from other projects.

PPM mistake #9 - No risk / reward view of projects. Complex projects should be included in the protfolio if ROI or business value is high

PPM mistake #8 - Not sequencing the start of projects. Allows too many projects in play at once which can drag on the portfolio. Projects should be started based on priority, complexity, and due date. Delaying a project start can help other projects get done.

PPM mistake #7 - No tangible IT investment strategy. IT Projects are done for the business but they are also an investment.When a company invests in an IT project it should be done as part of a longer term strategy. This way the money spent contributes to growth.

PPM mistake #6 - Not monitoring portfolio health. We measure project health to know if it is on track so we should do the same for portfolio. Measure portfolio health by number of projects approved, budgeted, started, on schedule, off schedule, completed, & actual spend vs. planned.