Project Portfolio Management (PPM) focuses on the integration and alignment of projects with the business operation in order to achieve most value and cost-efficiency for the investment in projects. PPM is often a challenge and especially so for improvement projects where PPM is considerably underdeveloped. In this paper, we present a model for Project Portfolio Improvement combining predicted success and expected value. The core of the model is about measuring expected value up against a measure of the predicted project success rate. Value can for example be measured as earnings/profit, maturity, and/or efficiency. Success can be measured using the ImprovAbility model that is part of ISO 33014. We then present a case from Vestas, one of the leading windmill producers in the world. Vestas have used the model for project portfolio management in three rounds in 2016-19 to improve their abilities and increase the rate of success dramatically. Finally, we conclude that our generic model may be very useful for process improvement and innovation PPM in other companies.
|Titel||At the junction of project leadership and innovation|
|Redaktører||Magnus R.P. Hansen, Jan Pries-Heje|
|Status||Udgivet - 2020|
Pries-Heje, J., Johansen, J., & Jakobsen, P. M. (2020). Project Portfolio Improvability: Measuring expected value against predicted success in order to decide and improve the project portfolio. I M. R. P. Hansen, & J. Pries-Heje (red.), At the junction of project leadership and innovation (s. 113-130). Roskilde Universitetsforlag.