Potfolio Delivery Cycle
The portfolio delivery cycle focuses on the implementation of projects and programmes from the portfolio strategy and portfolio delivery plan. Risks, resources and dependencies within projects are managed by the respective project teams. But at portfolio-level, these are assessed as an aggregate. The delivery cycle ensures projects are well-managed collectively.
In case of resources, the right person ideally should be at the right job. But this is hardly practical. Projects always need to work with available resources and rare resources would be allocated to projects that are most strategically aligned. There may be interdependencies between projects that need to be addressed. If portfolio delivery is managed well, then the overall delivery will improve and most importantly, benefits that are important for the organization’s strategy will get realized faster and more effectively.
Portfolio Delivery Cycle Practices
The seven practices of the definition cycle are:
- Stakeholder engagement
- Organizational governance
- Resource management
- Risk management
- Financial management
- Benefits management
- Management control
Benefits of Managing the Delivery Cycle Well
The delivery cycle is about collective delivery of projects and programmes (“doing things right”). If the delivery cycle is not managed well,
- Initiatives may not get delivered at the right time or within budget.
- Logical dependencies (dependencies between projects) may cause projects to delay.
- Resource usage may not be optimal.
- The portfolio itself will not shift itself to changing priorities in business.
- Portfolio will not contribute to the organization’s strategy in an optimal way.
Therefore, managing the delivery cycle well, is extremely important to ensure portfolio management is effective.
Best Practices for Portfolio Delivery Cycle
The seven practices encompass a wide range of skills. At the administrative level, following prerequisites will enable the organization to get better results in implementing the delivery practice.
- The organization must have good corporate governance standards: If the organization itself does not have proper policies and procedures in place to govern its business, then portfolio management may get affected.
- The organization must have project management practices in place: Portfolio goals are achieved through projects and programmes, which need to be delivered consistently. Inconsistent project management practices will deter the successful implementation of portfolio delivery practice. However, portfolio office can support by improving organization-wide project and programme delivery capability.
Written by Inham Hassen
This wiki is developed and managed by an accredited trainer, independent of AXELOS. While aligned with their guidelines, it’s not an official resource.