A case based presentation on how to connect com-pany strategy to portfolio targets, and how to utilize these in project portfolio management. The presenta-tion will discuss the different challenges with achiev-ing a balanced portfolio, and go through the key areas that must be addressed to have an optimized and balanced portfolio.

1. PMI Sweden Chapter
Passion for projects 2013
Balance your project portfolio to reach the strategic
targets
Malin Hedmark – Condesign
malin.hedmark@condesign.se

2. Agenda
• Short introduction to Condesign and Planisware
• Project Portfolio Management (PPM) in brief and the values of
PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• Questions?

3. Content
• Short introduction to Condesign and Planisware
• PPM in brief and the values of PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• Questions?

4. About Condesign
Condesign efficiently transforms information to effective communication
Engineering
Founded in Gothenburg 1984
200 employees
Offices in 7 cities
ISO 9001/14001 certified
Technical Documentation Ranked ”Top 10” of best employers
in Sweden
Marketing Communication Karlstad
Karlskoga Stockholm
Linköping
Göteborg
Document Management Jönköping
Ljungby
Processes & System

5. Services within Project Portfolio Management
(PPM)
Analysis and process Project management during
design. PPM implementations.
Advice and support in Training and support
establishing models and
tools for PPM.
Requirement specification Planisware: Global leading
and design of system supplier of Enterprise Project
solutions. Portfolio Management
software solution.

6. Condesign is a Planisware partner
• Planisware is a global leading supplier of PPM (Project Portfolio Management) systems since 1996
• Planisware 5 is a system for PPM (Project Portfolio Management) that supports the organizations complete
project scope: from strategic level to operational level
• Strong support within NPDI (New Product Development and Innovation)
• Extensive financial capabilities to support economic planning, budgeting, follow-up and simulation
• Planisware’s PPM-system is used by more than 250 organizations worldwide with +200 000 users in market
segments such as: Pharma, Energy, IT, Aerospace & Defense, Automotive
Sample references:

7. Planisware main functions
Do the Right Projects Do the Projects Right
Strategic Project
Orientation Development
Strategic
Roadmap Strategic Buckets
Portfolio Performance
Investment scenarios Detailed
Project Management Launch
Roadmap
Resource Management
Idea Business Case &
Management Sales Market Analysis

8. Content
• Short introduction to Condesign and Planisware
• PPM in brief and the values of PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• The challenges

9. PPM in brief
Project portfolio management (PPM) is a process for analyzing and managing the project portfolio in an
organization. PPM is about selecting the right projects to achieve your strategic goals. By building your project
portfolio based on your strategic goals and constraints only the ideas that best fulfill your roadmap and available
resources are invested in.

10. The values of PPM
By implementing PPM processes, methods and tools you are able to balance your
strategic goals and limitations, increase the value from your investments and execute your
projects with high efficiency.

11. Focus for today’s seminar

12. Content
• Short introduction to Condesign and Planisware
• PPM in brief and the values of PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• Questions?

13. From Company strategy to portfolio targets
Company strategy:
• Grow product segments x and y with increased or maintained Profitability
• Defend market position within product segment z
• Maintain technology leadership
• Achieve a balance between defending our core markets and growing in new
opportunity markets
• Grow our services offer to achieve a total solution offer

14. From Company strategy to portfolio targets
Company strategy:
• Grow product segments x and y with increased or maintained Profitability
• Defend market position within product segment z
• Maintain technology leadership
• Achieve a balance between defending our core markets and growing in new
opportunity markets
• Grow our services offer to achieve a total solution offer
Portfolio targets:
• Investment in product segment x, y, z
• Balance investments in core vs new technologies
• Balance investments in core vs new market segments
• Balance the investment in NPD, R&D, Services, IT

15. Categorizing the projects to achieve
steering and follow up of the portfolio
Type of Investment Product segment
Project abc
Technology level Targeted Market segment

16. What are your portfolio targets?
• Questions to think of
– What is the long term and short term company strategy?
– What risk level should we have in our portfolio?
– What is the market outlook for the coming 5 years?
– What investments is necessary in the company
infrastructure?

17. Define the framework for each portfolio target
Strategic buckets
Type of investment Product Segment
R&D Product
segment x
NPD
Product
IT segment y
Services Product
development segment z
Technology level Targeted market segment
Market
Core segment 1
Technology Market
segment 2
Market
New segment 3
Technology Market
segment 4

18. How can you define your framework?
• Questions to think of:
– What information is needed to define the framework?
– Which parts of your company is influencing the framework?
– Who are the key stakeholders that needs to be involved?
– Is the framework already defined on different levels of your
organization?

19. To think of:
Short versus long term portfolio targets
• The long term strategy may be known and we should of course
set up our portfolio targets towards that but
– On short term we might have other constraints that need to
be fulfilled, e.g. we have an ERP implementation this year or
we have a legal demand for next year that requires
substantial resources
• This means that you will not be able to achieve your balance
year one but should steer towards achieving it going forward.

20. Content
• Short introduction to Condesign and Planisware
• PPM in brief and the values of PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• Questions?

21. Other important input for PPM
Prioritization criterias and constraints
• To achieve an optimzed and balanced portfolio it is not enough to only
look at portfolio targets, we also need:
– Prioritization criterias like scoring, costs and benefits
– Constraints in terms of resources or budgets
• Sample scoring criterias:

22. Portfolio analysis step by step
1. Analyse the current portfolio alignment, evaluate current portfolio of
projects in relation to strategic targets
– Capture strategic fit and white spots
2. Define prioritization criterias and constraints
3. Capture opportunities, score, categorize and rank them as well as the
current project portfolio
4. Based on current project portfolio, opportunities and identified white
spots
– Evaluate different portfolio scenarios in relation to cost and
resource constraints
– Simulate the different scenarios to optimize and balance portfolio

23. Aligning Project Portfolio with Strategic Vision
Illustrate and compare strategic alignment with respect to different strategic buckets before making investment decisions.
A visual
representation of
project alignment
with the corporate
strategy. Project
budgets are
consolidated and
compared to the
Strategic Buckets
allocated for each
dimension.

24. Strategic Buckets
This functionality let you compare the funds for one or more strategic buckets with the projects that are linked to them.
Compare your current
portfolio with your strategic
vision, which is entered
before this step.
Change the status of projects or
opportunities to Go or No go and immediately
see how it affects the strategic alignment
diagrams to the right.

25. Content
• Short introduction to Condesign and Planisware
• PPM in brief and the values of PPM
• Setting the portfolio framework
• Tools and methods for achieving a balanced portfolio
• Questions?

26. Questions
Malin Hedmark
Business area: PPM
Condesign Operations Support AB
Knarrarnäsgatan 7
164 40 Kista
malin.hedmark@condesign.se
Tel: +46 8 477 9620