The Journey to Agile Portfolio Management
Though there are many scientific materials and posts regarding Agile Portfolio Management; however, the key issues have not been resolved completely.
With the majority of companies adopting Agile and a growing desire to get current project portfolio management or PPM practices are becoming more difficult than ever. So, what Agile Portfolio Management is and some other details are discussed here.
What is Agile Portfolio Management?
To say simply, Agile Portfolio Management is related to the procedures like how a specific company can organize, identify, prioritize, and manage different products. This helps you to optimize the value development in a way that proves to be sustainable for a long period.
Agile Portfolio Management can guarantee that the organization provides its clients with the best value for their money. A skilled portfolio manager usually learns and follows all the principles of Agile.
He/she can consider various factors that are vital to properly managing different teams and projects. This portfolio management helps many companies to respond much faster to speedily change market conditions.
Agile helps you to deliver value continuously. On a business-wide scale, working along with the Agile methodology enables companies to adapt to and anticipate changes in real time.
List of the goals of Agile Portfolio Management
There are some vital goals of Agile Portfolio Management, such as:
- Reducing the possible risks
- Offering a predictable delivery capacity
- The scope to change direction with ease
- Offering fast feedback.
While working with Agile Portfolio Management, you can work more on small and targeted releases; hence the risk of product delivery can be reduced. With Agile, you can also introduce some changes and new ideas in the creation of several products that are customer-centric.
The vital pillars of Agile Portfolio Management
Agile companies need to maintain transparency and also continuously experiment to conclude whether a particular project is valuable, along with aligning strategy with proper execution. Some core pillars of Agile Portfolio Management are:
Aligning execution and strategy
Establishing correct alignment between strategy and execution is a vital pillar of Agile Portfolio Management. This portfolio connects these two perfectly.
Thus, successful portfolio management needs that you can find a way to align the best business objectives with the accurate execution of projects. To do this, Agile offers a feedback loop frequently that can be applied both locally and globally.
It is related to creating a specific network of short planning and also learning several cycles on different organizational levels so that one can review the risks, strategy, and also delivery capabilities.
Today the business environment is changing rapidly; thus, it needs the creation of transparency in the entire project management procedure as well as the portfolio.
Agile Portfolio Management focuses on reaching a shared purpose for the users to follow. Agile Portfolio Management offers handy visual boards that help portfolio managers easily catch a shared understanding of what is happening inside the portfolio.
What are the five rules of Agile Portfolio Management?
Five rules can be used to create the right size of a portfolio. Such as:
- Operating on data that is good enough.
- All the works are ranked strongly.
- All value-based delivery capability has a portfolio.
- There is fixed short-term capacity.
- In each portfolio, there is an “intake system.”
Therefore, Agile Portfolio Management can be an essential tool for your company if you wish for the success and growth of your company without any hassle.