Thursday, June 22, 2017

Agile Project Portfolio Management? Conclusion

This is the last article in our Agile Project Portfolio Management series. The first article explored the concept of project portfolio management and how it relates to projects that are executed with agile delivery methods. The following articles discussed demand management, categorization, evaluation, funding, alignment, authorization, and monitoring.

Whilst writing of these articles I read a lot of books and other articles about (Agile) project portfolio management. I have seen a number of different ideas and approaches and a number of Agile frameworks that touch the subject of portfolio management. For example SAFe and DAD.  

The Disciplined Agile Consortium (creators of DAD) have defined a number of principles of Agile Portfolio Management where I can fully agree with.

Simplicity: Keep your approach lightweight and streamlined.

Value: Focus on value over cost.

Reduce Delay: Reduce the cost of delay [link].

Improve: Invest in streamling the creation of value.

Stable Teams: Prefer stable teams over project teams.

Align to Value: Align teams to value streams.

Rolling Wave: Prefer rolling wave plans and budgets to annual ones [link].

Choice is Good: Support and enable diversity of approach.

Trust: Trust but verify.

Risk Driven: Govern by risk, not by artifacts.

Small is Good: Prefer small endeavors over large ones.

Quality: Invest in Quality.

Enterprise Aware: Optimize the whole.

But what I was missing was a simple blueprint that could be used as a base for implementing Agile project portfolio management. That is why I decided to write my own. This resulted in the Agile Project Portfolio Management Framework Guide.

The Agile Project Portfolio Management Framework Guide.

The Agile Project Portfolio Management Framework (APPMF) is a framework within which people can address complex portfolio management problems, while productively and creatively delivering projects of the highest possible value. APPMF works well with any project delivery method. From Scrum to Waterfall, and anything in between.

APPMF does not involve making project-by-project choices based on fixed acceptance criteria. Instead, decisions to add or subtract projects from the portfolio are based on the three goals of APPMF:

1. Maximize the value of the portfolio
2. Seek the right balance of projects, thus achieving a balanced portfolio
3. Create a strong link to strategy, thus: the need to build strategy into the portfolio;

Defining strategy needs to come before APPMF. In order to select the right set of projects to execute, the strategic goals must be defined in advance.

APPMF is an adaption of the Scrum framework, and shares many of the principles it was build upon. APPMF, like Scrum, is:

- Lightweight
- Simple to understand
- Difficult to master

The APPMF consists of Portfolio Teams and their associated roles, events, artifacts, and rules. Each component within the framework serves a specific purpose.

The Agile Project Portfolio Management Framework
The rules of APPMF bind together the events, roles, and artifacts, governing the relationships and interaction between them. The rules of APPMF are described throughout the guide. You can find the online version of the guide here. Or you can download the PDF version.

Get your Agile Project Portfolio Management Framework Guide

Other articles in this series:

1. Agile Project Portfolio Management?
2. Agile Project Portfolio Management? Demand Management
3. Agile Project Portfolio Management? Categorization
4. Agile Project Portfolio Management? Evaluation
5. Agile Project Portfolio Management? Funding
6. Agile Project Portfolio Management? Alignment
7. Agile Project Portfolio Management? Authorization
8. Agile Project Portfolio Management? Monitoring
9. Agile Project Portfolio Management? Conclusion
10. The Agile Project Portfolio Management Framework Guide
Posted on Thursday, June 22, 2017 by Henrico Dolfing