Critical reflection on Project Portfolio Management software
(→What is PPM software) |
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• Project portfolio optimization | • Project portfolio optimization | ||
• Data collection and analysis tools | • Data collection and analysis tools | ||
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| + | It is here such systems underlying algorithms for optimization and data analysis become useful (Something here) | ||
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Vendors of the software rely on beautiful charts and printouts to impress its users and providing them with an easy and professional way of communication. | Vendors of the software rely on beautiful charts and printouts to impress its users and providing them with an easy and professional way of communication. | ||
Revision as of 13:59, 23 November 2014
Contents |
Abstract
More and more senior managers have turned to the use of complex and sophisticated Project portfolio management (PPM) software, to help their business to survive and grow in an increasingly competitive environment. It is key that senior managers are able to manage their project pipeline effectively; so that it provides the business, the highest possible value at the lowest level of risk and at the same time fit the business strategy.
PPM Software developers such as Intel, Microsoft, Siemens and many others brand their PPM software as a leading solution and a Best practice tool able to solve almost any PPM management issue. However, after the implementation of such software systems many mangers fail to see the promised results emerge in their organization.
Articles such as (Cooper et al 2001) argues that the businesses that yields the best result from PPM, is the ones that focus their decisions on the strategic fit method. This is in deep contrast to the methods used by most PPM software. They rely solely on non-transparent algorithms designed optimize the financial benefits at a certain level of risk. This article will reflect on the difficult question, if all portfolio management decisions should or can be taken solely by PPM software or if important management aspects are forgotten in the process.
What is PPM software
In the recent years more and more companies is moving towards project based organisational structures [1] This makes it increasingly important to do projects right and to do the right projects [2]. PPM has to do with the latter. Project evaluation criteria is typically reliant on financial methods, taking into account risk assessment and resource based analysis [3]. Such evaluations requires extensive data analysis which can be time consuming and complex for busy managers. The result is software developers and vendors rushing to the market to assist managers in the complex process. Such software typically include the elements [4] • Project selection tools • Project and resource overview tools • Task management tools • Project portfolio optimization • Data collection and analysis tools
It is here such systems underlying algorithms for optimization and data analysis become useful (Something here)
Vendors of the software rely on beautiful charts and printouts to impress its users and providing them with an easy and professional way of communication.
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Many large companies have already adapted such offerings and more plan to do so in the future [5]
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