When it comes to Project Management, it’s imperative that you cognizant about these terms. The relationship among Portfolio, Program and Project is such that, a Portfolio is a collection of sub portfolio, programs and projects. Programs are part of portfolio, these comprise of sub programs, projects and other activities that are managed in coordinated fashion. Individual projects or other activities are still called a part of entire portfolio.
Different activities takes place at different level
- Strategies and Priorities
- Progressive elaboration
- Disposition on requested changes
- Impact analysis of changes in other portfolios, programs or projects.
- Performance Report
- Change requests and its impact on portfolio, programs or projects.
Figure 1 illustrates, Portfolio, Program and project management are aligned with or driven by organizational strategies.
To understand these disciplines better it is imperative to distinguish the similarity and differences amongst these disciplines. Portfolio, program and projects are intended to contribute towards achievement of strategic organizational goals.
Portfolio management align with organization strategy by selecting appropriate programs and/or projects, whereas, Program Management control interdependencies amongst the projects and other program related activities. Project Management ensures that all objectives are achieved such that portfolio and programs objectives are met.
|Organizational Project Management|
|Scope||Projects have defined objectives. Scope is progressively elaborated throughout the project life cycle||Programs have a larger scope and provide more significant benefits.||Portfolios have an organizational scope that changes with the strategic objectives of the organization.|
|Change||Project managers expect change and implement process to keep change managed and controlled.||Program managers expect change from both inside and outside the program and are prepared to manage it.||Portfolio managers continuously monitor changes in the border internal and external environment.|
|Planning||Project managers progressively elaborate high level information into detailed plans throughout the project life cycle.||Program managers develop the overall program plan and create high level plans to guide detailed planning at the component level.||Portfolio managers create and maintain necessary processes and communication relative to the aggregate portfolio|
|Management||Project managers manage the project team to meet the project objectives.||Program managers manage the program staff and the project managers; they provide vision and overall leadership.||Portfolio managers may manage or coordinate portfolio management staff or program and project staff that may have reporting responsibilities into the aggregate portfolio.|
|Success||Success is measured by product and project quality, timeliness, budget compliance and degree of customer satisfaction.||Success is measured by the degree to which the program satisfies the needs and benefits for which it was undertaken.||Success is measured in the terms of the aggregate investment performance and benefit realization of the portfolio.|
|Monitoring||Project managers monitor and control the work of producing the products, services or results that the project was undertaken to produce.||Program managers monitor the progress of program components to ensure the overall goals, schedules, budget, and benefits of the program will be met.||Portfolio managers monitor strategic changes and aggregate resource allocation, performance results and risk of the portfolio.|
Table 1 – Comparative overview of Project, Program and Portfolio management
Table 1 – shows the comparison of project, program and portfolio views across several dimensions within the organization