Transcription
Project PortfolioManagement inTheory and PracticeThirty Case Studies from around the WorldJamal Moustafaev, MBA, PMPClick here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
CRC PressTaylor & Francis Group6000 Broken Sound Parkway NW, Suite 300Boca Raton, FL 33487-2742 2017 by Taylor & Francis Group, LLCCRC Press is an imprint of Taylor & Francis Group, an Informa businessNo claim to original U.S. Government worksPrinted on acid-free paperVersion Date: 20160419International Standard Book Number-13: 978-1-4987-6924-2 (Hardback)This book contains information obtained from authentic and highly regarded sources. Reasonable effortshave been made to publish reliable data and information, but the author and publisher cannot assumeresponsibility for the validity of all materials or the consequences of their use. The authors and publishershave attempted to trace the copyright holders of all material reproduced in this publication and apologize tocopyright holders if permission to publish in this form has not been obtained. If any copyright material hasnot been acknowledged please write and let us know so we may rectify in any future reprint.Except as permitted under U.S. Copyright Law, no part of this book may be reprinted, reproduced, transmitted, or utilized in any form by any electronic, mechanical, or other means, now known or hereafter invented,including photocopying, microfilming, and recording, or in any information storage or retrieval system,without written permission from the publishers.For permission to photocopy or use material electronically from this work, please access www.copyright.com (http://www.copyright.com/) or contact the Copyright Clearance Center, Inc. (CCC), 222 RosewoodDrive, Danvers, MA 01923, 978-750-8400. CCC is a not-for-profit organization that provides licenses andregistration for a variety of users. For organizations that have been granted a photocopy license by the CCC,a separate system of payment has been arranged.Trademark Notice: Product or corporate names may be trademarks or registered trademarks, and are usedonly for identification and explanation without intent to infringe.Library of Congress Cataloging‑in‑Publication DataNames: Moustafaev, Jamal, 1973- author.Title: Project portfolio management in theory and practice : thirty casestudies from around the world / Jamal Moustafaev.Description: Boca Raton, FL : CRC Press, 2017. Includes bibliographicalreferences and index.Identifiers: LCCN 2016011453 ISBN 9781498769242 (hardcover : alk. paper)Subjects: LCSH: Project management--Case studies. Projectmanagement--Finance. Portfolio management.Classification: LCC HD69.P75 M692 2017 DDC 658.4/04--dc23LC record available at https://lccn.loc.gov/2016011453Visit the Taylor & Francis Web site athttp://www.taylorandfrancis.comand the CRC Press Web site athttp://www.crcpress.comClick here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
ContentsPreface: Why Another Book on Project Portfolio Management?. xvAbout the Author.xxiSection I THE THEORY1 Introduction to Project Portfolio Management.3Historical Case Study: Ibaraki Airport.3Sounds Comparable to Your Company?.4PPM: A Quick Overview.5PPM Defined.5The Three Pillars of PPM.8What Happens without Project Portfolio and Proper Resourcing?.14What Is Happening in the Industry?.16Conclusions.18Summary.192 The Three Pillars of Project Portfolio Management.21Introduction.21How to Determine Project Value?.21Financial Models.22Scoring Models.24How to Balance Portfolios?.29What Is Strategic Alignment?. 34Top-Down Approach.36Bottom-Up Approach.38Top-Down, Bottom-Up Approach.39How It All Works in Real Life. 40Joker Project Concept.45Summary.47Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLCvii
viii Contents3 Strategic Resource Estimation for Project Portfolios.49Introduction.49Improving Your Estimate Accuracy with Wideband Delphi and PERT.51Wideband Delphi.51Wideband Delphi “Light”.53Program Evaluation and Review Technique.53Other Things to Consider.57How to Improve Your Estimates?.57Common Estimation Oversights.58Sample Scenario Analysis.58Summary. 64Section II THE APPLICATION: INDUSTRY CASE STUDIES4 Project Portfolio Management in the Pharmaceutical Industry.67Pharmaceutical Sector Overview.67Pharmaceutical Sector Case Studies.69Introduction.69European Pharmaceutical Company A.70Strategy.70The Scoring Model.70Portfolio Balance.73Strategic Alignment.74European Pharmaceutical Company B.75Strategy.75The Scoring Model.75Portfolio Balance.78Strategic Alignment.80European Pharmaceutical Company C.80Strategy.80The Scoring Model.80Portfolio Balance.82Strategic Alignment.82Summary.835 Project Portfolio Management in theProduct Development Industry.85Product Development Sector Overview.85Product Development Sector Case Studies.86Introduction.86Company A: Bearings Manufacturer.87Strategy.87Scoring Model.87Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
Contents ixPortfolio Balance. 90Strategic Alignment. 90Company B: Software Producer.91Strategy.91Scoring Model.91Portfolio Balance.94Strategic Alignment.94Company C: Rail Transport Company.95Strategy.95Scoring Model.96Portfolio Balance.98Strategic Alignment.99Company D: Medical Equipment Manufacturer.99Strategy.99Scoring Model.99Portfolio Balance.101Strategic Alignment.102Company E: Food Packaging Company.102Strategy.102Scoring Model.102Portfolio Balance.105Strategic Alignment.105Company F: Satellite Operator.106Strategy.106Scoring Model.107Portfolio Balance.109Strategic Alignment.109Company G: Clothing Manufacturer. 110Strategy. 110Scoring Model. 110Portfolio Balance. 111Strategic Alignment. 111Summary.1126 Project Portfolio Management in the Financial Industry.113Financial Sector Overview. 113Financial Sector Case Studies. 116Introduction. 116Eastern European Bank A. 116Strategy. 117Scoring Model. 117Portfolio Balance. 119Strategic Alignment. 119Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
x ContentsWestern European Bank B.120Strategy.120Scoring Model.121Portfolio Balance.123Strategic Alignment.123North American Brokerage Company C.124Strategy.124Scoring Model.124Portfolio Balance.126Strategic Alignment.126Eastern European Bank D.128Strategy.128Scoring Model.128Portfolio Balance.132Strategic Alignment.132Summary.1327 Project Portfolio Management in the Energy and LogisticsIndustries.135Overview of the Energy and Logistics Sectors.135Energy and Logistics Sector Case Studies.136Introduction.136Energy Company A: Power Trader.137Strategy.137Scoring Model.137Portfolio Balance.139Strategic Alignment.140Energy Company B: European Electric Utility.140Strategy.140Scoring Model.140Portfolio Balance.143Strategic Alignment.143Energy Company C: Regional IT Department of a Global Oil andGas Producer.144Strategy.144Scoring Model. 145Portfolio Balance. 145Strategic Alignment.147Energy Company D: Eastern European Electricity Company.147Strategy.147Scoring Model.148Portfolio Balance.150Strategic Alignment. 151Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
Contents xiLogistics and Energy Company A: The IT Team. 152Strategy. 152Scoring Model. 152Project Analysis. 155Portfolio Balance.156Strategic Alignment.156Summary. 1578 Project Portfolio Management in the TelecommunicationsIndustry.159Telecommunications Sector Overview. 159Telecommunications Sector Case Studies. 161Introduction. 161Eastern European Mobile Provider A. 161Strategy.162Scoring Model.162Portfolio Balance.165Strategic Alignment.165Eastern European Mobile Provider B.165Strategy.166Scoring Model.166Project Analysis.168Portfolio Balance.170Strategic Alignment.170Central European Mobile Provider C.171Strategy.172Scoring Model.172Project Analysis.175Portfolio Balance.178Strategic Alignment.178Western European Mobile Provider D.179Strategy.180Scoring Model.180Portfolio Balance.182Strategic Alignment.182Summary.1829 Project Portfolio Management in the Government andNot-for-Profit Sector.185Government and Not-for-Profit Sector Overview.185Government and Not-for-Profit Sector Case Studies.186Introduction.186Ministry of Defense: Financial Department.186Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
xii ContentsStrategy.187Scoring Model.187Portfolio Balance.190Strategic Alignment. 191Federal Loan and Mortgage Lending Agency: Eastern Europe. 191Strategy.192Scoring Model.192Project Analysis.194Portfolio Balance.196Strategic Alignment.196Canadian University: IT Department.197Strategy.197Scoring Model.198Project Analysis.198Portfolio Balance. 200Strategic Alignment. 200Company D: European National Bank.201Strategy.202Scoring Model.202Portfolio Balance.205Strategic Alignment. 206Summary.20710 Project Portfolio Management in the ProfessionalServices Industry.209Professional Services Sector Overview.209Professional Services Case Studies.210Introduction.210Professional Services Company A: European Software Company.210Strategy. 211Scoring Model. 211Portfolio Balance.213Strategic Alignment. 214Professional Services Company B: European ITServices Company. 215Strategy. 215Scoring Model. 215Portfolio Balance. 218Strategic Alignment. 218Professional Services Company C: IT Department of a GlobalProfessional Services Company. 219Strategy. 219Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World 2017 by Taylor & Francis Group, LLC
Contents xiiiScoring Model. 219Project Analysis.221Portfolio Balance.223Strategic Alignment.223Summary.224Section III SUMMARIZING IT ALL11 Statistical Summary and Analysis.227Introduction.227Pharmaceutical Industry.227Scoring Models.227Portfolio Balance. 228Strategic Alignment.229Product Development Industry.229Scoring Models.229Portfolio Balance.231Strategic Alignment.232Financial Industry.232Scoring Models.232Portfolio Balance.233Strategic Alignment. 234Energy and Logistics Industry. 234Scoring Models. 234Portfolio Balance.235Strategic Alignment.236Telecommunications Industry.236Scoring Models.236Portfolio Balance.238Strategic Alignment.238Government Sector.238Scoring Models.238Portfolio Balance.239Strategic Alignment.240Professional Services Industry.241Scoring Models.241Portfolio Balance.242Strategic Alignment.243Aggregate Statistics.243Scoring Models.243Portfolio Balance.243Strategic Alignment.243Click here to order Project Portfolio Management in Theory and Practice: Th
Project Portfolio Management in Theory and Practice Thirty Case Studies from around the World Jamal Moustafaev, MBA, PMP Click here to order Project Portfolio Management in Theory and Practice: Thirty Case Studies from around the World
