ABSTRACT
Portfolio management is defined as a strategic, dynamic decision-making process to assess value, prioritize projects, and allocate resources to meet key strategic goals and objectives. By extension, product portfolio management (PPM) is the business process of managing new product ideas, products under development, and current and proposed projects. It attempts to balance the company’s product management skills and capabilities in allocating resources to obtain the most value out of current and future investments. A key objective of PPM is to create processes, procedures, and forecasts for the identification and justification of investments and product selection. A second objective is to ensure that business functions are aligned to reduce redundancies and enhance value creation across the lives of all the company’s products. Two other key objectives are to enhance decision making, implementation, and management of projects by clarifying roles and responsibilities across stakeholder organizations and to implement and apply best practices in managing risk.
