If you’re like most business owners, you wear a lot of hats. You’re responsible for sales, marketing, customer service, operations, HR…the list goes on. And while you may have a great team in place to help you with all of those things, there’s one area that you can’t delegate: managing your company’s overall portfolio of projects.
That’s where portfolio management comes in. Portfolio management is the process of prioritizing, aligning, and monitoring all of the initiatives your company is working on in order to achieve its strategic objectives. In other words, it’s a way to get control of the chaos and ensure that your company is investing its resources in the right things.
How Portfolio Management Works
There are four basic steps to effective portfolio management:
- Prioritize your initiatives. The first step is to take a bird’s eye view of all of the initiatives your company is working on and prioritize them based on how they align with your company’s strategic objectives. This will help you determine which initiatives are most important and should be given the most attention.
- Allocate your resources. Once you’ve prioritized your initiatives, it’s time to allocate your resources accordingly. This means making sure that each project has the people, money, and time it needs to be successful.
- Monitor progress. The third step is to put systems and processes in place to monitor the progress of each initiative. This will help you identify any problems or roadblocks early on so that you can make adjustments as needed.
- Make course corrections. Finally, be prepared to make course corrections as necessary. Things change all the time in business, and what may have been a priority last quarter may no longer be relevant today. Portfolio management gives you the flexibility to adjust as needed so that you can always keep your eye on the prize: achieving your company’s strategic objectives.
As you can see, portfolio management is a critical tool for any business owner who wants to keep their company on track. If you’re not already using portfolio management, it is the right time to do so.
Portfolio management may seem like a lot of work, but it’s worth it for the peace of mind and level of control it provides. By taking the time to prioritize, align, and monitor your company’s initiatives, you can ensure that you’re always moving in the right direction and achieving your desired results—no matter what changes come up along the way.