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1 - INTRODUCTION

Successful business value realization begins with comprehensive strategic planning and management.
Organizational strategy can be expressed through the organization’s mission and vision, including orientation to
markets, competition, and other environmental factors. Effective organizational strategy provides defined directions
for development and growth, in addition to performance metrics for success. In order to bridge the gap between
organizational strategy and successful business value realization, the use of portfolio, program, and project
management techniques is essential.

Portfolio management aligns components (projects, programs, or operations) to the organizational strategy,
organized into portfolios or subportfolios to optimize project or program objectives, dependencies, costs, timelines,
benefits, resources, and risks. This allows organizations to have an overall view of how the strategic goals are
reflected in the portfolio, institute appropriate governance management, and authorize human, financial, or material
resources to be allocated based on expected performance and benefits.

Using program management, organizations have the ability to align multiple projects for optimized or integrated
costs, schedule, effort, and benefits. Program management focuses on project interdependencies and helps to
determine the optimal approach for managing and realizing the desired benefits.
With project management, organizations have the ability to apply knowledge, processes, skills, and tools and
techniques that enhance the likelihood of success over a wide range of projects. Project management focuses on
the successful delivery of products, services, or results. Within programs and portfolios, projects are a means of
achieving organizational strategy and objectives.

Organizations can further facilitate the alignment of these portfolio, program, and project management activities
by strengthening organizational enablers such as structural, cultural, technological, and human resource practices.
By continuously conducting portfolio strategic alignment and optimization, performing business impact analyses,
and developing robust organizational enablers, organizations can achieve successful transitions within the portfolio,
program, and project domains and attain effective investment management and business value realization.

1.7 role of the Project Manager

The project manager is the person assigned by the performing organization to lead the team that is responsible
for achieving the project objectives. The role of a project manager is distinct from a functional manager or operations
manager. Typically the functional manager is focused on providing management oversight for a functional or a
business unit, and operations managers are responsible for ensuring that business operations are efficient.

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