Portfolio Optimization

Financial Services Business Case

Business Challenge - Establish capability to address lack of visibility into the next year's portfolio, as well as immature project prioritization and approval process.

Solution - Pcubed creates a repeatable process for capturing, reviewing, prioritising and approving projects.

Benefits - Business unit managers utilise objective project ranking criteria and pipeline reviews along with a new toolset to provide portfolio visibility with capacity vs. demand periodical overviews.

Maximize your return on investment and realize your strategies by implementing the most valuable programs and projects.

Definition

Pcubed Portfolio Optimization provides your organization with a strategic level process for selecting and prioritizing programs and projects and optimizing your entire portfolio along corporate constraints.

Benefits

  • Gain Visibility - Your management team will gain complete insight into the entire project and program inventory with standardized data for all new project requests and ongoing projects.
  • Select Right Projects - Your projects will be objectively reviewed and scored against multiple dimensions such as : contribution to strategic objectives; assessment of business cases; aggregate levels of risk, financial and non-financial benefits. Pcubed will enable you to select the right mix of projects to achieve maximum value for your investment.
  • Stop Low-value Investments - By employing an objective methodology when prioritizing and optimizing the portfolio, Pcubed can help you in the difficult task to stop current low-value or underperforming initiatives and then reallocate your resources to high-value new investments.
  • Improve ROI, decreasing execution risk - Pcubed will provide you with the capabilities to align investments with various constraints such as budget and resource capacity. Advanced portfolio models will allow you to achieve a maximum of objectives while proactively mitigating risks.
  • Realize Strategy and Goals - Your organization will gain confidence in its spending, because investments are now objectively measured and prioritized and will maximize strategic return.

Approach

Pcubed Portfolio Optimization methodologies incorporate fundamental elements, which will be tailored to your needs:

  1. Inventory - Collecting project and program standard data in a single repository and therefore creating a comprehensive and transparent list of all investments.
  2. Strategic Fit - Objectively measuring the contribution made by programs and projects to the strategic objectives of the organization.
  3. Prioritization - Prioritizing programs and projects based on various criteria and assessing their achievability and attractiveness regarding internal and external factors in the organization.
  4. Dependencies and Risk Management - Gaining insight into the interdependencies, redundancies and aggregate risks of the portfolio of programs and projects.
  5. Constraints and Capacity - Identifying the capability and capacity thresholds of the organizations (budgets, resources, etc).
  6. Optimization - Analyzing the strategic contributions of project and program investments against the organizational capacity and capability. Create the investment portfolio of maximum impact.

Pcubed Portfolio Optimization Process

Diagram : The portfolio optimization process

Pcubed's core assets are our experience (proven track record of successful solutions), technology depth (strong partnership with leading Portfolio Management toolset providers) and a consistent methodology (objective and repeatable framework to streamline decision making).