Project, Program and Portfolio Selection :Project, Program and Portfolio Selection Alexander Graetzer


Slide 2:Introduction 1. Strategic Planning 2. Project Selection 3. Program Selection 4. Project Portfolio Selection


Slide 3:1. Strategic Planning Definition: Strategic planning is the process in which an organization defines its strategy and direction and makes the decision to allocate its resources in order to achieve this (Levine, 2005)


Slide 4:Strategic Planning India‘s Leading Telecommunication Provider


Slide 5:Strategic Planning SWOT Analysis Strengths, Weaknesses, Opportunities, and Threats.


Slide 6:Strategic Planning FOUR-STAGE PLANNING PROCESS FOR PROJECT SELECTION


Slide 7:Strategic Planning Project: Expanding network to low level income markets Strategic Planning: Goal: Penetrate low level income consumer markets in remote parts of India. Strategy: Reduce prices per minute to around 50 Rupees (0,08 Eur) and reduce price of pre-paid cards. The company needs to reach app. 120,000 villages. Business Area Analysis: Combined efforts of IT and Engineering departments, so the communication towers can reach a wider territory. Purchasing Dept. needs to find cheaper materials to produce cheaper prepaid cards. Production Dept. neds to produce the cards. Marketing Dept: Advertise to new market areas. Project Planning: Example: Advertising. New Advertising campaigns in local newspapers, TV, Radio and product placement in at least 15 upcoming Bollywood films. App Budget: USD$3,000,000 Time: 6 months Resource Allocation: Reallocate Human Resources in Marketing Dept. from fixed line campaign to new campaigns.


Slide 8:2. Project Selection Competitive strategy and broad organizational needs. Net present value analysis Weighted scoring model. Balanced scorecard. Address problems, opportunities, and directives. Project time frame and priority. Methods for Project Selection


Slide 9:Project Selection Net present Value Analysis Purchasing Automatic Dialler Dialler Cost: USD $130.000 Headcount Value Savings: USD $35,000 (first year) USD $70,000 (subsequet years) Months required to pay for the system: Purchase price/Savings per Month; App. 28 Months ROI: 135%


Slide 10:Project Selection Net present Value Analysis


Slide 11:Project Selection Weighted Scoring Model


Slide 12:3. Program Selection Programs Advantageous to manage several projects together and integrate them as a program ? better coordination and control of projects Saving money Saving time Increasing Authority


Slide 13:4. Portfolio Selection Put all of your projects in one list. Prioritize the projects in your list. Divide your projects into several categories based on types of investment. Automate the list. Apply modern portfolio theory, including risk-return tools that map project risks. 5 levels of Project Portfolio Management


Thank You for your Attention :Thank You for your Attention