Flexibility of portfolio management through metrics

Project portfolio management through metrics is one of the key elements of effective project management. This allows you not only to control the implementation of projects within the portfolio, but also to increase its flexibility. The essence of this methodology is that each project in the portfolio is assessed against a set of key metrics, which may include the following parameters:

1. lead time: Maintaining schedules and meeting deadlines.

2. Budget: Track costs at every stage of the project.

3. Quality: performance evaluation and compliance with standards.

4. Risks: monitoring of probable risks and measures to minimize them.

5. Loading resources: assessment of how effectively the company's resources (human, technical, etc.) are used.

6. Profitability: An assessment of how well a project meets an organization's financial goals.

Portfolio management metrics allow you to flexibly adapt management strategies depending on the status of each project and business priorities. The main benefit of this approach is that as conditions change—for example, changing business priorities or identifying unforeseen risks—project management can be quickly adjusted, refocusing resources and efforts on critical areas.

Metrics also help the project office standardize its assessment and project management processes, which is especially important in multi-tasking environments and complex organizational structures. Based on this data, the project office can make more informed decisions on priorities and review of projects in the portfolio.

“Project Management Hexagon”

The Project Management Hexagon is a simplified and visually understandable model for describing and managing key aspects of projects. This model extends the classic project management triangle (time, cost and quality) to a more complete understanding of project complexity. The hexagon includes the following parameters:

1. Time: adherence to the project schedule.

2. Price: control of the budget and costs of the project.

3. Quality: the level of compliance of results with expectations and standards.

4. Risks: analysis and management of uncertainties that can affect the success of the project.

5. Resources: management of available resources – from finance to human resources.

6. Volume (Scope): clearly defining the scope of work and ensuring that the final result meets the established requirements.

Each of the hexagon's faces is interconnected, meaning that changes to one element can affect the others. For example, increasing the scope of a project often leads to increased costs and schedules, and risk management may require additional resources.

Application of the Project Management Hexagon helps project managers comprehensively consider all the factors influencing the success of the project. This contributes to a better understanding of the trade-offs between different aspects of management, such as the need to improve quality and the need to reduce time or budget.

Conclusion

Portfolio management metrics and the Hexagon model are powerful tools that provide project management flexibility and support balanced decision making. In the modern project environment, such approaches make it possible to quickly respond to changes and ensure high quality of project implementation.