Program and Portfolio Management Relationship and Support

Ideally, the portfolio is at the highest level of an organization as it shows the organization's truest intent, direction, and priorities. But, portfolios can exist at various levels such as business units, departments, divisions, and even at the program level. At the program level, the program manager can be considered a mini portfolio manager. The objective is at any time to ensure the portfolio represents a view of its selected components and reflects the organizational strategy and objectives regardless if the programs or projects have interdependencies, as the portfolio represents all the work under way in the organization. This means portfolio management includes all the activities to identify and align organizational priorities, determine governance and performance frameworks, measure the value/benefit of what is being done, make investment decisions, foster communication, and manage resource allocation. This chapter illustrates the various interrelations between program and portfolio management to show how programs can support portfolio in delivering business value.