If project management and program management are often confused in the general business world, introducing portfolio management will surely bring additional confusion. A business person would likely define a portfolio as a collection of projects, and there are certainly organizations that treat portfolio management like this. The PMBOK Guide defines a portfolio as “projects, programs, subportfolios, and operations managed as a group to achieve strategic objectives.” It defines portfolio management as the “centralized management of one or more portfolios to achieve strategic objectives.”
After completing this chapter, you should be able to:
1. Recognize and understand portfolios.