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Regardless of which project management book you read (and there are many), you will hear about the need for the PM to balance competing demands and constraints This used to be called the triple constraints, and was shown as a triangle with Time, Cost, and Scope on respective sides of the triangle To put this in perspective, a friend of mine when faced with the challenge of balancing project demands often says, Good, fast, or cheap pick any two, meaning that if you want something good and fast, it will likely cost more; if you want it good and cheap, it may take more time Any change to the triple constraints throws the triangle out of balance Because of the dynamics of managing projects in today s complex world, we need a broader view beyond just the three primary constraints Most authors agree on Time (often shown as Schedule ) and Cost (often shown as Budget ), but the third key component varies between Scope, Quality, Resources, and Risk PMI recognizes that multiple components must be managed (balanced) and therefore has pulled away from using the term triple constraints in favor of calling these competing constraints
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The basic concept is still the same in that the project manager and team must balance the key components to keep them in line with the project sponsor s requirements If time (the schedule) is compressed (for example, the customer needs the solution sooner), then the other components of the constraints shift, thus increasing cost or decreasing quality and potentially affecting the scope of the project If scope changes, then time and cost are surely effected The key is to clearly understand the driver (or main component) of the project constraints For example, the primary driver on the Olympics project is time making sure the torch is lit at a specific time on a specific date, even if the paint is not dry on the bleachers Project stakeholders have different priorities and sometimes changing demands, which makes the balancing act extremely difficult This is why I often refer to project managers as jugglers We constantly have to keep the plates spinning and all the balls in the air (so to speak) at the same time Finally, I believe there is another side to these constraints that is rarely mentioned and that is keeping the team happy If the PM is focused on the team as the number-one asset to the project, the rest of the pieces tend to fall into place If the team is happy, working well together, and focused on the requirements, the project has a much higher chance for success
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What Is a Portfolio What Is Portfolio Management
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In the world of project management, a portfolio refers to a collection of similar projects or programs and other work that is grouped together at a company level The auto industry is a prime example A large company such as Toyota has a portfolio of various brands, models, and styles they design and manufacture the Camry, Corolla, Rav4, Highlander, Prius, and more, with cars, trucks, and SUVs Portfolio management refers to the centralized management of one or more portfolios, which includes identifying, prioritizing, authorizing, managing, and controlling projects and programs as well as the governance of the collective work to achieve specific strategic objectives Table 2-2 provides an overview of project, program, and portfolio management It compares how projects, programs, and portfolios differ in key areas such as how they are planned, managed, and measured, and how scope is defined
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Project management offices (PMOs) are emerging mostly in larger companies to set up a common approach to providing standards across many projects When projects are managed inconsistently, the overhead cost of setting up, running, and reporting using different types of reports, tools, and procedures can be prohibitive
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