How to Select the Best Project Portfolio Management (PPM) Software for Your Business
Project Portfolio Management (PPM) Software is a combines system of technologies, processes, and methodologies to plan, develop, and execute projects with higher efficiency and less error than traditional approaches to project management. Companies use this software to centralize and coordinate the workflow of all projects across a portfolio of work. The goal of this software is to optimize the use of resource and selection of project work to achieve the companies operationally, financial and strategic objective. PPM software can unlock even more value by allowing agencies to track and forecast performance. Good PPM software provides an organization with the skill to identify which projects are most critical to their company objectives. This software helps automate processes, streamlining the planning, managing, and delivery of each project.
PPM software allows every company to organize their project into a single portfolio through which can easily be studied and monitored for progress and reviewed whether the project had quality execution. PPM software allows you to plan possible targets and due dates according to the data you input into the application to guarantee you don't have to rely on guesswork. Project portfolio managers software provides business analysis for companies looking to invest in new projects by consolidating and organizing every piece of data regarding proposed and current projects. However, how do you choose the best PPM software for your business, as there are many online PPM apps on the market? In this article, we'll help you out by giving you a list of pointers on which features to look for as you go about your process of selecting one.
What are the Features of Project Portfolio Management (PPM) Software
The best Project Portfolio Management (PPM) software for your company depends on the overall integrations and functionality that you need. It's important to understand the core features a PPM software provides to know how this software can be used to meet your objectives. PPM software features typically include:
- Project Management: Tools to Help you to execute projects with ease. Provides built-in templates and familiar scheduling tools help project managers and teams stay productive.
- Portfolio Management: Helps you to evaluate and optimize project portfolio to prioritize initiatives and get the results you want.
- Resource Management : Helps you to manage the resources with ease.
- Pipeline management: This function is known as pipeline assessment and analysis; it helps managers to decide the completion timeframe of projects with the resources on hand.
- Resource distribution: This feature allows you to manage human resource and distribute inventory in addition to offering resource allocation to a project.
- Change management: This software provides a central repository for various change requests and allows you to match available resources to overall demand and quickly assess inquiries as they arise.
- Financial administration: PPM software can demonstrate the anticipated value of projects concerning strategic objectives and organizational priorities; your manager needs to accurately estimate and manage the financial resources and anticipated outcome of company projects.
- Risk management: This software allows you to analyze the potential and existing risk that is present in a project to determine confidence levels across the portfolio using risk regulation modules before launching a project.
What are the Key Performance Indicators (KPI's) of Project Portfolio Management (PPM) Software
A key performance indicator (KPI) is a kind of performance measure used by an organization for evaluating the results of a specific activity. It is essential for the PPM to have an explicit agreement that will add value to the existing project. Let's take a look at some key performance indicators that you can use to prove the effectiveness of your PPM:
- Operational efficiency: PPM use operational efficiency KPI to measure the team performance as well as resource utilization, it also involves measuring and evaluating resource productivity.
- Time spent: This KPI essentially measures the time and looks at the number of adjustments made by team members in a particular project.
- Budget variance: The budget optimization KPI looks at the variations between the estimated budget and the actual budget allocated to each resource and activity.
- Customer satisfaction: Greater client satisfaction is one of the significant indicators of a successful project; this KPI measurement is a cumulative analysis of stakeholder and customer feedback after project delivery.
- Count of errors: This KPI for project portfolio management focuses on the number of times that a team member revises a given task during a project.
- Calculating organizational goals: This is the process of evaluating a project from the point of view on how it is in line with the company's overall objectives and target investment.
- Project success rate: This KPI measure projects success in different factors such as budget, time, and fulfilling demands through proper result delivery.
- Return on Investment: It's necessary to measure relative profitability or return on investment (ROI) so that you can justify the expenses associated with projects.
What are the Benefits of Project Portfolio Management (PPM) Software
Project Portfolio management software is an efficient tool that can assist project managers in being as productive as possible, regardless of the industry. Implemented project portfolio management can also provide numerous indirect benefits, which include the following:
- Reduced project risk: It is essential for companies to create portfolios that lessen any risks, PPM software helps minimize risks in a project and tackle the threats intelligently with a backup plan.
- Better decision making: PPM software help companies in making the right decisions as you have all the details in one preferred place, hence the decision process is enhanced and much more accurate.
- Reduce overspending: PPM software provides all the estimation tools needed to make sure that projects are assessed more accurately, and provide the right resources at the perfect time.
- Document sharing: This software allows individuals to edit, update the status of reports and create systems that allow for transparency and communication whether inside the software or in an integrated 3rd party system.
- Collaborate on projects: Project management software gives companies a method to collaborate on projects by discussing documents, outstanding work, timelines, etc. thus this reduces the need for emails.
- Project monitoring: This software plays a vital role in monitoring the stages of a project and can give insights into whether things will complete on time or not.
- Increase productivity: PPM software provides companies with the functionality that they need to plan their projects based on resource capability, better estimate project costs, score projects to ensure strategic alignment, and increase the success of project execution.
- Easy to use: This software is design for modern day users and makes it far easier for users to improve their skills and become champions within their companies.
What are the Latest trends in Project Portfolio Management (PPM) Software
There is no denying fact that project portfolio management (PPM) software has gone through various stages of transformation over the last few years and this software is becoming more influential in organizing, managing and communicating projects. In this section, we would like to take some time to examine trends in Project Portfolio Management (PPM) software that can help achieve goals for the coming years and beyond.
- Visualizing data: Gone are those days when you scroll through pages of spreadsheets and parsing hard data, today, more people need and expect data to be analyzed automatically and presented back to them in a concise visual presentation.
- The rise of Agile: Running an agile methodology can be challenging, PPM software suits agile because it allows quicker reporting, better communication, and high levels of transparency within teams increasing the need of both PPM and agile software.
- Better collaboration with Cloud: Cloud Computing enables better document collaboration across multiple locations and electronic devices, although not specifically designed for project management but offer many benefits to project teams.
- Attract a broader audience: PPM software will continue to attract more business of all sizes that massively depend on the strategic IT projects with the affordability of the software.
- Project automation: Keeping all mandates between projects aligned, avoiding human errors and automating reporting cycles to save resources requires modern automation of PPM processes, which will increase the need for this software.
How to choose the right Project Portfolio Management (PPM) Software
Project portfolio management software works as a real-time workspace that helps keep your eye centered on the big picture, while efficiently executing the day-to-day activities. If you are searching for a new PPM software solution to support your project, below are some key factors every company should consider before making a purchasing decision:
- Price: Project portfolio management software is available at many price points, so it's essential to know if implementation, training and support services are included in the software cost or are additional fees, ensure you keep these factors in mind when asking for a price quote.
- Scalability: Ensure you get software that can scale up or down to fit your needs and allow as many users as possible or even unlimited number of users.
- Mobile friendly: People don't sit with a PC all the time, PPM software must be mobile friendly, enabling you and your project team to access what you need no matter where you, or where they are.
- Flexible: Projects come in many sizes and types, with widely varying objectives and definitions of success; therefore, it's essential that the PPM software you're planning to acquire have flexible workflows to fit all project type.
- Effective collaboration: PPM platforms should enhance cooperation to streamline efforts and encourage user engagement both within and across teams, organizations, and regions.
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