When Agile teams begin to deliver products incrementally, new opportunities open up at the portfolio level to deliver strategic business value. However, the traditional approach to portfolio management — which depends on long-range forecasting and fixed financial controls — breaks down as business environments grow more complex, leaving portfolio managers ill-equipped to reap the potential benefits of their Agile programs. SolutionsIQ Managing Director John Rudd and Dave West, Chief Product Officer at Tasktop, discuss active portfolio management from a product management point of view and how it can help guide decision making in an Agile enterprise.

1. Introducing Active Portfolio Management
Date
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PREPARED BY
Debbie Rutherford,
Senior Account Executive
drutherford@solutionsiq.com
425.614.7711
Bob Smith,
Director
bob@smith.com
425.555.1231
Introduction to
Agile Governance and
Portfolio Management
Moderator: Betty Zakheim, Tasktop
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2. About Us
1 Getting Started
Getting Started
Introduction to
Agile Governance and
Portfolio Management
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3. 1 Why are great
businesses having
such
Introduction to a hard time
Agile Governance and
investing capital
Portfolio Management
“The first and most important issue to
recognize in the United States – and
it's a problem to the extent in other
countries as well – is that the level of
uncertainty about the very long-term
future… businesses cannot basically
decide what to do about their future.
For example, the percent of cash flow
of business that is invested in any form
of capital asset, is that ratio two years
ago was at the lowest level since 1938.
This improved somewhat, but it is still
extraordinarily low. And what we're
observing there is with all this money
coming in, all the profit, the cash flow
– they cannot find adequate
investments to use it.”
Alan Greenspan
8 December 2013
CNN
these days?
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4. 2 At the macro level, there
seems to be a disconnect
between investment
Introduction to
Agile Governance and
decisions and delivery.
Portfolio Management
Why
is that?
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5. this impact
3 How doesmanagement
portfolio
today?
Introduction to
Agile Governance and
Portfolio Management
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6. characteristics
4 What are theto solve these
of a solution
problems — or a natural
Introduction to
Agile Governance and where we are
outcome of
Portfolio Management
going?
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7. in your own
5 Please define is Active
words, what
Portfolio Management?
Introduction to
Agile Governance and
Portfolio Management
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8. Active Portfolio Management
1 Getting Started
•
•
•
•
•
•
Sector-based funding
Getting Started
Feature flow (changing our project mentality)
A new language for valuation
Real options (developing the business case)
Dynamic business case
Introduction to
Continuous portfolio optimization
Agile Governance and
Portfolio Management
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9. Sector-based funding
1 Getting Started
•
•
•
•
Getting Started
The changing role of corporate strategy
Sectors
Allocation and product life cycle
Quarterly funding
Introduction to
Agile Governance and
Portfolio Management
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10. Feature flow (changing our project mentality)
1 Getting Started
•
•
•
•
Getting Started
Persistent teams as an organizational asset
Key features rather than comprehensive project
Reduced cost of change
Feedback and
Introduction tomarket alignment
Agile Governance and
Portfolio Management
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11. A new language for valuation
1 Getting Started
• IRR vs. Getting Started
NPV
• Sector-based comparisons
• Both project and portfolio return taken into
account
Introduction to
Agile Governance and
Portfolio Management
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12. Real options (developing the business case)
1 Getting Started
• Waning upfront uncertainty is reflected in
Getting Started
increasing variance in expected return
• Use a stepwise process to reduce variance (or risk)
of investment opportunities
• Introduction to hit both risk and return
Investments that
thresholds can advance
Agile Governance and to a business case
Portfolio Management
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13. Dynamic business case
1 Getting Started
• Business case Started open after approval with
remains
Getting
ongoing contingent funding
• Iterative return recalibration based on cost and
market feedback
• Introduction to pivot points clearly identified
MVP, exit, and
Agile Governance and
Portfolio Management
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14. Continuous portfolio optimization
1 Getting Started
Getting Started
• Nesting vs. slotting
• Early exit vs. cost of delay
• Use of sunk costs
Introduction to
Agile Governance and
Portfolio Management
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15. 6
What techniques do we need to employ to
help managers make sure the investment
is sound, or when feedback happens to
support the change?
Introduction to
Agile Governance and
Portfolio Management
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16. 7 How can Tasktop &
SolutionsIQ help with this
Introduction to
transformation?
Agile Governance and
Portfolio Management
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17. Guiding the Agile Enterprise
SolutionsIQ provides the guidance
customers need to adopt and scale Agile
practices beyond small teams and
across the enterprise.
Connecting the world of software delivery
Tasktop Sync provides infrastructure that
Introduction to
connects Software delivery, ITSM and
PPM
Agile Governance andtools allowing the software delivery
lifecycle
Portfolio Management to flow
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18. Questions?
1 Getting Started
Getting Started
Introduction to
Agile Governance and
1.778.588.6896
Portfolio Management
1.800.235.4091
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