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Let’s start with a definition first: “Prioritization is an activity, which allows you to determine the order of dealing with items or tasks according to their relative importance.” And importance can be derived from indicators like a net present value, costs or e.g. resource consumption. In other words: Prioritization helps you to balance your portfolio, get a good return from your investments and makes sure that your budget is utilized in a meaningful manner.


So how about this approach: Let’s throw all ideas into a big optimization engine, let the engine do the math and just execute the result. Although it sounds compelling, it hardly matches reality. Setting up a portfolio is heavily influenced by strategic priorities, given commitments, necessaries, management direction and other non-system driven aspects. It is not a task like e.g. the processing of orders or the optimization of routes. But of course it is a mission, which can be supported by some clever decision support tools.


And this is what we did with the PPM Consulting Solution “Prioritization Dashboard”. It provides flexible, real-time comparison of portfolio items using KPIs as well as Scoring Models and Questionnaires. Your prioritization and portfolio decisions during the planning of your yearly or quarterly program or e.g. ad hoc review meetings will be supported by comprehensive dashboards, which take your targets, ideas and limitations into account.

SAP PPM CS Prioritization.jpg



The consulting solution was jointly developed with co-innovation customers and provides the following capabilities:

  • An overview dashboard with all existing prioritizations and their key information (in addition to an export function)
  • Group and / or link related prioritization scenarios to each other. Only one prioritization of this group could be set to „Prioritized“. Use in case of what-If analysis
  • Define an own status network for prioritizing runs
  • Easily select the projects and project proposals (“portfolio items”) by selecting a bucket from the portfolio hierarcy
  • Flexibly define and embed your preferred KPI’s into the prioritization including Net Present Value, IRR, technical or commercial risk indicators, financial and capacity planning data, and more by selecting the corresponding scoring model
  • Defining limits and use a “water level line“ for decision support; Traffic lights indicate if target/limit is exceeded.
  • Selection and presentation of “Must Do” items and items that are already included in the portfolio
  • Sorting and comparing the items on the basis of scoring models and questionnaires
  • Manual sorting of projects and proposals.
  • Notes function to document your decisions
  • Detailed reports including resource utilization, timeline monitor and risk-benefit matrix
  • Simulation of temporal shift of items.

For more information visit http://discover.sap.com/plm-ppm or contact us at plmservices@sap.com

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6 Comments

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    1. Arend Weil Post author

      Hi Guillaume, as of today, it is available as a consulting solution. Like other consulting solutions, it might become a standard capability in future. But to be clear: this consulting solution is not yet part of the standard product roadmap. In any case I will share your feedback with our development team.

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      1. Bushy Thebehali

        HI Arend

        Any chance that we might be seeing this consulting solution being part of the standard offering sometime this year maybe? 😏 …

        It would really come handy.

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  1. Johannes Bacher

    Hello Arend,

    this is what customers expect from a Portfolio Management tool. It is always a great dissapointment when it comes to “strategic priorization” and it turns out that PPM cannot Support this process.

    What we have in Standard (Reviews and what-if with scoreboard) is so cumbersome and not really helping.

    A Major improvement in PPM Standard for this process would be highly appreciated!

    What we do as a Workaround: we have written some extractors for PPM data, load These into Lumira and do the Analysis there. Sure: fine Charts, interactive, impressive. But there is no way back to propagate the “approved” Scenario to PPM, so again Manual work…

    regards,

    Johannes

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