Institute of Chartered Financial Analysts of India (ICFAI) University 2008 Certification Certified Financial Planner Portfolio management - Question Paper
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change is like a common thread that runs through all kinds of projects regardless of their size and age. Projects that handle
change well thrive but projects that don't, continuously struggle to survive. A change in the project always requires a great deal of
effort and a unique combination of managerial skills, for its success.
END OF CASELET 2
Caselet 3
learn the caselet carefully and ans the subsequent questions:
10. Scarcity of resources is always 1 of the primary constraints in the global business environment. Elucidate how PPM eliminates
these constraints. ( seven marks)
11. 1 of the key factors for the existence of PPM is organizational support. explain. ( seven marks)
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Suggested Answers with Examiner's Feedback
Organizations are managing their multiple projects by using the Project Portfolio Management (PPM) tool which is helping them
in terms of business value and adherence to overall strategy. Project experts describe PPM as "a management process designed to
help an organization acquire and view info about all its projects, then sort and prioritize every project according to certain
criteria, such as strategic value, impact on resources, cost, and so on." In short, PPM takes a holistic view of all projects of a
business by managing projects within budget by allocating limited resources
In general, the PPM begins with the developing of a comprehensive list of inventory for all the projects concerned and needed
info on the same, including the projects' names and its objective, estimated cost, duration, the linkage ranging from the
projects and the organizational strategy, etc. Once the needed initial info is created, the PPM process requires the
departmental heads to examine every project and prioritize them. In the process, a few will be marked as high priority ones and
receive extensive support, followed by the moderate projects and a few others may be kept on hold or be dropped entirely from
the list.
Once the projects' ranking priority takes place, the project portfolio is re-examined by the portfolio management team on a
regular basis to report to the top management on projects which are meeting their goals, which require further support, or the
projects that need to be dropped completely. In the changing business environment, ongoing tracking of projects by PPM helps
not only to tune the projects with the changing environment but also makes them effective by frequently revisiting the projects.
| Earning: Approval pending. |
