Elevating project portfolio management in Global Operations - A case study at Axis Communication

Abstract

A central part for organizations in achieving intended strategies and successfully executing projects is project portfolio management (PPM). However, many companies fail to effectively manage projects related to strategy, and a little research has focused on the realization of PPM regarding organizational development.

To gain further understanding of how PPM can contribute to a higher efficiency and building sustainable portfolio processes, this thesis studied the PPM activities and related challenges and opportunities at Axis Operations. Within this area, three main research goals were formulated to investigate the phenomenon of PPM in organizational development; Firstly, to identify and describe the key success factors to project portfolio management performance in operations. Secondly, challenges in the current structure around Axis Operations PPM, with each management level involved, are identified, and examined. Thirdly, a set of main improvement areas and a recommendation are outlined for how Axis Operations PPM can improve, based on best practices.
A qualitative case study was performed, with an abductive research approach, where a literature study and interview data were analyzed and cross-referenced to identify five key success factors for PPM. Five key success factors were identified: organizational structure, resource management, strategic alignment, governance, and project management. Based on these five areas, five main improvements were recommended, being implementation of PPM office, visualization and communication of PPM, Stage-Gate process, documentation of key resources, and measurement and evaluation.

In conclusion, the thesis contributes to academic research by identifying significant factors for prioritization of projects, optimizing resources, and structuring PPM, particularly focusing on operations and organizational development.

Popular Abstract

Elevating Project Portfolio Management in Global Operations

In a world with ever-increasing demands on efficiency and effectiveness for companies, improvement projects are vital for any operations organization. However, the lack of insight on what drives success in this area and where to set one’s focus inhibits organization development.

Project portfolio management (PPM), being the simultaneous management of the whole collection of projects as one entity, has become increasingly important for organizations looking to not only survive but thrive in today’s competitive environment. With highly limited research on portfolio management specifically in regard to an organization’s operations department, increasing efficiency and effectiveness based on best practices is nearly impossible. Axis operations is one of the organizations that fit into this description, resulting in more and more resources being put into investigating the PPM structure, with this master thesis being one of those resources. Five key success factors for PPM were found, based on analysis from a literature review, interviews with key stakeholders, and other case studies;
1. Organizational structure
2. Resource management
3. Strategic alignment
4. Governance
5. Project management

What this means for operations organizations is the importance of having the right organizational structure, an understanding of how and where the resources are utilized, ensuring strategic alignment, meaning employees are heading in the right and same direction, governing key activities and processes, and implementing an efficient project process and methodology. An important factor, where operational improvement projects differ from R&D projects, the most researched and applied PPM area, is the complexity of the projects. Operational improvement projects are seldomly very similar in nature and requires more flexibility and organizational adaptability.

The study resulted in several recommendations related to the five key success factors, namely implementation of a project portfolio management office, a clarified and structured project methodology, documentation of key resources, implementations of a visualization tool, and a project and portfolio measurement and evaluation strategy.

Any major company should be interested in increasing its operational efficiency and effectiveness. By effectively managing the improvement project portfolio, the development of the organizations is accelerated. This can be done by considering and implementing the above key success factors and its related improvement implications. Simply stated; effectively managing your operational project portfolio results in an efficient organization.

• author: Causevic, Elma and Moberg, John
• supervisor: Lars Bengtsson
• organization: Innovation
• alternative title: Projektportföljshantering inom Global Operations - En fallstudie på Axis Operations
• course: MMKM05 20241
• year: 2023
• type: H2 - Master's Degree (Two Years)
• subject: Technology and Engineering
• keywords: Project Portfolio Management, Resource Management, Project Management, Governance, Organizational structure, Strategic Alignment, Case Study.
• language: English
• id: 9159916
• date added to LUP: 2024-06-19 10:20:13
• date last changed: 2024-06-19 10:20:13