The capabilities and functionalities needed for enterprise IT planning and management, including business and IT planning alignment, IT investment planning and management, IT portfolio optimization, strategy execution, and cost and risk management, are collectively referred to as strategic portfolio management. Because it forges a solid connection between a team’s strategy and its operations, strategic portfolio management is crucial for any project manager or portfolio manager.
It is all about carrying out tasks correctly. Strategic portfolio management involves the selection and prioritization of programs and projects, as well as the matching of resource availability with resource demand. The main focus of SPM is selecting the appropriate projects in accordance with a predetermined set of business objectives.