Portfolio Optimization

Portfolio Optimization helps you prioritize your portfolio’s projects according to your organization’s KPIs.

Specification: Clarizen Apps

Categories: IT, Project Management

About This App

Portfolio Optimization helps you prioritize your project portfolios according to your organization’s KPIs.

Set funding goals, budget plans and Scorecard KPIs to prioritize your projects to fit your portfolio funds and to guide your resourcing plans.

Create scenarios and share with your Portfolio review team to take better decisions.

Portfolio Optimization supports a simple zero-based budgeting approach. The portfolio budget is treated as a time-independent amount of funding without the assumption of continued funding for existing projects. Zero-based budgeting is a budgeting approach which is re-gaining popularity due to its approach of re-justification for funding promoting shorter projects which deliver benefits in a shorter period which tends to result in lower risk of budget overruns.

Portfolio Highlights


Portfolio Optimization supports several key activities you’ll need to do to create and actively manage your project portfolios.

1. Portfolio Review with KPIs and Highlights

Choose the main KPIs for your portfolio and the highlights will display the aggregate values from the portfolio projects as well as presenting the total spend grouped by Investment Types.

The default KPIs are Work, Benefit, Total Risk Score and Alignment.

2. Optimization Scenarios

Simulate changes to funding scenarios and portfolio priorities – aligned with your organizations strategic objectives for the funding period.
Model changes to funding, what-if scenarios by removing or changing projects, and set KPI priorities to calculate what you should be funding and in what order of priority.

When you have alignment on the funding scenario, verify the resourcing workload and then save the changes to update the project priorities and the budget of Portfolio

3. Collaborative Decision making and trackability

Save your scenarios to the discussion feed of the Portfolio to assist with scenario review and outcomes.

Getting Started

To see the Portfolio Highlights panel you will need:
1) Project field: Portfolio flag toggled on
2) User field: Financial permissions
3) Project Role: you will need to have a Manager Role (if you are the Project Manager or Owner you’ll have this role automatically)
4) Be on the Portfolio Optimization view
5) Have Sub-Projects in your portfolio (not shortcuts)

Once you have installed the app you should:
6) Set a Budgeted Amount for the Portfolio
7) Set the Budgeted Amount for the Portfolio projects
8) Set the Investment Types for the portfolio projects and the other KPI values for your projects

Portfolio Optimization is a Clarizen Labs app. Clarizen Labs apps go through multiple iterations before final release.