Why You Need Portfolio Managers

If one or more individuals manage these functions in your company, the company practices portfolio management

  • Categorize and provide portfolio views of projects
  • Evaluate project progress against milestone criteria
  • Select and approve projects for inclusion in the active portfolio
  • Approve projects for advancement into the next stage
  • Select and approve projects for removal from the active portfolio
  • Identify and analyze portfolio risks
  • Develop and monitor portfolio risk responses
  • Prioritize projects
  • Balance or align the project portfolio to current prioritization and strategy
  • Develop and execute portfolio adjustment action plan
  • Review and report portfolio performance with respect to prioritization and current strategy
  • Review and report portfolio resource alignment with prioritization and strategy

These are the basic functions of portfolio management in bio/pharmaceutical R&D. While all such functions could in principle be organized under a portfolio manager or a portfolio management group, most bio/pharmaceutical companies allocate at least some of these functions to other organizational groups.

If no one manages these functions, your company is in trouble!

These functions are explored in subsequent pages in this section.