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106 · Question #25

Which is a way of sustaining progress in the implementation of portfolio management?

The correct answer is C. Align reward and recognition processes to departmental or functional performance. Aligning reward and recognition to departmental or functional performance (C) is correct because incentive structures drive behavior - when individuals and teams are rewarded based on metrics that portfolio management directly influences, they have a personal stake in…

Understanding the context within which portfolio management operates

Question

Which is a way of sustaining progress in the implementation of portfolio management?

Options

  • AIntroduce completely new processes rather than build on existing organizational processes
  • BAdopt an incremental rather than a big bang approach
  • CAlign reward and recognition processes to departmental or functional performance
  • DUse the most sophisticated software solution available

How the community answered

(52 responses)
  • A
    17% (9)
  • B
    4% (2)
  • C
    71% (37)
  • D
    8% (4)

Explanation

Aligning reward and recognition to departmental or functional performance (C) is correct because incentive structures drive behavior - when individuals and teams are rewarded based on metrics that portfolio management directly influences, they have a personal stake in sustaining its practices and governance. Without this alignment, people revert to old habits since there is no tangible motivation to maintain new portfolio disciplines.

Why the distractors are wrong:

  • A is wrong because introducing entirely new processes creates unnecessary resistance and disruption; effective portfolio management builds on and adapts existing organizational processes to reduce friction.
  • B is wrong (and a tempting trap) because while an incremental approach is a valid implementation strategy, it describes how to start, not specifically how to sustain progress once underway.
  • D is wrong because sophisticated software adds complexity and adoption barriers; tools should match organizational maturity and need, not be selected for their sophistication alone.

Memory tip: Think "No incentive, no sustaining" - portfolio management stalls when people aren't rewarded for supporting it. If the reward system points elsewhere, so will people's effort. Whenever a question mentions sustaining change, look for the answer that ties people's motivation to the new practice.

Topics

#portfolio implementation#incentive alignment#organizational sustainability#performance management

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