Which is one of the six key functions that portfolio management needs to coordinate with to achieve strategic objectives?

Question

Options

• ABusiness Architecture Planning
• BCentre of Excellence
• CPerformance management
• DInformation Technology

• A
  2% (1)
• B
  5% (2)
• C
  90% (37)
• D
  2% (1)

Explanation

Performance management is one of the six key functions that portfolio management must coordinate with because it provides the mechanisms to track, measure, and report on whether the portfolio is delivering the expected strategic value - without this alignment, portfolio decisions lack the evidence needed to stay on course.

Why the distractors are wrong:

• A (Business Architecture Planning): While useful for strategic alignment, it is not listed among the six key coordination functions in portfolio management frameworks - it's more of an input to strategy formulation.
• B (Centre of Excellence): This is an organizational support structure, not a distinct function that portfolio management formally coordinates with in standard frameworks.
• D (Information Technology): IT is a delivery enabler, not one of the six designated coordination functions - it serves many functions across the organization rather than being a portfolio-level coordination partner.

Memory tip: Think of the six functions as the "health monitors" of a portfolio - Performance management fits naturally because portfolios exist to deliver strategic outcomes, and you can only know if you're succeeding through measurement and reporting. If you remember "strategy needs a scorecard," you'll link performance management to portfolio coordination every time.

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