A portfolio sponsor has asked the portfolio manager to include an important project in the portfolio. Which type of analysis should the portfolio manager perform first?

Question

Options

• AInterdependency
• BPrioritization
• CStrategic alignment
• DCapability and capacity

• A
  5% (2)
• B
  3% (1)
• C
  84% (31)
• D
  8% (3)

Explanation

Strategic alignment analysis is always the first gate any new portfolio component must pass. If the proposed project does not align with organizational strategic goals, it should not be included regardless of its sponsor's enthusiasm, its financial promise, or available capacity. Only after confirming strategic fit does it make sense to examine interdependencies (A), establish relative priority (B), or assess whether the organization has the capability and capacity (D) to execute it. Adding components that are not strategically aligned wastes resources and dilutes portfolio focus, so strategic alignment is the non-negotiable first check.

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