Assume the organization's strategy has undergone a significant change, and as a result the mix of components in the portfolio also will change. As the portfolio manager, you need to update your…

The correct answer is D. Key stakeholders. The portfolio charter is the foundational authorization document that establishes the portfolio manager's authority and accountability. When organizational strategy changes significantly, the charter must be updated to reflect the key stakeholders (D) because stakeholder…

Question

Assume the organization's strategy has undergone a significant change, and as a result the mix of components in the portfolio also will change. As the portfolio manager, you need to update your charter in order to reflect:

Options

AThe new 'to be' vision
BInterdependencies between the new components
CRisk tolerances
DKey stakeholders

How the community answered

(40 responses)

A
10% (4)
B
3% (1)
C
8% (3)
D
80% (32)

Explanation

The portfolio charter is the foundational authorization document that establishes the portfolio manager's authority and accountability. When organizational strategy changes significantly, the charter must be updated to reflect the key stakeholders (D) because stakeholder authority, sponsorship, and governance may shift with a new strategic direction. New executives may become sponsors; existing stakeholders may lose or gain relevance. While the 'to be' vision (A), interdependencies (B), and risk tolerances (C) are all important considerations during a strategic shift, they belong in the portfolio strategic plan and portfolio management plan, not primarily in the charter. The charter specifically documents who has authority over the portfolio-making key stakeholder identification its most essential update.

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