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About portfolio rationalization

Portfolio rationalization is when a project manager customize project portfolio in accordance with changing economic environment, or any improvement within organization’s strategic priorities to increase the overall efficiency of the project.

1.You take stock, on one side, of the resources you’ve got  and on the other of all active projects with their updated resource requirements (demand side).

2.Now, since you’ve got a clear understanding of your situation, you can compare the two (what you’ve got vs. what you need), and define your constraints.

This will allow you to get rid of all low-value projects and prioritize the remaining ones, allocating resources according to their ranking until the new resource constraints are reached.


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