{"id":11368,"date":"2026-05-28T12:17:25","date_gmt":"2026-05-28T10:17:25","guid":{"rendered":"https:\/\/factor3.dk\/michael-tvermoes-myths-about-project-portfolio-management\/"},"modified":"2026-10-16T10:47:24","modified_gmt":"2026-10-16T08:47:24","slug":"michael-tvermoes-myths-about-project-portfolio-management","status":"publish","type":"page","link":"https:\/\/factor3.dk\/en\/michael-tvermoes-myths-about-project-portfolio-management\/","title":{"rendered":"Michael Tvermoes: Myths about project portfolio management"},"content":{"rendered":"\t\t
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Welcome to FACTOR3 A\/S<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Michael Tvermoes: Myths about project portfolio management<\/h1>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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Michael Tvermoes: Myths about project portfolio management<\/h2>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t
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There are many myths associated with project portfolio management. Here, Michael Tvermoes shares his take on five of them and reveals whether they hold true in reality. <\/p>

Watch the video on YouTube here<\/strong>https:\/\/www.youtube.com\/embed\/__wlXePIOdo<\/a><\/p>

Myth 1:<\/h3>

\u201cImplementing an IT portfolio management system is a good lever for introducing project portfolio management\u201d<\/p>

IT portfolio management systems work well for creating an overview of project portfolios and generating management information. BUT successful use of project portfolio management requires robustness in other key parts of the organisation\u2019s structure. Without an understanding of the organisation\u2019s fundamental need for project governance, robust project and portfolio processes, and a reasonable level of competence among decision-makers, such implementations often miss the mark. <\/p>

There are at least two reasons for this:<\/strong><\/p>

If we start from the system\u2019s many immediately attractive capabilities, decision-makers and those responsible for project management are often tempted to request far too advanced overview and management information. Ultimately, this creates additional work for project managers without materially improving the basis for decision-making.A fundamental prerequisite for many IT portfolio systems is consistent use of the associated project management tools. This requires a high level of discipline and a uniform level of competence, which is rarely present in the organisation.\u200bTherefore, it is better to start far too simple than slightly too complex! Before the IT portfolio management system is selected and configured, it is important to get clarity on: <\/p>

Which problems portfolio governance is intended to solve, and thus the need to digitise these governance processes.Which processes and level of competencies are thereby brought into play. At a minimum, these processes and competencies must be built in parallel with the system implementation\u2014and preferably a little beforehand. <\/p>

Myth 2:<\/h3>

\u201cProject portfolio management is primarily about getting \u2018the right\u2019 projects delivered efficiently\u201d<\/p>

Project portfolio management is, of course, about delivering \u201cthe right\u201d projects safely. BUT it is predominantly about ensuring the right level of project load and balancing projects and resources in relation to the projects\u2019 strategic importance. If the sole objective is to deliver \u201cthe most important\u201d projects efficiently, then for most organisations it would, to a large extent, be smarter to allocate resources and the most capable employees to these \u201cmust win\u201d projects. The resources (money and time) that would be spent on designing, implementing, and sustaining portfolio management could instead be used to free up the right employees, hire the best project managers, and give them easy access to decision-makers at the highest level. <\/p>

Myth 3:<\/h3>

\u201cThe executive management and leadership can readily understand, interpret, and make decisions based on overview dashboards\u201d<\/p>

The difference between operational management decisions and project portfolio management decisions is that, on the operational side, there is often one or a few correct solutions to choose from, based on a generally secure understanding of both the problem and the consequences of one choice or another. When it comes to portfolio management decisions, decision-makers must choose between many alternatives that typically have considerable consequences. However, this must be done on the basis of a far more uncertain decision foundation. In most cases, leadership teams and executive management must learn and practise participating in this type of decision-making process, where there is a strong need to focus on learning from unfortunate decisions as well as good ones, rather than focusing on right and wrong decisions. <\/p>

Myth 4:<\/h3>

\u201cPortfolio management and the resulting transparency dismantle political battles\u201d<\/p>

Project portfolio management brings transparency around resources and decision-making processes, which moves some of the political manoeuvring from behind the scenes into the open. However, it is naive to believe that this in itself dismantles such manoeuvring. The battles are simply played out in a new arena, and the players quickly learn the new rules of the game. If a leadership team or organisation wants to put an end to political battles, it should instead address the players and start there. <\/p>

Myth 5:<\/h3>

\u201cA good portfolio management system leads to good decisions\u201d<\/p>

Good decisions come with discipline in using the system, calibration of reporting, development of project managers\u2019 competencies to produce high-quality decision material, and decision-makers\u2019 understanding of their own role and ability to interpret management information.<\/p>

It is important to create alignment among the involved managers and employees regarding the meaning and use of the management information produced and the resulting feedback to the projects. In this context, it is essential that the implementation and sustainment of project portfolio management is used as an opportunity to continuously learn about, strengthen the organisation\u2019s capabilities in, and adjust decision-making processes related to the delivery of projects\/development initiatives. In this way, the organisation must learn to make good decisions and sustain good practice. <\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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Let us strengthen your next step<\/h2>

Successful development requires clear strategies, strong leadership, and effective execution. At Factor3, we help organisations create lasting results through targeted consultancy and practical, hands-on solutions. <\/p>

Contact us for a non-binding conversation.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t

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