A Practical Project-Based Model of the Enterprise

A Practical Project-Based Model of the Enterprise

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This chapter introduces the Enterprise Project Portfolio Model (EPPM). A project-based enterprise is not new but what is new is a practical governance model for a project-based enterprise. This is the first book to do so and it is introduced in this chapter.

To date books on project management assume the existence of a project with little discussion of where that project came from; the business validation and expected business value; why there is even a project and how to manage it within the constraints of other projects, programs and portfolios of the enterprise. In effect projects are treated as if they were islands independent of external constraints and factors. For example, Project management methodologies discuss project planning independent of any constraints imposed by other projects. Nothing could be farther from the truth! A holistic view of the project within the enterprise environment is essential if one really wants to assess the business value of a project in the face of other projects competing for those same resources.

There are certainly situations where that is appropriate but there is another world to consider - the enterprise-level. Imbedding the project into an enterprise context introduces a number of factors external to the project that impact the project life span. Many of those factors are related to the generation of business value, resource capacity and resource availability.