Creating Portfolio Items

Objectives

After completing this lesson, you will be able to:
  • Create portfolio items.
  • Create portfolio items with item templates.

Portfolio Item Creation

Portfolio items in PPM represent individual projects, project proposals, services, or product initiatives. At item level, you can enter critical success factors and plan finances and capacities.

The progress of an item (such as its specification, planning, and execution) can be represented by decision points. Based on the decision points and the data of the items, you can monitor these in PPM, compare them with each other, and make decisions about future progress.

The data itself can be entered manually, derived by using questionnaires and scoring models, or determined from allocated projects and controlling objects through integration with Project Management and FI/CO systems. For a detailed structuring and resource planning, items can also use a built-in function for project management in PPM.

When you create items, they are allocated to just one portfolio bucket. If necessary, you can change this allocation afterward, that is, you can move items from one bucket to another. However, these buckets must all belong to the same portfolio.

Hint

You can only allocate items to buckets that do not have lower-level buckets.

Portfolio Item Details 2/2

When you create an item, you must always specify a portfolio item type or an item template. The portfolio item type specifies several properties of the item, such as decision points. In addition to the portfolio item type, the item template includes additional master data, such as area and priority.

You have different options for creating items. You can create items individually or you can create multiple items at the same time. In addition, you can use an interface in the PPM core system to generate portfolio items based on a Microsoft Excel file.

The data of an item is summarized on various tab pages. The General Information tab page, for example, contains the name, external identification, and description of the item. The General Information tab also includes information about the planned, expected, and actual start and end of the item. In addition, you can enter information about the status, location, category, and priority of the item. You can also define critical success factors, such as the probability of technical and commercial success or the assessed risk of the item.

The Additional Information tab contains details about the actual decision point, for example, the status. However, changes to the decision point are not specified here but on the separate Phases and Decisions tab.

On the Financial Information tab, you can select the currency and period breakdown for financial planning at the item level. These fields are mandatory, but the item automatically transfers the values from the parent bucket as default values when you create it. On this tab page, you can define values for the estimated launch and development costs as well as the net present value of the item.

Together with the probabilities for technical and commercial success, the system calculates the expected commercial value of this item. The fields for the planned, actual, and budget values are derived from the financial planning data or by integration of the item with a FI/CO system.

On the Capacity Information tab, you can decide which time unit you want to use for capacity planning. You can also define the actual headcount of the item for informational purposes.

On the Authorizations tab, navigated to by MiscellaneousAuthorizations, you can add new users that have authorizations, for example, to read or change the item, or you can change the authorizations inherited from the parent bucket.

In the same way as for the buckets, you can also enter additional information for items on the Note tab, navigated to by Documents and NotesNotes. When you add a note, the system automatically adds details about the person who enters the note, and the time it was added.

Companies need additional fields for informational purposes at the item level. These customer fields can be defined in the PPM core system. The customer fields are then shown on the tab pages in the items.

Create Portfolio Items

Copy a Portfolio Item

Portfolio Item Dependencies

It is not possible to observe the schedule of individual portfolio items in isolation. You must also take time dependencies between several portfolio items into consideration during planning and execution.

To do so, you can create Dependencies in PPM. Using a dependency, you link a portfolio item with another item in the form of a predecessor-successor relationship. There are various dependency types: Finish to Start, Finish to Finish, Start to Start, and Start to Finish.

A portfolio item can have dependencies to several other portfolio items. Using the dependencies dashboard, you can analyze existing dependencies for an item in a table. Traffic light functions help you track time-critical situations at a glance.

You create dependencies from a portfolio item. For each dependency, you must enter a name, an external ID, the dependency type, and a portfolio item as a predecessor to the current item. If required, you can also specify a description and comment.

The system now automatically determines the planned dates of the current item and the predecessor. When saving, the system uses the planned dates and the dependency type to calculate a dependency risk.

In the detail screen of a dependency and in the dependencies dashboard, the dependency risk of a dependency is displayed in the form of an icon. The dependency risk reflects the buffer between the planned dates of the predecessor and successor according to the dependency type.

For example, using the dependency type Finish to Start, the system calculates the difference between the planned start date of the current item and the planned finish date of the predecessor. The number of days determined in this way is then assigned to an icon.

The item dependency status defines dependency status groups that determine the level of risk for item dependencies. For each dependency status group, you set upper and lower limits in days and then assign an appropriate status icon to each limit. You can define as many dependency status groups as you like, in ascending order of severity starting from 1.

Portfolio Item Templates

An item template serves as a template for creating new portfolio items. You create and manage item templates in the administration area. The templates always refer to a portfolio bucket. The global template specifies whether the template can be used as a template only in this bucket or also in other buckets of the same portfolio.

The preceding video shows the creation of an item template. You create item templates using the same tab pages as portfolio items. They have almost an identical master data. This way, you can also assign decision points to item templates.

You can also link item templates to project templates from Project Management. However, this link is established in Customizing for the PPM core system and not in the administration area.

Item templates have their own status management. You use the statuses Created, Active, and Completed to specify whether an item template may be used as a template. You can change the statuses in any order. The status Created is the initial status. The status is supposed to describe the life-cycle of a template.