A Step-by-Step Guide to Practicing SAFe® Lean Portfolio Management

In today's dynamic business landscape, enterprises must navigate a multitude of changes, ranging from competitors unveiling new products to evolving customer preferences and the emergence of disruptive startups within their industry. To thrive in this fast-paced environment, organizations require a cohesive approach to managing their portfolio, one that embraces Lean-Agile principles to effectively plan, fund, and execute their work. This is where SAFe^® Lean Portfolio Management comes into play and businesses hire individuals with the SAFe^® 6.0 Lean Portfolio Management certification.

 

What is SAFe^® Lean Portfolio Management?

 

SAFe^® Lean Portfolio Management is the implementation of Lean-Agile principles to effectively manage complex organizations. It addresses the challenge of aligning Agile practices at the team level with the broader organizational context. By adopting Lean Portfolio Management and hiring individuals who have completed the SAFe^® 6 Lean Portfolio Management training, Agile organizations gain a framework that enhances the coordination between Agile teams and the overarching structures that govern them. This alignment results in improved delivery speed, product quality, and overall organizational well-being.

 

Implementing Lean practices across the portfolio allows enterprises to establish and maintain alignment in their pursuit of value creation. The SAFe^® Lean Portfolio Management (LPM) online training equips organizations with the necessary tools to adapt and pivot as needed, employ rolling planning cycles, adopt more flexible governance and budgeting models, and develop adaptive and dynamic strategic plans.

 

SAFe^® Lean Portfolio Management focuses on three vital components

 

The Scaled Agile Framework^® (SAFe^® ) offers valuable insights into key aspects of Lean Portfolio Management that are not explicitly addressed within the framework. These include:

 

• Strategy and Investment Funding
• Lean Governance
• Agile Portfolio Operations

 

How to practice and implement the SAFe^® Lean Portfolio Management?

 

Practicing SAFe^® Lean Portfolio Management (LPM) involves implementing a set of principles and practices to align strategy with execution, prioritize and fund value streams, and maximize the flow of value across the entire portfolio.

 

Here are the steps to help you practice SAFe^® Lean Portfolio Management.

 

Understand the SAFe^® Lean Portfolio Management principles

 

The SAFe^® 6 Lean Portfolio Management training involves familiarizing yourself with the underlying principles and concepts of SAFe^® Lean Portfolio Management. These principles provide a foundation for decision-making and guide the implementation of LPM practices.

 

Define portfolio vision and strategic themes

 

Establish a clear portfolio vision that aligns with the overall organizational strategy. With the SAFe^® Lean Portfolio Management (LPM) online training you learn to identify strategic themes that capture the key areas of focus and desired outcomes for the portfolio.

 

Establish a Portfolio Kanban System

With the SAFe^® Lean Portfolio Management (LPM) online training, you learn to create a visual representation of the portfolio work using a Kanban system. This allows you to visualize and manage the flow of epics and initiatives across the portfolio, providing transparency and enabling effective decision-making.

Prioritize epics and initiatives

Use a structured approach to prioritize epics and initiatives based on value, time criticality, risk, and other relevant factors. This helps ensure that the most valuable work is prioritized and executed first.

Develop Lean budgeting practices

Transition away from standard yearly budgeting cycles and adopt more Agile and Lean budgeting practices. Use rolling-wave budgeting., which allows for more frequent funding decisions based on changing priorities and market conditions.

Establish value stream funding and governance

With SAFe^® Lean Portfolio Management (LPM) online training, you get to identify value streams within the portfolio and establish funding and governance mechanisms specific to each value stream. This ensures that the necessary resources are allocated to value streams and empowers value stream stakeholders to make decisions aligned with portfolio objectives.

Implement Agile Portfolio Operations

Adopt Agile practices at the portfolio level to enable faster decision-making and responsiveness with the SAFe^® 6 Lean Portfolio Management training. Regularly review and prioritize the portfolio backlog, facilitate portfolio sync meetings, and establish a cadence for portfolio-level planning and review.

Measure and track portfolio performance

Define meaningful metrics and key performance indicators (KPIs) to measure and track portfolio performance. Regularly monitor and evaluate these KPIs to acquire insights into the portfolio's health and success and to make data-driven choices.

Foster collaboration and communication

Encourage portfolio-wide collaboration and interaction by forming cross-functional teams, hosting portfolio-level events and discussions, and fostering transparency and knowledge sharing.

Continuous improvement

Embrace a culture of continuous improvement by regularly reflecting on portfolio practices, identifying areas for improvement, and implementing changes to enhance portfolio performance and outcomes.

Remember, SAFe^® Lean Portfolio Management is a complex and evolving practice. It requires ongoing learning, adaptation, and organizational commitment. Get the SAFe^® 6.0 Lean Portfolio Management certification, consult with experienced practitioners, and tailor the practices to suit your specific organizational context and requirements.

Are you ready to lead the transformation of your organization's portfolio management practices? Get the SAFe^® 6.0 Lean Portfolio Management certification, and become the driving force behind strategic agility and business success. Call AgilityPAD today to register for the upcoming SAFe^® 6 Lean Portfolio Management training.