Portfolio Manager

September 8, 2025
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What is Portfolio Manager?

A portfolio manager in project management is responsible for overseeing a group of projects, programs, or initiatives that align with an organization’s strategic objectives. Unlike a project manager who focuses on a single project, this role operates at a higher level, ensuring that all projects within the portfolio contribute to overall business goals. The portfolio manager prioritizes resources, balances risks, and evaluates project performance to maximize value. This role requires strong leadership, analytical skills, and a deep understanding of organizational strategy.

Key Points

  • A portfolio manager manages multiple projects or programs as part of a coordinated portfolio.
  • This role focuses on aligning projects with strategic goals, not just delivering individual outcomes.
  • Key responsibilities include evaluating project proposals, allocating budgets, managing risks, and reporting performance to stakeholders.
  • The portfolio manager works closely with executives and project teams to make informed decisions about project selection and continuation.
  • This role enables organizations to adapt to changing priorities by regularly reviewing their portfolios and recommending necessary adjustments.

Related Terms

  • Project manager is responsible for delivering a specific project within defined scope, time, and budget constraints.
  • Program manager oversees a group of related projects to achieve outcomes that benefit the organization.
  • Strategic alignment refers to the process of ensuring projects and programs support the organization’s long-term goals.
  • Resource allocation involves distributing available resources, such as staff and budget, across various projects within the portfolio.
  • Governance framework defines how decisions are made, risks are managed, and performance is monitored across the portfolio.

Portfolio Manager: Example

A large technology company is developing multiple software products simultaneously. The portfolio manager reviews all current and proposed projects, comparing their potential value, risk levels, and alignment with company strategy. One project is delayed and over budget, while another aligns better with new market trends. The manager recommends pausing the delayed project and reallocating its resources to the more promising one. By doing this, the organization stays focused on its strategic priorities and uses its resources more efficiently.

Portfolio Manager: Best Practices

  • Establish clear evaluation criteria to prioritize projects based on strategic value.
  • Maintain regular communication with executives and project managers for informed decision-making.
  • Use portfolio management software to track progress, budgets, and risks across all projects.
  • Review and adjust the portfolio regularly to respond to changes in the business or market.
  • Promote transparency and accountability through consistent reporting and governance.

Additional Resources

Portfolio Manager - The Standard for Portfolio Management     Portfolio Manager - Portfolio Management: Theory and Practice

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