Portfolio Strategy
A clear and well-defined portfolio strategy ensures that the work of each SAFe portfolio aligns with the overall organization’s vision. It is a key input to decision-making, as the portfolio determines the best ways to serve its customers through products and services. Portfolio strategy is comprised of strategic themes, the portfolio vision, and value stream budgets.
Strategic Themes
Strategic themes are portfolio-level business objectives that align a SAFe portfolio with the overall strategy of an organization. They translate the organization’s vision and competitive landscape into clear, measurable goals. Strategic Themes are a vital tool for communicating critical business objectives to Agile Teams and ARTs, aligning their purpose with the purpose of the broader organization. They provide much of the organizational clarity that fuels effective decentralized decision-making and ensure that Value Streams are driven by measurable business outcomes.
Explore more on this topic to learn how strategic themes can be effectively formulated and applied within a SAFe portfolio, enhancing organizational clarity and decision-making.
Portfolio Vision
One key element of creating a portfolio strategy is having a clear vision. The portfolio vision outlines a desired future state for a SAFe portfolio. It’s both aspirational and realistic, serving to inspire and align ARTs and teams. Business Owners and senior leaders play a key role in communicating this vision to foster engagement and creativity.
Explore more on the concept of portfolio vision to understand how this vision can amplify the strategic approach and foster a culture of innovation.
Funding Value Streams
Lean budgeting is an innovative financial approach in SAFe that focuses on funding value streams over traditional projects. This method streamlines value delivery and reduces the excess costs and complexities of standard project budgeting. SAFe portfolios operate within approved budgets, with investments guided by strategic themes, to ensure optimal resource allocation for both short-term and long-term business goals.
Explore more on this topic to learn how SAFe’s approach to lean budgeting gives effective financial control over all investments, with far less overhead and friction, and supports a much higher throughput of development work.
Last update: 15 October 2024