The Role of Enterprise Portfolio Management in Digital Transformation Strategies

Abstract

Today’s world undergoes rapid technological changes, and organizations must address these changes. However, given the potential to play a critical role in transformation initiatives, it often takes scarce resources and partial efforts without a reliable way to measure the success of transformation initiatives. Enterprise Portfolio Management (EPM) addresses such issues by making digital transformation projects work with business objectives, utilizing resources best, managing risks, and allowing real-time performance evaluation. The parameters in this paper provide a clear discussion of how EPM plays an important role in enforcing digital transformation strategy to elongate strategic alignment, optimize resources, manage risks, measure performance, and support agile decision-making. This looks at how EPM ensures that the initiatives concentrate on the company’s vision, efficiently use the resources, mitigate technological and implementation risks, and track progress according to clear metrics. In addition, the paper discusses the resistance to change and data access problems organizations encounter when adopting EPM. The use case offered in this section outlines the best practices for digital transformation through EPM, which include clearly defining an objective, which tools can be used in a scalable manner, fostering cooperation between all involved parties, handling the change appropriately, and continuously evaluating performance. EPM provides organizations with the idea that digital transformation is not just successful. However, this sustains the delivery of sustainable value; thus, they can remain afloat in the administrative bop digital space. The findings of this study quite argue that EPM is a bedrock that enables superior competitive advantage in the digital era.