Press Release

Seattle, WA — November 4, 2010 — Daptiv, the on-demand leader in project management and collaborative business software, today announced its top five predictions for project portfolio management in 2011. Based on emerging industry trends and feedback from Daptiv’s more than 500 enterprise customers, Daptiv anticipates that Project Management Offices (PMOs) will expand beyond the traditional IT realm and play an increasingly larger role in strategic planning and business execution, especially given anticipated budget and resource restrictions in the year ahead.

Daptiv’s top five predictions for 2011 include:

1. More Enterprise Project Management Offices (EPMOs) will report to the CIO
   Business disciplines such as strategic portfolio planning, project selection and portfolio measurement that have been perfected in IT will be expanded to prioritize and fund strategic business initiatives that span both business and IT. CIOs that play an important role in shaping business strategy and are well-respected by the CEO will now see the EPMO reporting to them, rather than under the traditional reporting structure of the CFO or COO.
   


2. PPM systems become the preferred business intelligence source for real-time financial and performance analysis of strategic initiatives.
   Investments in strategic business initiatives can deliver significant value, but they also have associated financial and execution risk. Silos between strategic planning, IT and finance can result in inaccurate reporting or, worse, poor decision making. According to a recent Forrester analyst webinar, “Breaking Out of the PPM Silo,” PPM solutions are emerging as the preferred business intelligence source into the value and the cost of projects and a company’s ability to deliver value to the business. As the PPM maturity of IT organizations increases in 2011, integrations into ERP financial and operational systems will be commonplace to ensure accurate financial management reporting and efficient chargeback processes.


3. Social software and enterprise collaboration collide.
   A recent global survey found that 61 percent of respondents said they use social media and enterprise collaboration tools for communicating and collaborating with project teams. Social software tools, such as blogs, wikis, activity feeds and video sharing, enable a more dynamic way to keep stakeholders and team members engaged in business projects. In 2011, the adoption of social software will grow to address business collaboration and communication requirements, especially when teams are geographically dispersed.


4. CIOs will optimize their IT portfolio by cutting costs on core IT services
   Worldwide enterprise IT spending in 2011 is only forecast to increase a mere 3.1 percent from 2010 spending, according to Gartner, Inc. This will require CIOs to further improve productivity and reduce costs in core IT services that ‘keep the lights on’ so they can fund new strategic IT investments that are aligned with business priorities.


5. Cloud and SaaS-based solutions continue to be the preferred deployment choices
   The industry shift to cloud computing and IT services will continue to gain momentum in 2011. In fact, Gartner expects large enterprises to have a dynamic sourcing team in place by 2012 responsible for ongoing cloud sourcing decisions and management. The benefits of “cloud economics,” which include large upfront capital expenses being exchanged for lower regular operational expenses and simpler accountability for services delivered, will drive cloud adoption as CIOs and IT leaders try to deliver the most value from constrained budgets.

"Project management has traditionally resided in the IT department of the enterprise but as PPM becomes more strategic, it is emerging as a critical business discipline for prioritizing projects, budgets and resources,” said Ian Knox, vice president of marketing at Daptiv. “Given tepid IT spending projections for the coming year, managers and executives – as well as IT personnel – will need greater visibility into project, program and portfolio execution, as well as the ability to measure progress against key business priorities."