United States Project Portfolio Management Market Size

US Project Portfolio Management Market Analysis

• The United States project portfolio management market is expected to register a CAGR of 6.5% during the forecast period (2022 - 2027).
• Implementing project portfolio management solutions offer several benefits to businesses. It caters to alignment between organization objectives and projects; makes decision-making easier around project conflicts; takes the personal bias out of project planning; emphasizes the importance of focusing on the long-term view; helps the project management office turn down projects which are not aligned with business priorities; supports to create governance and oversight into the management of projects.
• Project portfolio management is still a growing market with tremendous growth potential. The year 2021 witnessed increasing adoption of project portfolio management solutions compared to 2020. For instance, according to the PMO Outlook Report 2022, in 2021, 30% of respondents were using spreadsheets and other free tools, while in 2022, that decreased to 21%. This downward trend was mostly countered by adopting more project portfolio management solutions in 2021. The report indicated that the project portfolio management software adoption rate increased from 22% in 2020 to 28% in 2021. This shift is evident in highlighting the importance of the centralized data in organizations that are aimed to gain from real-time insights available in a strategic tool.
• The market for portfolio management solutions is in transition as users pressure established market players to offer dynamic business operations. To extend the product functionalities of PPM solutions, end-users can install optional content add-ins and configure integrations. For instance, Clarity, a PPM platform, offers integration options to work with data from multiple sources. Users have the flexibility to integrate the right set of add-ins and modules as per the business requirement.
• As industry 4.0 is a long-term evolutionary process, project portfolio management can guide the implementation of industry 4.0 projects to become an instrument of company strategy. In the industry, top management support, project sponsors, steering committee, and multiskilled teams are seen as primary success factors for industry 4.0 projects. Project professionals can collaborate through traditional or agile approaches to supplement their abilities and deliver the project's objectives. Project portfolio management is set to enable structural capability leading various industries towards industry 4.0 strategic goals as it contributes to successful project implementation.
• The trend toward remote work has been continuously growing for the past decades. However, the effect of COVID-19 has significantly accelerated this trend in an extremely short time, forcing companies, irrespective of their size, to adapt quickly to the self-isolation measures recommended by governments across the country. With the COVID-19 pandemic requiring more people to work remotely, the project portfolio management software has become an essential tool for the companies as it can help manage the remote working environment and deliver projects efficiently.